Global Smart Meters Market By Product (Smart Gas Meter, Smart Electricity Meter, and Smart Water Meter), By Technology (Advanced Metering Infrastructure and Auto Meter Reading), By End-User, By Region and Companies - Industry Segment Outlook, Market Assessment, Competition Scenario, Trends, and Forecast 2023-2032

Report Overview

The Global Smart Meter Market size is expected to be worth around USD 57.30 Billion by 2032 from USD 24.3 Billion in 2022, growing at a CAGR of 9.20% during the forecast period from 2023 to 2032.

Power companies have used meters to track power usage in every home. These devices track each household’s energy, allowing utility companies to bill consumers. Smart meters are digital devices communicating with consumer utility companies over the Internet. Sends consumer usage data to the utility every 15-1 hour, eliminating the need for a separate device.

Introducing smart meters helps power companies (smart meters) effectively manage energy consumption as they can transmit recorded usage information via power line communication or radio frequency. Demand for smart meters is increasing as digitization and automation take over the world. They are increasingly replacing traditional meters because they can provide real-time insight into power consumption.

Smart meters are now installed in most structures, both public and private. They have become an integral component of modern smart grid systems. Smart meters allow homeowners to remotely and effectively monitor electricity consumption, helping them control it and reduce overall utility bills. The growing interest in developing energy-efficient buildings will further boost sales of smart meters.

Key Takeaways

• Energy Efficiency and Sustainability: Smart meters play an invaluable role in supporting energy efficiency and sustainability. By offering real-time monitoring of energy usage, smart meters allow consumers to make more informed decisions regarding their energy use, reduce wasteful consumption, and ultimately decrease their carbon footprint.
• Grid Modernization: Smart meters are essential components of grid modernization initiatives. By providing two-way communications between utilities and consumers, smart meters enable better management, load balancing, and rapid responses to outages or disruptions.
• Data Analytics and Insights: Smart meters generate large volumes of data that utilities can utilize for analytical purposes. By delving deeper into consumer behavior, demand patterns, grid performance issues, and planning needs they can gain valuable insight into consumer preferences as well as optimizing operations and planning ahead for the future.
• Technological Advancements: The smart meter market has witnessed significant technological developments over time. These advancements include AMI implementation, IoT connectivity, and improved data security measures to safeguard consumer information.
• Global Adoption: Smart meters are rapidly being implemented globally by governments and utilities across multiple nations to achieve energy efficiency goals and enhance reliability in energy distribution systems.

Driving Factors

Government Initiatives Across the World Boosts the Smart Meters Market.

Growing acceptance of smart meters in the residential and commercial sector, rising energy consumption, and growing consumer awareness of the importance of home energy management systems (HEMS) are driving the global smart meter market.

Smart meters have attracted a lot of attention due to attractive features with advanced meter reading, billing, increased clarity, and reduced meter reading costs have become an unremovable part of the smart grid and have gradually replaced traditional meters in vertical end-users such as industrial, residential, and commercial areas.

There are different types of smart meters, like smart electricity, gas, water meters, etc. Smart meters are made to measure the consumption of gas, water, and electricity. These smart meters also have the ability to detect system faults and leaks. The growing acceptance of these smart meters is the major driving force behind the worldwide expansion of the smart meter market.

Governments worldwide are spending billions of dollars installing smart grids and meters to improve grid efficiency. In addition, various new smart city initiatives are constantly being launched worldwide. This creates lucrative growth opportunities for the global smart meter market during the forecast period. Rising energy issues and utility bills have led people to adopt home energy management systems (HEMS) to manage their energy consumption.

As smart meters are at the core of these systems, increasing use in homes and other building structures will ultimately spur future growth in the smart meter market. Likewise, advances in software and cloud computing, increased investment in digitizing grid systems, increased need to combat energy waste, and increased penetration of the Internet of Things are expected to support future market growth. will be

Restraining Factors

The lack of Infrastructure and the High Cost of Smart Meters can Obstruct the Smart Meters Market Growth.

Smart meters require big infrastructure to function properly, which is not currently available in developing countries such as India and China. Due to the high cost of installation of these meters, many customers in developing countries choose other options.

Although the increasing acceptance of smart meters across the globe, certain factors are hindering the growth of the smart meter market. These factors include regulatory restrictions, security concerns, smart meter complexity, and increasing health concerns related to wireless signals used in smart meters.

Many low-income households, especially in developing nations, refuse to use smart meters due to high bills. This also affects market growth.

Growth Opportunities

Advanced Technologies like Artificial Intelligence and Machine Learning Software in the Smart Meters are Expected to Boost the Market.

Smart meter manufacturers/producers around the world are using advanced technology in smart meters to increase the accuracy of their meters. Part of these advanced technologies is artificial intelligence and machine learning software that can simplify smart meter workflows.

