Smart Grid Data Analytics Global Market Report 2025

The smart grid data analytics market size has grown rapidly in recent years. It will grow from $4.85 billion in 2024 to $5.42 billion in 2025 at a compound annual growth rate (CAGR) of 11.6%. The growth in the historic period can be attributed to increasing demand for energy efficiency, rising energy consumption, growth of electric vehicles, increasing energy consumption, government initiatives, and regulations.

The smart grid data analytics market size is expected to see rapid growth in the next few years. It will grow to $8.65 billion in 2029 at a compound annual growth rate (CAGR) of 12.4%. The growth in the forecast period can be attributed to growth in distributed energy resources, an increase in energy storage systems, regulatory and policy support for smart grids, an increase in decentralized energy production, and growing adoption of energy storage systems. Major trends in the forecast period include the integration of AI and machine learning for predictive analytics, advancements in real-time data monitoring and analysis, the development of 5G technology to enhance data transfer speeds, the integration of blockchain technology for secure data sharing, and enhanced collaboration between utilities and technology providers.

The forecast of 12.4% growth over the next five years reflects a modest reduction of 0.6% from the previous estimate for this market. This reduction is primarily due to the impact of tariffs between the US and other countries. This is likely to directly affect the US through limited supply of edge computing processors and power quality monitoring algorithms, mainly sourced from Taiwan and India, delaying implementation of advanced grid management systems. The effect will also be felt more widely due to reciprocal tariffs and the negative effect on the global economy and trade due to increased trade tensions and restrictions.

The growing demand for energy efficiency and sustainability is expected to drive the expansion of the smart grid data analytics market. Energy efficiency and sustainability are interconnected concepts focused on optimizing resource use, minimizing waste, and reducing the environmental impact of energy consumption. The rising demand for these initiatives is a response to global challenges such as climate change, economic instability, resource depletion, and public health concerns. Smart grid data analytics plays a vital role in enhancing energy efficiency and promoting sustainability by optimizing energy usage, improving grid management, and minimizing environmental impact. For example, in December 2024, a report published by The House of Commons Library, a UK-based government library, revealed that the proportion of homes in England with an energy efficiency rating of band C or higher had significantly improved, increasing from 12% over the past decade to 48% in 2022. As a result, the growing emphasis on energy efficiency and sustainability is fueling the growth of the smart grid data analytics market.

Leading companies in the smart grid data analytics market are integrating smart grid solutions, such as advanced analytics platforms, to enhance data security and management. Advanced analytics platforms utilize data analysis, machine learning, and AI to optimize grid performance, predict outcomes, and improve decision-making in energy distribution and management. For example, in August 2022, Dubai Electricity and Water Authority (DEWA), a UAE-based government-owned electric and water utility company, launched its Big Data and Analytics platform and Smart Grid Data Governance platform to enhance operational efficiency and asset management. These platforms integrate smart grid applications, provide data-driven forecasting, and ensure compliance with data policies, leading to improved decision-making, asset performance, and service reliability. Additionally, they enhance data management, security, and transparency while supporting the monitoring and maintenance of DEWA's Green Charger stations for electric vehicles. These initiatives aim to optimize capital investment, prevent asset failures, and ensure data consistency and privacy.

In September 2024, Energie Baden-Württemberg AG (EnBW), a Germany-based energy company, acquired Enersis Group for an undisclosed amount. This acquisition is intended to strengthen EnBW’s capabilities in digital twins and smart grid technologies within the energy sector. The move is a strategic effort to enhance EnBW’s expertise in digitized distribution networks. Enersis Group is a Germany-based technology company specializing in smart grids.

Smart grid data analytics involves leveraging advanced data analysis tools and techniques to process, examine, and interpret the vast amounts of data generated by smart grid systems. These systems incorporate modern technologies into conventional power grids, facilitating real-time monitoring, control, and optimization of electricity generation, distribution, and consumption.

The key components of smart grid data analytics include software, services, and hardware. Software comprises a collection of programs and applications that enable computers and devices to execute specific tasks. Within the Smart Grid Data Analytics market, software is utilized to process and analyze extensive energy grid data, enhancing decision-making and optimizing energy distribution. The various solutions include descriptive analytics, predictive analytics, customer analytics, diagnostic analytics, prescriptive analytics, and cognitive analytics, with deployment modes categorized into cloud-based, on-premise, and hybrid. Applications span across transmission and distribution management, energy efficiency and conservation, asset management and maintenance, cybersecurity and compliance, and smart metering and data management. These applications serve multiple industry sectors, including utilities, industrial, commercial, and residential.

Note that the outlook for this market is being affected by rapid changes in trade relations and tariffs globally. The report will be updated prior to delivery to reflect the latest status, including revised forecasts and quantified impact analysis. The report’s Recommendations and Conclusions sections will be updated to give strategies for entities dealing with the fast-moving international environment.

The sharp escalation of U.S. tariffs and resulting trade tensions in spring 2025 are significantly affecting the electrical and electronics sector. Key components such as semiconductors, display panels, and rare-earth metals crucial for batteries and motors are now facing heavy duties. Consumer electronics companies are seeing profit margins shrink, as fierce competition makes it difficult to pass on rising costs to consumers. At the same time, industrial electronics firms are experiencing project delays due to shortages of tariff-impacted parts like printed circuit boards. In response, businesses are shifting assembly operations to tariff-exempt nations, building up inventory reserves, and redesigning products to reduce reliance on restricted materials.

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

Major players in the smart grid data analytics market are Siemens Aktiengesellschaft, General Electric Company, Accenture plc, International Business Machines Corporation (IBM), Cisco Systems Inc., Oracle Corporation, Schneider Electric SE, Honeywell International Inc., SAP SE, ABB Ltd., Fujitsu Limited, Tata Consultancy Services Limited, Capgemini SE, Eaton Corporation plc, Wipro Limited, SAS Institute Inc., Itron Inc., Landis+Gyr Group AG, Hansen Technologies Ltd., Sensus USA Inc.

North America was the largest region in the smart grid data analytics market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in smart grid data analytics report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa.

The countries covered in the smart grid data analytics market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The smart grid data analytics market consists of revenues earned by entities providing services such as software solutions, analytics as a service (AaaS), consulting, and professional services. The market value includes the value of related goods sold by the service provider or included within the service offering. The smart grid data analytics market also includes sales of smart meters, data collection devices, and cybersecurity solutions. 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.

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