PUBLISHER: The Business Research Company | PRODUCT CODE: 1742133
PUBLISHER: The Business Research Company | PRODUCT CODE: 1742133
Generative ai in the energy sector refers to the application of artificial intelligence models capable of generating insights, forecasts and optimizations based on vast amounts of energy-related data. These ai-driven solutions are used to enhance decision-making, efficiency and operational capabilities across the energy value chain.
The generative AI in energy market consists of sales, by entities (organizations, sole traders, or partnerships), of generative AI in energy that develop, implement and provide ai-driven solutions and services tailored for the energy sector. These solutions are used to forecast energy demand, optimize grid operations, predict renewable energy output and support energy trading and pricing strategies.
The global generative AI in energy market was valued at $313.18 million in 2019 which grew till 2024 at a compound annual growth rate (CAGR) of more than 24.00%.
Increasing EV Charging Demand
During the historic period, the increasing EV charging demand propelled the growth of the generative AI in energy market. Generative ai is essential for EV charging as it optimizes charging station placement, manages energy distribution and balances grid load in real time. It enhances efficiency by predicting demand patterns, reducing charging times and integrating renewable energy sources for sustainable charging solutions. For instance, in April 2023, according to a report published by the International Energy Agency, a France-based intergovernmental organization, there were 2.7 million public charging points globally by the end of 2022, with over 900,000 installed that year, marking a 55% increase from 2021. China accounted for more than half of the world's public slow chargers, while Europe ranked second with 460,000 slow chargers, a 50% rise from the previous year. The Netherlands led in Europe with 117,000 chargers, followed by France with 74,000 and Germany with 64,000. In the United States, slow charger stock grew by just 9% in 2022, the lowest among major markets, whereas Korea saw its slow charging points double year-on-year, reaching 184,000. Therefore, the increasing EV charging demand drove the growth of the generative AI in energy market.
Advancing Energy Efficiency With On-Site Generative ai Innovations
Leading companies in the generative ai market within the energy sector are prioritizing the development of innovative solutions to enhance automation, optimize decision-making, foster innovation and generate valuable insights. These efforts aim to improve efficiency and reduce operational costs across multiple industries. Generative ai solutions, powered by artificial intelligence, are designed to create, analyze and optimize data-driven content, models and insights, facilitating better decision-making, increased automation and advanced innovation. For instance, in November 2024, Pacific Gas & Electric (PG&E), a US-based provider of natural gas and electric service, launched the deployment of an on-site generative ai solution for data retrieval at its Diablo Canyon nuclear power plant. PG&E is implementing Atomic Canyon's ai-powered solutions at Diablo Canyon, marking the first commercial on-site generative ai deployment at a U.S. nuclear power plant. Built on NVIDIA's full-stack ai platform, Atomic Canyon's Neutron Enterprise generative ai solution features the FERMI family of ai models, developed in collaboration with the Department of Energy's Oak Ridge National Laboratory. This deployment aims to revolutionize document search and retrieval processes, enhancing operational efficiency and delivering significant cost savings within the nuclear energy sector.
The global generative AI in energy market is fairly fragmented, with a large number of small players operating in the market. The top ten competitors in the market made up to 22.63% of the total market in 2023.
Generative AI In Energy Global Market Opportunities And Strategies To 2034 from The Business Research Company provides the strategists; marketers and senior management with the critical information they need to assess the global generative AI in energy market as it emerges from the COVID-19 shut down.
Where is the largest and fastest-growing market for generative AI in energy? How does the market relate to the overall economy; demography and other similar markets? What forces will shape the market going forward? The generative AI in energy market global report from The Business Research Company answers all these questions and many more.
The report covers market characteristics; size and growth; segmentation; regional and country breakdowns; competitive landscape; market shares; trends and strategies for this market. It traces the market's history and forecasts market growth by geography. It places the market within the context of the wider generative AI in energy market; and compares it with other markets.