Incorporating these advanced technologies into smart meters enables real-time analytics and meter accuracy monitoring of smart meter data. The use of AI and ML helps optimize utility usage. Smart meter manufacturers use these strategies to increase their market share in the smart meter market.

Latest Trends

Accurate Bills and Optimized Monitoring Influence Market Demand

Rising energy demand and continued technological advancements will boost industry revenues. With the rapid development of smart grid infrastructure, a paradigm shift towards effective monitoring and energy management devices will further drive market expansion.

Moreover, the increasing demand for electricity and growing interest in real-time monitoring of consumption patterns impact the business environment. Combining government preferential standards and incentives for resource management with the strong use of intelligent metering systems will improve business statistics.

Demand for reliable power supplies is increasing in various industries

Favorable government reforms to modernize the distorted small-scale industries coupled with rapid urbanization in developing countries will bring significant growth to the smart meter market.

In addition, effective transmission capacity and line loss reduction, followed by increased investment in R&D by private companies, will further increase the market demand for smart meters. This has enabled utilities and cities to combine and safely transition to a smart, connected grid.

By Product Analysis

Smart Electric Meters Holds the Largest Market Share

The use of advanced electricity meters helps compensate for losses by controlling the energy consumption of various electronic devices. Technological advances and population growth are increasing the global applicability of fuels.

The need for managed and sustainable energy sources is connected with declining fossil fuel production, which is expected to boost the global demand for smart electricity meters during the forecast period. Rapid urbanization paves the way for the smart electricity meter segment to grow. Growing smart city initiatives are also boosting the growth of this segment.

Smart water metering systems rely on multiple technologies to automate the collection and analysis of meter data. A system consists of a water meter with a data tracker that collects information, a communication technology that transmits the collected data, and a server that processes the information.

This intelligent system typically allows services or third-party companies to monitor or read water consumption information in real time. Customers can also use their mobile device or computer to call up consumption data from the online portal. Smart meters require various components and technology expected to help the smart meter industry grow.

Smart gas meters allow gas companies to remotely monitor customer consumption, efficiently manage operations and demand, and provide accurate bills to customers. Gas intake can be controlled with a smart meter with a remote-controlled valve.

Smart gas meters use low-voltage batteries to extend run time and avoid fire hazards. Gas flow is measured using ultrasonic or electromagnetic techniques. A low-power, long-range wireless connection is the key to efficient remote operation.

Smart gas meters enable gas companies to efficiently manage energy production, distribution, and delivery operations while reducing costs and optimizing resource allocation. You can monitor customer consumption and control the meter to avoid costly site visits.

Regulating consumption enables accurate and timely billing, accelerates cash flow, and improves customer satisfaction through greater cost transparency which helps the segment increase the growth rate during the forecast period

By Technology Analysis

Advanced Metering Infrastructure is Expected to Show Highest Growth During Forecast Period.

These meters have been adopted in recent years due to the benefits of advanced metering infrastructure. Two-way communication between the customer and the power company is the main difference between smart meters with advanced meter reading infrastructure and automatic meter reading capabilities. The major planned smart meter deployments are mainly related to advanced metering infrastructure, contributing to the growth of advanced metering infrastructure.

The increasing adoption of renewable energy also contributes to the adoption of smart electricity meters. A big advantage of intelligent electricity meters is the need for electricity consumption to be transparent between suppliers and customers.

Automated meter readings, which still have a high percentage of installations in each region, have been replaced by advanced metering infrastructure. This factor leads to an increase in the share of advanced instrumentation infrastructure in the particular forecast period.

By End-User Analysis

Huge Growth is Observed in the Residential Segment of the Smart Meters Market.

The global smart meter market is segmented into residential, commercial, industrial, and other segments based on end-user analysis. In recent years, the residential segment has dominated the market. This growth is due to increased customer demand for meters due to their transparency.

In addition, tariffs applied based on electricity consumption are another reason for increased demand across the residential sector. Another benefit of these meters is reduced energy loss.

The global market’s industrial, commercial, and other segments are expected to show steady growth. However, the increasing adoption of these meters in the residential sector will dominate the market during the specific forecast period.

Smart Meter Market Key Market Segments:

By Product

• Smart Electricity Meter
• Smart Water Meter
• Smart Gas Meter

By Technology

• Advanced Metering Infrastructure
• Auto Meter Reading

By End-User

• Residential
• Commercial
• Industrial

COVID-19 Impact Analysis:

The global pandemic caused by the spread of the new coronavirus has adversely affected all industries. The industry has suffered heavy losses due to applying strict rules, such as lockdowns, to curb the spread of the COVID-19 virus.

The pandemic has increased the demand for smart electricity meters. The decline of the power industry due to the implementation of lockdowns in various countries has impacted the establishment of distribution activities as the market is majorly dependent on electrical installations.

