During the next decade, software as a service is expected to be the fastest-growing utility spending category
A new report from Navigant Research examines the global market for smart grid IT systems and analytics solutions, analyzing major technologies and providing market forecasts for software, implementation and upgrade services, maintenance, and cloud-based revenue, through 2026.
Increasingly sophisticated IT solutions are helping utilities leverage operational and customer data to automate grid control and maintenance functions and better engage with customers. During the next decade, combining these innovations with a growing range of analytics solutions is expected to account for an increasing portion of utility investment. Click to tweet: According to a new report from @NavigantRSRCH, the global market for smart grid IT and analytics for software and services is expected to grow from approximately $12.8 billion in 2017 to more than $21.4 billion in 2026.
“Smart grid hardware—sensors, meters, etc.—provides utility operators with grid data, but IT solutions make that data actionable, rendering the grid truly smart,” says Michael Kelly, research analyst with Navigant Research. “The potential for dramatically improved efficiency, reliability, and profitable performance is enormous—as is the need for significant additional investment on the part of electric utilities worldwide in order to achieve this potential.”
Navigant Research projects that managed services (or software as a service, SaaS) is expected to be the fastest-growing spending category, increasing at a 16.0 percent compound annual growth rate through 2026. However, utility investment in new IT solutions is expected to happen in an incremental fashion in most regions, due mostly to financial constraints and competing budget items, according to the report.
The report, Market Data: Smart Grid IT Systems, analyzes the global market for smart grid IT systems and analytics solutions. Global market forecasts for smart grid IT and analytics software, implementation and upgrade services, maintenance, and cloud-based revenue extend through 2026. The study covers 12 major smart grid IT systems, including four smart grid analytics applications: advanced distribution management systems, asset management systems, customer information systems, demand response management systems, distributed energy resource management systems, energy management systems, geographic information systems, meter data management systems, mobile workforce management systems, outage management systems, SCADA, and analytics. An Executive Summary of the report is available for free download on the Navigant Research website.
Contact: Lindsay Funicello-Paul
* The information contained in this press release concerning the report, Market Data: Smart Grid IT Systems, is a summary and reflects Navigant Research’s current expectations based on market data and trend analysis. Market predictions and expectations are inherently uncertain and actual results may differ materially from those contained in this press release or the report. Please refer to the full report for a complete understanding of the assumptions underlying the report’s conclusions and the methodologies used to create the report. Neither Navigant Research nor Navigant undertakes any obligation to update any of the information contained in this press release or the report.