Smart grid IT systems: Key market research findings
- Growing need to curb power crisis drives market growth
- The Americas dominate the market geographically
- Key vendors – Accenture, GE-Alstom, Capgemini, IBM, and Siemens
Technavio’s market research analysts predict the global smart grid IT systems market to grow at a CAGR of almost 13% by 2020. The increasing power crisis across the globe stimulates growth in the market. Smart grid services use their underlying abilities to monitor and control the power grid and power distribution by incorporating the traditional outage management services such as outage management system (OMS), distribution management system (DMS), and ADMS with IT. This helps to overcome the limitations of the existing technology and restore power to the grid faster. During 2015, the Americas accounted for around 45% of the market share to dominate the global smart grid IT systems market. Increased investments in smart grid systems and the subsequent increase in the R&D spending are factors that will fuel growth in the market in the Americas during the forecast period.
The new market research report from Technavio presents a breakdown and analysis of the smart grid IT systems based on the application.
“Grid modernization is an ongoing trend in the market and is carried out through the implementation of smart grids that use digital and IT systems to manage the power flow efficiently and effectively. This provides a great scope for transitioning to smart grid either by replacing old systems or extending the old grid, leading to the growth of this market,” says Vishu Rai, Lead Analyst, Energy, Technavio Research.
By 2020, the energy management system (EMS) segment is expected to continue its market dominance with a share of more than 31%. An EMS optimizes, supervises, and controls transmission grid and generation assets. They enable grid operators to plan, implement, monitor, and analyze grid conditions, and subsequently make continuous improvements to grid operations. The growing adoption of smart grid systems worldwide will be the major fueling force behind the growth of this market segment.
The key vendors in the market include Accenture, GE-Alstom, Capgemini, IBM, and Siemens. This market is characterized by the presence of established vendors. However, on the regional front, the market is dominated by local suppliers. Key vendors have an extensive portfolio of power plant-related equipment and services and cater to all kinds of power generation plants such as coal-based, gas-based, nuclear, solar, and wind farms. The competitive environment in this market is expected to intensify during the forecast period because of the recent increase in product extensions, technological innovations, and growth in M&A.
A more detailed analysis is available in the Technavio report, Global Smart Grid IT Systems Market 2016-2020.
We can customize reports by other regions and specific segments upon request.
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