Smart Grid Technology Global Market Report 2024

The smart grid technology market size has grown rapidly in recent years. It will grow from $46.65 billion in 2023 to $55.43 billion in 2024 at a compound annual growth rate (CAGR) of 18.8%. The expansion observed in the historical period can be attributed to increasing energy demand and consumption, aging grid infrastructure, and a rise in urbanization.

The smart grid technology market size is expected to see rapid growth in the next few years. It will grow to $108.82 billion in 2028 at a compound annual growth rate (CAGR) of 18.4%. The anticipated growth in the forecast period can be attributed to the increasing penetration of renewable energy, favorable government initiatives and regulations, the growing adoption of electric vehicles (EVs), and the digitalization of the energy sector. Key trends expected during this period include a continued increase in renewable energy penetration, ongoing support from government initiatives and regulations, a rising trend in electric vehicles (EVs) adoption, and the ongoing digital transformation of the energy sector.

The anticipated surge in electricity demand is set to drive the growth of the smart grid technology market in the coming years. Electricity, a versatile form of energy essential for powering various machinery and facilitating heat and light production, is experiencing increasing demand globally. Smart grid technology plays a crucial role in efficiently providing electricity to households and businesses through its extensive network for generation, transmission, and delivery. A report by ExxonMobil Corporation in October 2022 revealed a yearly increase of 1.8% in global electricity demand, projecting it to constitute nearly 50% of the energy sector by 2050. This escalating need for electricity generation is a key factor propelling the growth of the smart grid technology market.

The smart grid technology market is expected to receive significant impetus from favorable government initiatives and regulations during the forecast period. Governments worldwide are actively incentivizing and supporting the adoption of smart grid technology through financial measures and initiatives. These efforts aim to expedite the development of a more efficient and sustainable energy infrastructure. In a notable example, the European Commission launched an EU action plan in October 2022, outlining a substantial investment of approximately $633 billion (€584 billion) in the electricity grid by 2030. A significant portion of this investment, around $434 billion (€400 billion), is allocated for digitalization efforts to enhance the efficiency and modernization of the electricity distribution infrastructure across the EU. Similarly, in July 2022, the Indian government initiated a comprehensive scheme worth INR 3.03 trillion ($36.8 billion) to modernize and reinforce power distribution infrastructure, including the mandatory implementation of smart meters. This scheme aims to install approximately 250 million smart meters by 2025, illustrating how supportive government initiatives and regulations will act as key drivers for the smart grid technology market.

Technological advancements are a prominent trend shaping the landscape of the smart grid technology market. Companies in this sector are actively embracing new technologies to solidify their market positions. For instance, in March 2023, the International Energy Agency introduced the Grid Integration Tool technology, designed as an add-on to the guidebook for policymakers on electric vehicle (EV) grid integration. This technology enables the evaluation of the impact of EV charging on the electricity system, allowing users to input characteristics such as EV fleet details, driving habits, charging patterns, and the type of electricity used.

The adoption of advanced metering infrastructure is another significant trend gaining momentum in the smart grid technology market. Companies in this market are prioritizing the deployment of smart meters and advanced metering infrastructure to facilitate real-time data collection, enhance demand response capabilities, and enable more accurate billing. In March 2021, Itron, Inc., a US-based technology company, introduced the eHZ-B Smart Meter, specifically designed for utilities and cities in Germany. This smart meter, part of Itron's FNN-compliant portfolio, supports Germany's transition to a sustainable, low-carbon, and cost-effective energy supply by offering advanced features for efficient energy management.

In January 2023, TE Connectivity, a Switzerland-based consumer electronics company, acquired Kries Energietechnik GmbH & Co. KG, a Germany-based pioneer in smart grid systems. This acquisition strengthens TE's energy business unit as a leading supplier of grid stability solutions, catering to utilities, power network owners, and renewable energy infrastructure developers globally. The move underlines the growing importance of smart grid technologies in enhancing grid stability and overall energy management.

Major companies operating in the smart grid technology market report are Siemens AG, Hitachi, Ltd., Schneider Electric SE, Oracle Corporation, General Electric Company, Cisco Systems Inc., Eaton Corporation PLC, Itron Inc., International Business Machines Corporation, Landis+Gyr AG, ABB, Mitsubishi Electric, Huawei Technologies, Toshiba, Panasonic, Smarter Grid Solutions, Kries, Enel, Elster Group, E.ON SE, EDF France, Engie, Elgama-Elektronika Ltd., NURI Telecom, AEM S.A, Iskraemeco Corp, Energotest, Elektromed Ltd., SWTCH Energy Inc., VRB Energy, BeaconTron, Solarwyse Ltd., Trilliant Incorporated, Smart Grid Observer, Windlogics, UBESS, Moura, Voltalia, Reuniwatt, Neoenergia, Iberdrola, HIMOINSA, otal Eren, Nidec Industrial Solutions, Edelar S.A., ALEC Energy, Mohamed Abdulrahman Al Bahar LLC, Honeywell International Inc., S&C Electric Co, Husk Power Systems, Engie Energy Access, PowerGen Renewable Energy, Abengoa, S.A., New Southern Energy, SOLA Group, SolarX.

North America was the largest region in the smart grid technology market in 2023. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the smart grid technology market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the smart grid technology market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Italy, Spain, Canada.

The primary components of smart grid technology include hardware, software, and services. Hardware encompasses both internal and external components that facilitate key operations, such as input, output, storage, communication, and processing. Upgrades in these components are essential for utilizing the grid's power more efficiently on a global scale. The application of outage management systems, demand management systems, geographical management systems, network operations, and both wired and wireless technologies is instrumental in electricity generation, transmission, distribution, and consumption. This technology finds applications among residential, commercial, industrial, and government end-users.

The smart grid technology market research report is one of a series of new reports that provides smart grid technology market statistics, including the smart grid technology industry's global market size, regional shares, competitors with a smart grid technology market share, detailed smart grid technology market segments, market trends, and opportunities, and any further data you may need to thrive in the smart grid technology industry. This smart grid technology market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The smart grid technology market includes revenues earned by entities by providing services such as more dependable power, producing renewable energy with greater efficiency, utilizing a variety of energy sources, lowering carbon footprint, laying the groundwork for electric vehicles, and producing intelligent job possibilities. The smart grid technology market consists of sales of electric power generators, smart meters (SMs), Collector nodes, Controllers, cables, circuit breakers, and power substations, which are used in providing smart grid technology services. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.


The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.