Companies and governments are postponing energy infrastructure projects. This factor has a direct impact on the adoption of smart meters. Nonetheless, the pandemic has underscored the urgency of moving to contactless and remote sensing solutions, increasing investment in them during the forecast period.

Regional Analysis:

Asia Pacific Region Held the Largest Market Share, Accounting for 37% of the Smart Meters Market.

Asia-Pacific holds the largest market share in the global smart meter market, and customer usage in this region is the largest in the global market. China has the largest deployment of smart meters in the Asia Pacific and the world.

Eliminating manual meter reading and direct communication between utilities and end users has also led to increased adoption of smart meters. South Korea, Japan, India, and Australia are other key countries in the region projected to have large smart meter deployments in the coming years. Asia-Pacific will dominate this market over the forecast period.

Promising market growth is expected in North America. The main drivers of growth in the region are the replacement of existing electricity meters and the planned introduction of a large number of new smart meters. In recent years, there has been a significant increase in the introduction of smart meters in North America. The United States was the most dominant country in the region, followed by Canada.

In Europe, the installation of these meters is also growing steadily. The major factor driving the market in this region is the increasing adoption of renewable energy sources. New networks are being built as the use of renewable energy sources increases. Smart electricity meters are a new technology with some significant advantages over traditional meters and are mostly preferred for new installations.

The presence of major smart meter manufacturers in the region is also boosting the market growth. Italy, Spain, France, the United Kingdom, Sweden, Norway, Netherlands, Germany, and Denmark are the major countries driving the regional market. This factor is expected to propel the European smart meter market growth at a healthy pace in years to come.

In the Middle East, Africa, and Latin America, the penetration of these gauges has so far been minimal. Brazil and Mexico in Latin America are likely to see large-scale smart meter deployments in the coming years. Similarly, South Africa and her GCC countries are set to grow at a high CAGR in the market during the specified forecast period.

Key Regions and Countries Covered in this Report:

• North America
  • The US
  • Canada
  • Mexico
• Western Europe
  • Germany
  • France
  • The UK
  • Spain
  • Italy
  • Portugal
  • Ireland
  • Austria
  • Switzerland
  • Benelux
  • Nordic
  • Rest of Western Europe
• Eastern Europe
  • Russia
  • Poland
  • The Czech Republic
  • Greece
  • Rest of Eastern Europe
• APAC
  • China
  • Japan
  • South Korea
  • India
  • Australia & New Zealand
  • Indonesia
  • Malaysia
  • Philippines
  • Singapore
  • Thailand
  • Vietnam
  • Rest of APAC
• Latin America
  • Brazil
  • Colombia
  • Chile
  • Argentina
  • Costa Rica
  • Rest of Latin America
• Middle East & Africa
  • Algeria
  • Egypt
  • Israel
  • Kuwait
  • Nigeria
  • Saudi Arabia
  • South Africa
  • Turkey
  • United Arab Emirates
  • Rest of MEA

Market Share and Key Player Analysis:

Honeywell International Inc. and Neptune Technology Group Inc. hold Major Market Share.

AEM, Aichi Tokei Denkei, Apator SA, Badger Meter Inc., and Diehl Stiftung & Co. Itron Inc. are some of the key players driving the growth of the smart meter industry.

Manufacturers are focused on expanding their customer base to gain a competitive advantage, leading to numerous strategic initiatives such as partnerships, acquisitions, and mergers. We are working on collaborating with other key players to provide automated delivery technology. Improve quality and increase acceptance of intelligent electricity meters.

 Market Key Players:

• Neptune Technology Group Inc.
• Honeywell International Inc.
• Siemens AG
• Kaifa Technology
• Suntront Technology
• Wasion Group
• Aichi Tokei Denkei
• Badger Meter
• Sensus
• Itron Inc
• Landis+Gyr
• Schneider Electric SA
• Other Key Players

Recent developments:

• In January 2023, CyanConnode announced deploying communication infra for 1 million smart electricity meters in Madhya Pradesh (India).
• In July 2022, Diehl Metering collaborated with Pöppelmann France, a producer of plastic injection molded parts for technical components, to decrease the carbon footprint of its products. As a result of the contract, Pöppelmann is developing a protective cap for water meters working on post-consumer polyethylene (PCR-PE). Generally, PCR-PE emits at least 4 times less CO2 than pure PE and uses at least 3 times less energy in production.
• In January 2022, following a series of tenders, Kamstrup collaborated with water utility Hjorring to provide smart solutions for its supply. Kamstrup offers a complete solution, including Kamstrup’s flowIQ 2200 meter, infrastructure, remote reading system, installation, and operation. New technologies improve operational efficiencies and enable consumers to track their consumption more accurately,

Report Scope: