PUBLISHER: The Business Research Company | PRODUCT CODE: 1795754
PUBLISHER: The Business Research Company | PRODUCT CODE: 1795754
Advanced metering infrastructure (AMI) encompasses a system that combines smart meters, communication networks, and data management systems to facilitate two-way communication between utilities and customer meters. This infrastructure supports the remote monitoring and management of energy usage, offering utilities access to real-time information on energy consumption, outage detection, and load management. This allows for more efficient energy distribution and improved responsiveness to changes in usage patterns.
The main components of advanced metering infrastructure (AMI) are categorized into solutions and services. An AMI solution involves a holistic system that integrates advanced metering devices, communication networks, and data management systems to enable two-way communication between utilities and meters. This setup supports various types of meters, including water, electricity, gas, and heat meters, and facilitates connectivity both wired and wirelessly. The range of end-users for AMI systems spans residential, commercial, and industrial sectors, each leveraging the technology for efficient utility management and enhanced data monitoring capabilities.
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 rise in U.S. tariffs and the ensuing trade tensions in spring 2025 are having a notable impact on the utilities sector, particularly across power generation, grid modernization, and renewable energy initiatives. Increased duties on imported equipment such as turbines, transformers, solar panels, and battery storage systems are driving up both capital and operational expenses for utility companies, prompting many to delay projects or pass higher costs on to consumers through increased energy rates. The water and waste management sectors are similarly affected, as tariffs inflate the cost of essential machinery, piping, and treatment technologies. Moreover, retaliatory tariffs from key trading partners have disrupted the supply of critical raw materials-such as rare earth elements vital for clean energy technologies-posing further challenges to the shift toward sustainable energy. In response, the sector is increasingly focusing on domestic procurement, digital transformation, and efficiency-enhancing innovations to control rising costs while safeguarding energy reliability and meeting regulatory demands.
The advanced metering infrastructure market research report is one of a series of new reports from The Business Research Company that provides advanced metering infrastructure market statistics, including advanced metering infrastructure industry global market size, regional shares, competitors with an advanced metering infrastructure market share, detailed advanced metering infrastructure market segments, market trends and opportunities, and any further data you may need to thrive in the advanced metering infrastructure industry. This advanced metering infrastructure market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.
The advanced metering infrastructure market size has grown rapidly in recent years. It will grow from $19.07 billion in 2024 to $22.1 billion in 2025 at a compound annual growth rate (CAGR) of 15.9%. The growth in the historic period can be attributed to rapid urbanization, increasing energy demand, regulatory mandates for energy efficiency, use in emissions reduction, enhanced operational efficiency for utility companies.
The advanced metering infrastructure market size is expected to see rapid growth in the next few years. It will grow to $38.89 billion in 2029 at a compound annual growth rate (CAGR) of 15.2%. The growth in the forecast period can be attributed to rising demand for smart electric meters, increasing demand for power, changing regulations by governments, reduction of energy losses, real-time energy usage insights for consumers. Major trends in the forecast period include deployment of end-to-end advanced metering infrastructure solutions, shift towards renewable energy sources, transition from AMR (Automated meter reading) to AMI (advanced metering infrastructure) to streamline operations, integration of smart grid technologies, adoption of prepayment solutions.
The forecast of 15.2% growth over the next five years reflects a modest reduction of 0.5% from the previous estimate for this market. This reduction is primarily due to the impact of tariffs between the US and other countries. Tariff-induced constraints on the import of specialized chips and smart communication modules, predominantly sourced from Taiwan and China, are expected to disrupt deployment timelines and raise costs for U.S.-based AMI infrastructure upgrades. 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 advanced metering infrastructure (AMI) market is poised for growth driven by the escalating demand for power in urbanizing nations, where rapid shifts from rural to urban living necessitate increased energy resources. Factors fueling this demand include urbanization, industrialization, infrastructure development, and governmental initiatives aimed at modernizing energy systems. AMI systems are integral to addressing these challenges by enhancing energy efficiency, reducing peak demand, and improving the reliability and sustainability of power grids. They enable electric utilities to precisely monitor energy usage, automate meter readings, and gain valuable insights into consumption patterns. For example, Exxon Mobil Corporation, a leading US-based oil and gas corporation, projected in January 2024 that transportation-related energy demand would increase by over 30% from 2021 to 2050. Additionally, the International Energy Agency (IEA) reported in 2022 that global energy investments were expected to rise by more than 8% from the previous year, reaching $2.4 trillion. This underscores the escalating need for robust energy management solutions such as AMI.
Major players in the AMI market are innovating by incorporating advanced features such as secure data encryption and remote management capabilities into their products. These features are crucial for protecting against cyber threats, complying with regulatory standards, and enabling efficient remote operations and maintenance of energy systems. In May 2023, Honeywell International Inc., a global conglomerate, introduced the next generation cellular module (NXCM) which transforms traditional gas and water meters into smart meters using existing public cellular networks. This technology enhances monitoring, safety, and analytical capabilities without the need for additional infrastructure, offering a cost-effective solution for upgrading meter networks. The NXCM provides flexible, scalable solutions for utility providers of various sizes, ensuring secure data transmission through advanced authentication and AES-128 encryption, aligning with regulatory requirements for metering and data management.
In November 2023, Gridspertise S.R.L., an Italy-based electricity infrastructure company, acquired Finland-based Aidon Oy. This acquisition merges Aidon's expertise in smart grid and smart metering solutions with Gridspertise's capabilities, strengthening their position in the Nordic markets. Aidon Oy is renowned for its advanced metering infrastructure (AMI) solutions, which are pivotal in driving forward smart grid implementations.
Major companies operating in the advanced metering infrastructure market are Hitachi Energy Ltd., Siemens AG, General Electric Company, Cisco Systems Inc., Mitsubishi Electric Corporation, Schneider Electric SE, ABB Ltd., Toshiba Corporation, Eaton Corporation plc, Alstom SA, Delta Electronics Inc., Renesas Electronics Corporation, Wabtec Corporation, Diehl Stiftung & Co. KG, Sagemcom SAS, Tietoevry Corporation, Itron Inc., Landis+Gyr AG, Holley Technology Ltd., CRRC Corporation Limited, Aclara Technologies LLC, Kamstrup A/S, Genus Power Infrastructures Ltd., ZENNER International GmbH & Co. KG, Sensus
Asia-Pacific was the largest region in the advanced metering infrastructure market in 2024. It is expected to be the fastest growing region in the market. The regions covered in the advanced metering infrastructure market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
The countries covered in the advanced metering infrastructure market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.
The advanced metering infrastructure market consists of revenues earned by entities by providing services such as software solutions, value-added services, consulting, advisory, and project management services. The market value includes the value of related goods sold by the service provider or included within the service offering. The advanced metering infrastructure market also includes sales of smart meters, communication modules, and data concentrators. 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.
Advanced Metering Infrastructure Global Market Report 2025 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses on advanced metering infrastructure market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Where is the largest and fastest growing market for advanced metering infrastructure ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward, including technological disruption, regulatory shifts, and changing consumer preferences? The advanced metering infrastructure 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 historic and forecast market growth by geography.
The forecasts are made after considering the major factors currently impacting the market. These include the technological advancements such as AI and automation, Russia-Ukraine war, trade tariffs (government-imposed import/export duties), elevated inflation and interest rates.