Utilities to Invest $21 Billion in Smart Grid Cyber Security by 2015

February 4, 2010

As utilities around the world have initiated major smart grid infrastructure upgrades over the past several years, cyber security has become a critical priority.  Security measures are designed to protect the electrical grid from attacks by terrorists and hackers, as well as strengthening its resilience against natural disasters and inadvertent threats such as equipment failures and user errors. 

According to a new report from Pike Research, the intense focus on smart grid cyber security from utilities, infrastructure vendors, standards bodies, and world governments is spurring a surge in revenue growth, and the cleantech market intelligence firm forecasts that the sector will increase from $1.2 billion in 2009 to $3.7 billion by 2015.  During the period from 2010 to 2015, Pike Research anticipates that a total of approximately $21 billion will be invested in global smart grid cyber security deployments.

“No utility wants to be the weak link in the chain,” says managing director Clint Wheelock.  “The concern over grid vulnerability is driving utility technologists to work closely with systems integrators, infrastructure suppliers, and standards bodies to develop a robust framework for smart grid cyber security across multiple domains.”  Wheelock adds that this process has accelerated over the past year, spurred in large part by the U.S. Department of Energy’s smart grid stimulus programs, the standards initiatives of the National Institute of Standards and Technology (NIST), and key priorities promoted by the Federal Energy Regulatory Commission (FERC).

Pike Research forecasts that equipment protection and configuration management will be the largest security category over the next several years.  Among smart grid applications, the firm expects that the greatest investments will go into cyber security for distribution automation (DA) and transmission upgrades, followed by security measures for advanced metering infrastructure (AMI) smart meters.

Pike Research’s report, “Smart Grid Cyber Security”, analyzes global market trends in terms of business drivers, technologies, standards, objectives, and requirements.    The report examines five key cyber security categories:  policy/planning/awareness, equipment protection and configuration management, monitoring and incidence response, access/audit/integrity, and risk management.  It includes profiles of key industry players and detailed market forecasts for world regions, segmented by application, through 2015.  An Executive Summary of the report is available for free download on the firm’s website.

Pike Research is a market research and consulting firm that provides in-depth analysis of global clean technology markets.  The company’s research methodology combines supply-side industry analysis, end-user primary research and demand assessment, and deep examination of technology trends to provide a comprehensive view of the Smart Energy, Clean Transportation, Clean Industry, Corporate Sustainability, and Building Efficiency sectors.  For more information, visit www.navigantresearch.com or call +1.303.953.9765. 

Register to Receive Updates

Sign up or login to receive free newsletters, research updates, access to webinars, and other analyst content from Navigant Research.

Research News

Rss
Automaker Revenue from Alternative Services Will Reach Nearly $5.3 Billion by 2023
April 23, 2014New offerings include carsharing services and home energy services, report finds • The adoption of plug-in electric vehicles (PEVs) is driving automakers to seek out new…
Read More »
Flexible Alternating Current Transmission Systems Will Surpass $5 Billion in Annual Revenue Worldwide by 2022
April 22, 2014FACTS technology can help solve demanding electricity transmission challenges, report concludes • The majority of electricity transmission systems in service today are high-voltage alternating current (HVAC)…
Read More »
Networking and Communications Equipment for Commercial Building Automation Systems Will Reach $34.7 Billion in Annual Revenue by 2021
April 17, 2014Web-based dashboards and IP-enabled devices are key market enablers, report finds • Offering automated, granular, real-time control of every major system within commercial buildings, networked building…
Read More »
Utility Investment in Conservation Voltage Reduction Will Total Nearly $4.5 Billion from 2014 to 2020
April 16, 2014Advanced CVR could save 40 million megawatt-hours annually, report concludes • One of the latent benefits of smart meter technology, or advanced metering infrastructure (AMI),…
Read More »
View All News

{"userID":"","pageName":"Utilities to Invest $21 Billion in Smart Grid Cyber Security by 2015","path":"\/newsroom\/utilities-to-invest-21-billion-in-smart-grid-cyber-security-by-2015","date":"4\/24\/2014"}