Global Smart Grid Communications Market Size, Share & Trends Analysis Report, By Component, By Application, By Communication Technology, By Region Forecasts, 2024 – 2032

Global Smart Grid Communications Market Size, Share & Trends Analysis Report, By Component, By Application, By Communication Technology, By Region Forecasts, 2024 – 2032

Global Smart Grid Communications Market was valued at US $ 36.1305 Billion in 2023 and is expected to reach US $ 108.238 billion by 2032 growing at a CAGR of 14.70% during the forecast period 2024 – 2032.

Demand for smart grid communication will rise significantly throughout the projection period on a global scale. Demand is rising, mostly as a result of a number of significant factors, including massive government spending and clever multi-communication systems with advanced energy-saving features. This promotes streamlined scheduling and dispatch procedures in addition to effective planning and scheduling. New features, such controlling several energy sources, are made possible by smart grid technology. AMI, distributed automation, automated capacity shedding, and outage management systems are a few more. They are supported by the smart grid, which offers a communications network for field-based mobile workforce applications.

Governments across the globe have implemented various supportive policies and mandates such as deployment of smart infrastructure and advocations for energy conservation awareness. These regulations drive the implementation of smart grid technology for industrial, commercial, and domestic uses.

“Software segment, by component, to be dominating market from 2023 to 2030.”

In 2023, software was the most in-demand product across all global smart grid communication segments. Additionally, they contribute to lower power generation costs and easier administration of smart grid operations through improved process efficiency. The software used in smart grid applications reduces the cost of electricity generation, boosts operational efficiency, and makes smart grid control easier.

“Wireless communication segment, by communication technology, to be dominating market from 2023 to 2030.”

Nowadays, the most advanced technology is wireless communication. This is the transfer of data over a distance without the need of cables or other electrical conduits. Furthermore, for wireless communication to function well in a substation, there needs to be a sophisticated bi-directional communication framework that links intelligent electronic equipment with the control centre. This framework needs to be dependable, secure, and have very low latency. Wireless technology ensures minimal prices and secure data transfer, in contrast to wireline technology. This technology, which is characterised by broad coverage, high capacity, and precise control over intricate logistics and production processes, provides support to utility businesses.

“Distribution segment, by application, to be dominating market from 2023 to 2030.”

High voltages are used to generate power in power plants. Therefore, the electric energy should be reduced in intensity and connected to low-voltage distribution lines in order to maximise efficiency. Through this process, the power is made accessible for the distribution corporations to distribute it to consumers. It makes use of a distribution infrastructure made up of feeders, substations, and transformers. As part of incorporating smart infrastructure into the distribution, intelligence is also introduced.

“Asia Pacific to be fastest growing region in smart grid communications market.”

Asia Pacific is expected to grow at the highest rate during the forecast period, while its smart grid communication market led the world in 2023. The primary reasons for this are the expansion of smart city initiatives and the rising need for smart city infrastructure. The demand for automation products, such as smart grid systems, will rise as a result on a global scale. Over the next ten years, one of the Asia-Pacific region's fastest-growing markets will be intelligent communications. For the past many years, the market has grown steadily. These nations include China, India, and Japan, whose rising power consumption has compelled them to search for innovative, efficient ways to produce, transmit, and use electricity. These include, among other nations that make use of smart grid technologies, China, India, Japan, Australia, and South Korea.

Although APAC's smart grid communication market has done well, the region is still far behind Europe and North America in terms of energy industry advancements. The demand for smart grid communication is being driven by the rising use of innovative energy storage systems in the Asia-Pacific region. Energy distributors and end users can benefit from smart grids in a number of ways, including cost savings, demand response, effective power management, and power outages. The energy businesses in Asia-Pacific are now forced to implement smart grids and build the associated infrastructure.

Smart Grid Communications Competitive Landscape

The competitive landscape of the Smart Grid Communications market involves assessing the competitive landscape to understand the strengths, weaknesses, opportunities, and threats of the industry. Key industry players have recognized that the adoption of Smart Grid Communications technology holds the potential for further growth. The growing desire among producers to optimize their production costs has spurred collaborative efforts among companies to scale up their production capacity. This strategic collaboration not only aims to increase revenue but also seeks to establish dominance in the market.

The Smart Grid Communications market is highly competitive, with numerous companies vying for market share. Prominent companies in the Smart Grid Communications Market include:

Major Players:

IBM Corporation, Xylem Inc., ABB Ltd, Eaton Corporation Plc, Schneider Electric SE, Ingenu Inc, Cisco systems Inc., Siemens AG, Itron Inc., Verizon communications Inc.

Recent Developments:

Beginning in May 2021, Impact Solar partnered with Hitachi ABB Power grids to supply Thailand's largest private microgrid with a battery-powered system.

Schneider Electric acquired DC Systems BV, a significant leader in creating and providing intelligent systems and solutions, in January 2021. It has made it possible for the business to develop new power distribution technology. For instance, in September 2020, Siemens Energy, a subsidiary of Siemen, unveiled a novel kind of Unified Power Flow Controller PLUS that expanded the range of potential applications for grid stabilization. Therefore, by dynamically changing the current flow, the UPFC PLUS aids in the stabilization of alternating-current grids.

In July 2018, Tata Power-DDL implemented an ADMS system especially for India's needs The ADMS's advanced features include planning, security, monitoring, and analysis, among other things.

An deal for itron's smart grid solution for Jamaica was signed in May 2018 between itron, the multi-product utility, and Jamaica Public Service Company (JPS), the country's only distributor of electricity.

Verizon Wireless and Ambient Corporation (OTCBB: ABTG) announced the opening of their collaboratively created Open Smart Grid Communications Architecture, an open communications network and integrated smart grid solution for utilities implementing smart grid initiatives.