Global Smart Power Distribution Systems Market Size, Share, and COVID-19 Impact Analysis, By Component (Hardware, Software, Services), By Application (Residential, Commercial, Industrial), and by Region (North America, Europe, Asia-Pacific, South America, Middle East and Africa) Analysis and Forecast 2022-2030

KEY MARKET INSIGHTS

The smart power distribution systems market was valued at US$ 23.8 Bn in 2021 and is projected to reach US$ 96.2 Bn by 2030, at a CAGR of 9.7%. The penetration of smart power distribution systems has expanded due to the growth and expansion of grid infrastructure, rising demand for the integration of renewable energy sources, high grid resilience, and efficient outage response. Factors such as the growing number of oil and gas companies, as well as constant technical improvements, are driving the global smart power distribution systems market. Smart grid solutions allow electrical appliances to be automatically managed while also lowering the overall cost of electricity, which is why consumers are quickly adopting them. During the projection period, the considerable presence of industry players functioning in the smart power distribution systems market is also helping to market growth.

COVID-19 ANALYSIS

The global smart power distribution systems market is negatively impacted with the outbreak of COVID-19. The industrial industry is experiencing enormous hurdles as the pandemic continues to spread across North America and developing Asian countries. Since the third quarter of 2020, the US car industry, which is one of the largest in the world, has been stagnant. Various automobile businesses have scaled back their production operations across the region, rendering technologies like IoT, AI, and Blockchain that were formerly used in their factories obsolete. Mexico is a major beneficiary of North America's automotive sector. However, the Mexican automotive industry has suffered considerable losses as a result of the significantly reduced residential of automobiles.

LATEST TREND

Prevalence of Blockchain Technologies in Different Applications

The key driving factor for this market is the prevalence of blockchain technologies into different applications are likely to propel the growth of the global smart power distribution systems market. One of the most significant factor of internet technology is data management. Internet-connected gadgets amass massive amounts of data and information that must be processed. The internet of things standard security gateway, on the other hand, poses a slew of security and privacy concerns. The blockchain-based architecture enables basic and decentralized security solutions for connected devices.

DRIVING FACTORS

Government Initiatives for the Development of Smart Cities

Smart city projects require a broad mix of technologies, such as IoT, AI, and smart sensors, whose use differs among projects and cities. The desire to make cities more resilient, save energy, and decrease environmental waste are the main motivators for implementing smart city technologies. The relevance of public healthcare in smart city projects has been highlighted, as has the global economy's reliance on urban regions. Organizations are attempting to tackle the obstacles experienced during the epidemic by implementing emerging technologies such as the Internet of Things (IoT) and Artificial Intelligence (AI).

Rising Demand for A Healthy Environment with Efficient Energy Consumption

The adoption of smart city solutions is fueled for the focus to reduce energy consumption and a worry about the spread of environmental trash. Concerns about global warming and ozone depletion have spurred governments' attempts to minimize their carbon footprint, with governments enacting stronger laws to curb emissions in both wealthy and developing countries. Intelligent infrastructure automation, smart grids, and control systems all help to reduce power consumption and carbon emissions, decreasing losses and optimizing operations.

RESTRAINTS

Concerns Pertaining to High Maintenance Cost of Smart Power Distribution Systems May Hinder the Market Growth

The industrial control & factory automations are more expensive than traditional machines are anticipated to restrict the growth of the global smart power distribution systems market during the forecast period. Industrial solutions have a higher residential cost and require more upkeep which has resulted in increasing prices. Nonetheless, the demand for maintaining and updating industrial control and factory automation systems and solutions follows the initial capital investments. High capital re-investments are required to maintain and upgrade industrial control and factory automation systems and solutions. As a result, the necessity for large initial investments and maintenance re-investments limit the growth of the industrial control and factory automation market is limiting the growth of the global smart power distribution systems market.

SEGMENTATION

The global smart power distribution systems market is segmented by Component (Hardware, Software, Services), by Application (Residential, Commercial, Industrial) and region. Based on the component, the market is categorized into Hardware, Software, Services. Based on application, the market is categorized into residential, commercial, industrial. Based on the region, the market is categorized into North America, Europe, Asia-Pacific, South America, Middle East and Africa.

Component Insights

Based on the component segment, the global smart power distribution systems market is categorized into hardware, software and services. The software segment accounted largest market share in 2020 due to the increasing adoption of solutions among the applications. Smart grid software solutions aid in the efficient administration of smart grid operations, the improvement of process efficiency, and the reduction of energy production costs, all of which will likely drive up demand for smart grid software solutions. The smart grid software aids in the efficient administration of smart grid activities, as well as the reduction of energy production costs.

Application Insights

Based on the application segment, the global smart power distribution systems market is categorized into residential, commercial, industrial, retail, healthcare, transportation & others. The industrial segment accounted largest market share in 2020 due to the need for smart power distribution systems solutions is predicted to rise as a result of several improvements in the networking industry and different benefits provided by automation technology.

REGIONAL INSIGHTS

The global smart power distribution systems market is categorized into North America, Europe, Asia-Pacific, Latin America, Middle East and Africa. North America is expected to dominate the market share of global smart power distribution systems market owing to developments in technology and the existence of a large number of grid automation solution providers in the area. Because of the increased use of power in the region, power grid solutions and services providers in North America are working and focused on supplying a variety of sophisticated technological solutions to consumers. In order to increase operational efficiency and customer service, a growing number of utilities in North America are investing in smart grid technologies. Increasing integration of multiple connected smart devices, fast digitalization across the IoT industry's applications, and technological breakthroughs have all contributed to the IoT industry's growing demand in the North American region. However, Asia Pacific is anticipated to emerge as the fastest-growing region over the forecast period. Advanced factory automation systems are becoming increasingly popular in the region, particularly in Japan, China, and Taiwan. Because of their bigger customer bases, APAC's need for smart power distribution systems is anticipated to remain centered in China and India. Due to the growing need to upgrade grid infrastructure and eliminate power outages, India's market is expected to grow at a considerable CAGR among Asia Pacific countries over the projection period. Several nations in APAC still use traditional power distribution systems, although this is projected to change as smart grid technologies become more prevalent.

KEY INDUSTRY

· ABB

· Aclara Technologies LLC

· Cisco

· Eaton

· Fuji Electric Co., Ltd

· GE

· Oracle

· Wipro Limited

· Landis+Gyr

· Honeywell International Inc.

· Itron Inc.

· ABB

· Siemens

· Others

KEY INDUSTRY DEVELOPMENTS:

December 2021- ABB launched EcoStruxure Power which is IoT-enabled architecture and platform designed to digitize and simplify electrical distribution infrastructure and delivers “always-on” power for commercial buildings, healthcare, data centres, industry and infrastructure.

September 2020- Siemens launched new Unified Power Flow Controller (UPFC) PLUS and expanded the options for grid stabilization.

SEGMENTATION

By Component

• Hardware
• Software
• Services

By Application

• Residential
• Commercial
• Industrial

By Region

• North America- U.S., Mexico, Canada
• Europe- UK, France, Germany, Italy
• Asia-Pacific- China, Japan, India
• Latin America- Brazil, Argentina, Colombia
• The Middle East and Africa- United Arab Emirates, Saudi Arabia