The smart grids offer technologies that enhance fault detection in energy transmission and distribution systems. In addition, it allows automatic self-healing of the grid network immediately after the occurrence of power disturbances. Thus, the smart grid empowers the environment as well as the economy by providing an efficient and reliable power supply via numerous smart grid technologies and applications.
The global smart grid market size is anticipated to reach USD 94.7 billion by 2025. This can be attributed to the growing implementation of smart grid technology to enhance effectiveness in energy consumption and conservation is the key factor fueling the smart grid market growth. In addition, growing distresses related to environment safety is also boosting the demand for smart grid solutions.
Furthermore, increasing supportive government regulations & policies to implement smart meters and smart city initiatives are also the key factors driving the growth of the overall smart grid market. For example, China, India, Japan, U.S. and other countries in various regions are investing in smart grid technology to support smart city initiatives.
Key Segments of the Global Smart Grid
Application Overview, 2018-2025 (USD Billion)
Solution Overview, 2018-2025 (USD Billion)
- ??Advanced Metering Infrastructure
- Smart Grid Distribution Management
- Smart Grid Communications
- Smart Grid Network Management
- Substation Automation
- Smart Grid Security
End-User, 2018-2025 (USD Billion)
Regional Overview, 2018-2025 (USD Billion)
- North America
- Rest of Europe
- Asia Pacific
- Rest of Asia-Pacific
- Middle East and Africa
- South Africa
- South America
- Rest of South America
Reasons for the study
- The purpose of the study is to give an exhaustive outlook of the global smart grid. Benchmark yourself against the rest of the market.
- Be prepared for how transmission & distribution (T&D) investments and Smart Grid will be impacted by socio-political and economic factors over the next few years
- Ensure you remain competitive as new innovations by existing key players boost the market.
What does the report include?
- The study on the global Smart Grid includes qualitative factors such as drivers, restraints, and opportunities
- The study covers the competitive landscape of existing/prospective players in the substation industry and their strategic initiatives for the product development
- The study covers a qualitative and quantitative analysis of the market segmented on the basis of type and end-user. Moreover, the study provides similar information for the key geographies.
- Actual market sizes and forecasts have been provided for all the above-mentioned segments.
Who should buy this report?
This study is suitable for industry participants and stakeholders in the global smart grid. The report will benefit:
- Every stakeholder involved in manufacturing and distributing substation Applications or solutions.
- Managers within financial institutions looking to publish recent and forecasted statistics pertaining to the global Smart Grid.
- Government organizations, regulatory authorities, policymakers and financial organizations looking for T&D investment trends in global Smart Grid.
- Analysts, researchers, educators, strategy managers, and academic institutions looking for insights into the market to determine future strategies.
With the emergence of the internet of things (IoT) and changing digitization landscape, the energy sector is experiencing numerous advantages and issues. The technological advancements have brought various advantages which have enhanced the energy distribution & transmission efficiencies and processes. However, at the same time grid security & privacy issues and conventional energy infrastructure are hindering the market growth.
Moreover, various major players operating in the ICT and energy industries are investing heavily in the R&D of smart grid-related technologies. Also, rising dependence on electronic equipment such as mobile phones, tablets, laptops, and others is propelling the growth of the smart grid industry. In addition, the growing need for constant electricity in commercial organizations and households is also driving the market growth.
On the basis of application, the market is categorized into generation, transmission, distribution, consumption. The transmission segment dominated the overall smart grid market which occupied a 32.3% share in 2019 and is expected to maintain its position over the forecast period 2020 -2025.
On the basis of solutions, the market is bifurcated into Advanced Metering Infrastructure (AMI), smart grid distribution management, smart grid communications, smart grid network management, substation automation, smart grid security, others. In 2019, the market for substation automation was valued at 8.5 billion and is expected to grow at a considerable rate over the forecast period.
On the basis of end-use, the market is segmented into Residential, Commercial, and Industrial. In 2019, the residential segment had the highest revenue and it is anticipated to dominate the smart grid market throughout the forecast period.
On the geographical front, Asia-Pacific dominated the global smart grid market in 2019 and is expected to do so over the forecast period 2020–2025. The growth of this segment is mainly attributed to the increase in the need to overcome the electricity outages issues. In addition, growing need to link the rural and remote places to national grid systems is also anticipated to fuel the market growth in this region.
Followed by Asia-Pacific, the North American market is also expected to have the major market revenue over the forecast period. The growth of this segment is mainly attributed to the presence of major market players such as ABB, Oracle, Schneider Electric, General Electric, and others. In addition, increasing investment by public and private government organizations and initiatives for electric vehicles are propelling the market growth in this region.
The major players of the global smart grid market are ABB, Cisco, General Electric, Honeywell, Eaton, Itron, Oracle, Schneider Electric, Siemens, Wipro. Moreover, the other potential players in the smart grid market are, Aclara, Landis+Gyr, Eaton, S&C Electric Company, Tech Mahindra. As of 2019, the market for the smart grid is consolidated with the presence of established global and domestic players across the globe. Moreover, the established companies are coming up with new strategies and innovative Smart grid solutions. For instance, in July 2018, ABB collaborated with the Indian Institute of Technology Roorkee (IITR) to build and provide a smart power distribution network on its campus.