PUBLISHER: The Business Research Company | PRODUCT CODE: 1987899
PUBLISHER: The Business Research Company | PRODUCT CODE: 1987899
Smart grid information and communication technology (ICT) refers to the use of information and communication technologies to monitor, control, and optimize the operation of electrical power networks in real time. It enables two-way communication, data collection, and intelligent decision-making to improve efficiency, reliability, and energy management. By integrating digital systems with the power grid, Smart Grid information and communication technology (ICT) supports automation, better resource utilization, and improved grid performance.
The primary components of smart grid information and communication technology include hardware, software, and services. Hardware refers to physical devices and equipment that support data collection, communication, and control across the smart grid, enabling efficient and reliable energy management. Communication technologies involved include wired communication technologies, wireless communication technologies, cellular networks, satellite communication, and communication protocols. Applications include energy management systems, advanced metering infrastructure, supervisory control and data acquisition, distribution management systems, and other applications and are used by end users such as residential, commercial, and industrial sectors.
Tariffs have created mixed impacts on the smart grid information and communication technology market by increasing the cost of imported smart meters, communication modules, and networking hardware, which raises deployment and upgrade expenses for utilities. Hardware and communication technology segments are most affected, particularly in regions dependent on cross-border electronics supply such as Asia Pacific and parts of Europe. However, tariffs are also encouraging domestic manufacturing of grid hardware and promoting localized software development, which is generating positive opportunities for regional technology vendors and service providers focusing on integration and analytics solutions.
The smart grid information and communication technology (ict) market size has grown rapidly in recent years. It will grow from $48.51 billion in 2025 to $53.93 billion in 2026 at a compound annual growth rate (CAGR) of 11.2%. The growth in the historic period can be attributed to growing electricity demand in urban areas, modernization of aging grid infrastructure, government incentives for smart grid projects, rising energy efficiency awareness, increasing renewable energy integration.
The smart grid information and communication technology (ict) market size is expected to see rapid growth in the next few years. It will grow to $83.06 billion in 2030 at a compound annual growth rate (CAGR) of 11.4%. The growth in the forecast period can be attributed to accelerating smart city initiatives, rising investment in digital grid technologies, increasing adoption of distributed energy resources, growth in electric vehicle charging infrastructure, expansion of data driven utility management systems. Major trends in the forecast period include expansion of advanced metering infrastructure deployments, rising adoption of real time grid monitoring and automation, increasing integration of cybersecurity frameworks in power networks, growing use of cloud based energy management platforms, development of interoperable communication protocols for smart grids.
The rising electricity demand is expected to intensify the growth of the smart grid information and communication technology market going forward. Electricity demand refers to the total volume of electrical power required by consumers over a given period. Electricity demand is increasing due to expanding industrialization, as growing manufacturing and industrial activities require higher power consumption to operate machinery, production processes, and supporting infrastructure. Smart grid information and communication technology facilitates efficient electricity demand management by enabling demand response programs, allowing utilities to adjust or shift consumer electricity usage during peak periods, reducing grid stress and ensuring reliable power supply. For instance, in November 2024, according to Ember, a UK-based independent energy think tank, data center electricity demand, estimated at 176 TWh in 2023, was projected to increase by 8-55 TWh in 2024, representing growth of 5%-31%. Therefore, the rising electricity demand is driving the growth of the smart grid information and communication technology market.
Leading companies operating in the smart grid information and communication technology market are focusing on developing AI-powered grid digital twins to enhance real-time monitoring, optimize energy distribution, predict maintenance needs, and improve overall grid efficiency and resilience. An AI-powered grid digital twin refers to a virtual, real-time replica of an electrical grid that uses artificial intelligence to simulate, monitor, and analyze grid operations, enabling predictive maintenance, optimized energy flow, and improved decision-making for grid management. For example, in December 2025, Schneider Electric, a Canada-based energy technology company, introduced a unified digital grid platform to support real-time grid monitoring, predictive maintenance, and optimized energy management. The platform integrates grid planning, operations, and asset management to modernize aging utility infrastructure without extensive overhauls, incorporating AI for real-time outage estimation and renewable energy integration amid rising electrification and AI-driven demand. Key benefits include modular scalability on Microsoft Azure for enhanced cybersecurity and flexibility, along with faster innovation to address grid instability that costs businesses billions annually. Demonstrated outcomes include a 184% return on investment over three years, $62 million in total gains, 20% fewer outage penalties, 65% reductions in operator time, and 35% faster field resolution times.
In October 2025, Resource Innovations Inc., a US-based, women-led energy transformation company, acquired Shifted Energy for an undisclosed amount. With this acquisition, Resource Innovations aims to establish the industry's first integrated turnkey utility DSM and edge DERMS platform by incorporating Shifted Energy, enabling scalable virtual power plants, flexible load management, and improved energy equity amid rising U.S. electricity demand. Shifted Energy is a US-based technology company that provides smart grid information and communications technology (ICT).
Major companies operating in the smart grid information and communication technology (ict) market are Microsoft Corporation, Siemens AG, Hitachi Ltd., International Business Machines Corporation, Cisco Systems Inc., General Electric Company, Oracle Corporation, Schneider Electric SE, Honeywell International Inc., ABB Ltd., Fujitsu Limited, Telefonaktiebolaget LM Ericsson, Nokia Corporation, Eaton Corporation plc., Zhongxing Telecommunication Equipment, Texas Instruments Incorporated, Motorola Solutions Inc., Itron Inc., Landis+Gyr Group AG., SandC Electric Company.
North America was the largest region in the smart grid information and communication technology market in 2025. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the smart grid information and communication technology (ict) market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
The countries covered in the smart grid information and communication technology (ict) market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.
The smart grid information and communication technology (ICT) market consists of revenues earned by entities by providing services such as system integration, network management, data management, cybersecurity services, analytics services, software implementation, monitoring and diagnostics, communication services, and asset management services. The market value includes the value of related goods sold by the service provider or included within the service offering. The smart grid information and communication technology (ICT) market also includes sales of smart electricity meters, prepaid metering solutions, field area network (FAN) devices, and distribution management systems. 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.
The smart grid information and communication technology (ict) market research report is one of a series of new reports from The Business Research Company that provides smart grid information and communication technology (ict) market statistics, including smart grid information and communication technology (ict) industry global market size, regional shares, competitors with a smart grid information and communication technology (ict) market share, detailed smart grid information and communication technology (ict) market segments, market trends and opportunities, and any further data you may need to thrive in the smart grid information and communication technology (ict) industry. This smart grid information and communication technology (ict) 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.
Smart Grid Information And Communication Technology (ICT) Market Global Report 2026 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses smart grid information and communication technology (ict) 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 smart grid information and communication technology (ict) ? 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 smart grid information and communication technology (ict) 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, total addressable market (TAM), market attractiveness score (MAS), competitive landscape, market shares, company scoring matrix, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.
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