Advanced Metering Infrastructure Market

The global Advanced Metering Infrastructure market was valued at USD 21.9 Billion in 2023 and is estimated to grow at a CAGR of 12.5% between 2024 and 2030. The market is driven by energy efficiency imperative and renewable energy integration.

The Global Advanced Metering Infrastructure (AMI) Market is at the forefront of a transformative revolution in the utility sector, reshaping the way electricity, water, and gas consumption is monitored, managed, and billed. This executive summary provides a comprehensive overview of the market, offering key insights into its current state and future potential, encompassing market drivers, challenges, opportunities, dominating segments, regions, countries, and key players. As the world embraces the digital age and sustainability imperatives, AMI stands as a pivotal technology poised to revolutionize utilities, enhance efficiency, reduce environmental impact, and empower consumers. The Global AMI Market revolves around the deployment of smart meters, communication networks, and data management systems to gather real-time information on utility consumption. This growth reflects its vital role in addressing pressing challenges such as resource scarcity, environmental sustainability, and grid modernization. AMI facilitates remote meter reading, identifies leakages, reduces energy wastage, and empowers consumers with data-driven insights into their consumption patterns, contributing to a more efficient, resilient, and sustainable utility infrastructure.

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AMI enables utilities to monitor and manage resources with precision, optimizing distribution, reducing losses, and enhancing efficiency. Additionally, as the world shifts towards renewable energy sources like solar and wind, AMI offers the critical ability to monitor and balance the intermittent generation patterns of renewables, ensuring grid stability and enabling smoother integration into the energy mix. The imperative to reduce carbon emissions and foster sustainable energy practices positions AMI as an essential technology for the energy transition. Despite its potential, the AMI Market faces challenges such as cybersecurity concerns, interoperability issues, and the high upfront costs of infrastructure deployment. Ensuring the security of vast amounts of data generated by AMI systems is a paramount challenge, necessitating robust cybersecurity measures. Interoperability between various hardware and software Smart Metering Devices remains a challenge as different vendors provide solutions that need to seamlessly communicate. Additionally, the significant capital investment required for the installation of smart meters and associated infrastructure can be a barrier, particularly for smaller utilities. Addressing these challenges is pivotal to unleashing the full potential of AMI in transforming utility operations.

Opportunities – Renewable Energy Integration and Grid Balancing Opportunities

The increasing integration of renewable energy sources, such as solar and wind, poses challenges to grid stability due to their intermittent nature. However, this dynamic scenario presents a promising long-term opportunity for advanced metering infrastructure (AMI) companies to play a pivotal role in addressing these challenges and unlocking government support. AMIs offer solutions through various avenues. Real-time monitoring and control of energy consumption at the individual customer level enable utilities to implement Demand-side Management (DSM) programs, allowing for adjustments based on grid needs and load balancing during peak solar generation. Moreover, AMIs facilitate the integration of Distributed Energy Resources (DERs) like rooftop solar panels and microgrids, optimizing grid operations and ensuring stability. Leveraging data analytics and forecasting capabilities, AMIs provide valuable insights into energy usage patterns, enabling proactive management of grid resources and avoiding outages. As key Smart Metering Devices of smart grid technology, AMIs contribute to grid modernization, enhancing resilience and accommodating the growing penetration of renewables.

The prospect for AMI companies is further bolstered by government support, including policy incentives, tax breaks, subsidies, and funding programs aimed at promoting renewable integration and grid modernization. To capitalize on these opportunities, AMI companies can adopt key strategies such as investing in cutting-edge technology, forming strategic partnerships with utilities and energy players, focusing on customer engagement, and actively advocating for supportive policies. By aligning with government initiatives and offering comprehensive solutions, AMI companies can position themselves for long-term success in the evolving energy landscape.

By Smart Metering Devices Analysis–Electricity segment maintain their dominance as the largest segment

Smart electric meters have evolved beyond traditional measurement devices, offering a spectrum of functionalities that contribute to a more efficient and responsive energy landscape. These advanced devices provide real-time data on electricity consumption at various intervals, enabling the identification of peak periods and optimization of energy use. With remote monitoring capabilities, utility companies can eliminate the need for physical meter readings, saving time and resources. The two-way communication feature facilitates dynamic pricing models, demand-response programs, and remote control of appliances, fostering a more interactive relationship between the meter and the grid. Additionally, smart meters contribute to grid stability and maintenance by monitoring power quality, detecting voltage fluctuations, outages, and other issues. Security features, including tamper detection, prevent meter tampering and electricity theft, leading to fairer billing and reduced losses for utilities. Integration with smart homes further enhances automation, allowing connectivity with devices like thermostats and appliances for automated energy management and cost savings.

Market Dynamics

Market Drivers:

• Energy Efficiency Imperative
• Renewable Energy Integration

Major Opportunities:

• Renewable Energy Integration and Grid Balancing Opportunities
• Integration of IoT and Advance Analytics

Major Restraints:

• High Infrastructure Costs and Funding Challenges

By End-User Analysis – Residential sector dominates the end user sector

The residential sector is expected to remain the largest segment of the global AMI market throughout the forecast period. This growth is due to a number of factors, including the large and growing number of residential buildings, the increasing awareness of energy efficiency among homeowners, and government initiatives to promote smart meter deployment in the residential sector.The commercial sector is also expected to experience significant growth over the forecast period. The commercial sector is expected to account for 31.52% of the market in 2023, and this share is expected to decrease slightly to 30.68% by 2030. This decline is due to a number of factors, including the slower growth of the commercial building market compared to the residential market, and the fact that commercial buildings tend to be more energy-efficient than residential buildings.

The industrial sector is expected to have the smallest share of the AMI market throughout the forecast period. The industrial sector is expected to account for 17.22% of the market in 2023, and this share is expected to decrease slightly to 16.42% by 2030. This decline is due to a number of factors, including the slow growth of the industrial sector, the high upfront costs of AMI deployment for industrial facilities, and the fact that industrial facilities often have their own energy management systems in place..

By Region –North America leading as the largest regional market

Advanced Metering Infrastructure (AMI) in North America is witnessing robust growth driven by various factors. Energy efficiency stands out as a primary driver, with AMI enabling utilities and consumers to monitor energy consumption in real-time, fostering informed energy-saving practices and optimizing the overall grid. The push for grid modernization is further enhancing reliability and flexibility by seamlessly integrating renewable energy sources and distributed generation. The momentum is propelled by supportive government policies and incentives in the United States and Canada, which set targets for smart meter deployment and energy efficiency goals.

AMI’s role in facilitating data-driven decisions for utilities is pivotal, providing valuable insights into infrastructure investments, maintenance, and customer service. Beyond utility-centric advantages, AMI empowers consumers with tools to manage energy consumption, potentially resulting in cost savings and increased satisfaction. Technological advancements in smart meter technology, communication networks, and data analytics contribute to the continued cost-effectiveness and efficiency of AMI. However, challenges such as high upfront costs, cybersecurity vulnerabilities, and interoperability issues remain, posing weaknesses and potential barriers to widespread adoption.

Key Market Players

Major companies in the global Advanced Metering Infrastructure market include Itron, Inc., Landis+Gyr, Honeywell International Inc., Siemens AG, Schneider Electric SE, Badger Meter, Inc., Aclara Technologies LLC, EDMI Limited, Trilliant Holdings, Inc., ZENNER International GmbH & Co. KG and others. The Advanced Metering Infrastructure market is highly fragmented, with top players accounting nearly one third of the global market revenues.

Segmentations Analysis of Advanced Metering Infrastructure Market: –

Major Segmentations Are Distributed as follows:

• By Smart Metering Devices:
  • Electricity
  • Water
  • Gas
• By Communication Module:
  • Cellular Communication Module
  • RF Mesh Communication Module
  • Power Line Communication Module
• By Service:
  • System Integration
  • Program Consulting
  • Meter Deployment
• By Solution:
  • Advanced Metering Infrastructure Security
  • Meter Communication Infrastructure
  • Meter Data Analytics
  • Meter Data Management
• By End User
  • Residential
  • Commercial
  • Industrial
• By Region
  • North America
    • U.S.
    • Canada
  • Latin America
    • Brazil
    • Mexico
    • Argentina
    • Colombia
    • Chile
    • Peru
    • Rest of Latin America
  • Europe
    • Germany
    • France
    • Italy
    • Spain
    • U.K.
    • BENELUX
    • CIS & Russia
    • Nordics
    • Austria
    • Poland
    • Rest of Europe
  • Asia Pacific
  • China
  • Japan
  • South Korea
  • India
  • Thailand
  • Indonesia
  • Malaysia
  • Vietnam
  • Australia & New Zealand
  • Rest of Asia Pacific
  • Middle East & Africa
  • Saudi Arabia
  • UAE
  • South Africa
  • Nigeria
  • Egypt
  • Israel
  • Turkey
  • Rest of MEA

Recent Developments

• Landis+Gyrintroduced the next generation of smart gas technology at the 2023 American Gas Association’s Operations Conference and Biennial Exhibition in Grapevine, TX. The company showcased the G480 ultrasonic meter platform, an intelligent solid-state meter with flexible communication options and functions that improve system operations, customer service and safety for utility operators..
• Honeywell launched its Next Generation Cellular Module (NXCM) enabling Advanced Metering Infrastructure (AMI), a groundbreaking solution that upgrades legacy gas and water meters into smart meters without requiring expenditure on additional infrastructure. This innovative module allows meters to be wirelessly connected through existing public cellular networks, enhancing monitoring, safety, and analytics capabilities for utility providers and their customers.
• Itron, Inc. supporting Alectra Utilities to modernize and improve the utility’s electric distribution grid performance and enable value added services for its 1M+ customers.

The report includes Vendor Assessment (Company Profiles, Market Positioning, Strategies, Recent Developments, Capabilities & Product Offerings / Mapping), Technology Assessment (Developments & Economic Impact), Partner & Customer Ecosystem (Product Services, Proposition & Key Features) Competitive Index & Regional FootPrint by MarketDigits.

Report Answers Following Key Questions:

• What will be the Advanced Metering Infrastructure  Market’s Trends & growth rate? What analysis has been done of the prices, sales, and volume of the top producers in the Advanced Metering Infrastructure Market?
• What are the main forces behind worldwide Advanced Metering Infrastructure  Market growth? Which companies dominate Advanced Metering Infrastructure  Market?
• Which companies dominate Advanced Metering Infrastructure  Market? Which business possibilities, dangers, and tactics did they embrace in the market?
• What are the global Insight Engines industry’s suppliers’ opportunities and dangers in Advanced Metering Infrastructure  Market?
• What is the industry’s regional sales, income, and pricing analysis? In the Advanced Metering Infrastructure  Market, who are the distributors, traders, and resellers?

What are the main geographic areas for various trades that are anticipated to have astounding expansion over the Advanced Metering Infrastructure  Market?