IoT Utilities Market Size & Share 2017 - 2024
Market Size by Platform (Network Management, Device Management, Application Management), by Technology (Sensors, RFID, Connectivity Technology), by Component (Hardware, Software [Data Management, Streaming Analytics, Security, Remote Monitoring, Bandwidth Management]), by Service (Professional Service, Managed Service), by Application (Electricity Grid Management, Gas Management, Water & Waste Management), Industry Analysis Report, Regional Outlook, Industry Potential, Price Trends, & Forecast.
Report ID: GMI2099
|
Published Date: September 2017
|
Report Format: PDF
Download Free PDF
Authors:
Suraj Gujar, Ankita Chavan
IoT Utilities Market Size
IoT Utilities Market size value crossed USD 4 billion in 2016 and is anticipated to register gains at over 20% to 2024.
Rising focus on making energy usage more efficient to relieve stress on increasing energy demand is expected to drive the IoT utilities market over the forecast timeline. Smart grid modernization across regions such as the U.S. UK, China, etc. lies significant growth opportunities. Moreover, government initiatives associated with smart grid in countries such as Japan and India are expected to boost the market demand.
Increasing adoption of cloud-based platforms across the utility industries for remote monitoring of the facilities industries are implementing advanced solutions to gain the visibility into each step of the business processes with high investment on infrastructure development.
Lack of interoperability coupled with the unavailability of proper standards might hinder the market growth over the forecast timeline. In addition, lack of skilled workforce with low technical expertise coupled with rising number of cyber-attacks across industries will restrain the implementation.
IoT Utilities Market Analysis
Network management platform is expected to witness significant growth in IoT utilities market over the forecast timeline. This is attributed to the increasing demand of management of devices operating in the IoT network. This platform enables the users to make a transition to the grid by allowing them real-time visibility across the pipeline and grid assets. It gives operators the visibility to respond quickly in case of any emergency such as gas leak from the facilities.
Device management platform dominates the market with a significant revenue share owing to the high need to manage devices in the system generating enormous volume of data. Streamlining the transition of information in the utility operations can be obtained by usage of such platforms resulting in enhancing the overall efficiency with cost optimization.
Declining prices of components such as sensors and ICs is anticipated to fuel the market growth. Increasing demand to monitor the status of the equipment followed by the health of workers performing the tasks contributes to the high demand for advanced sensor devices. Sensors are implemented at various check points across the industrial plant in order to monitor the assets as well as for data generation purpose. The data generated from the sensors provide clear insights to identify any type of leaks or damaged infrastructure. It helps in saving time in searching for the problem enabling the users to repair timely thus limiting the damage. Connectivity technologies will also grow considerably owing to the increasing demand for maintaining proper communication among the devices operating in the network.
Hardware segment dominates the market owing to the increasing investments in hardware integrated with advanced digital solutions across the industry. Devices such as smart meters placed in a facility connects to a smart energy grid enabling the companies to manage the energy flow in such facilities in an effective manner. Data is collected from the meters automatically by the operators eliminating the need for visiting physical meter in the field. Component such as smart meters are growing in popularity among the companies operating in the utility industry owing to the features such as remote location, identification of grid fault and restoration in real-time.
Professional services are dominating the revenue share in the IoT utilities market due to the increasing demand from utility companies for highly customized business as well as consulting services. The benefits of using professional services helps enterprises to mitigate risks by developing & prioritizing strategies, optimize the performance & security resulting in improving the business processes. Furthermore, range of consulting services are being offered by these providers include development strategy followed by data & application services.
Gas management is expected to witness significant growth in the market over the forecast timeline owing to increasing demand from the users to remotely monitor facilities coupled with any fault or leak detection. The leakage in pipelines and any fault in the facilities may lead to a huge disaster which lies huge growth opportunities. However, electricity grid management segment is expected to continue the dominance pertaining to high implementation and rising use cases across the industry.
The U.S. will witness healthy growth in the IoT utilities market due to high awareness of the users regarding the benefits of implementing IoT technology that helps in managing their resources. Moreover, the presence of large number of gas production facilities in the country supports the rising demand to implement such solutions.
The presence of several electricity production facilities followed by gas production facilities in the Asia Pacific region provides significant growth opportunities to the market. Growing trend of digitization coupled with the rising use cases across industry is expected to fuel the demand over the future. Increasing investments on advanced technologies by the utility companies contributes to the growth.
IoT Utilities Market Share
Key players in the market include:
Players operating in the market are increasingly focusing on utility companies to boost the transformation of product and service offerings with the use of digital technology. The players are heavily investing on the R&D of fully connected solutions for every aspect of the utility industry.
IoT Utilities Industry Background
The utility industry continues to face difficulty related to the complexity and high costs associated with maintaining their assets. Rising incidents of cyber threats poses significant challenge to the industry growth. IoT technology is witnessing huge adoption in the industry to remote monitoring of assets, pre-identification of faults and restoring without physically visiting the facility. Also, the implementation of the technology for electricity grid management is helping the companies to achieve their goals of efficiency, reliability and environmental responsibility.
Research methodology, data sources & validation process
This report draws on a structured research process built around direct industry conversations, proprietary modelling, and rigorous cross-validation and not just desk research.
Our 6-step research process
1. Research design & analyst oversight
At GMI, our research methodology is built on a foundation of human expertise, rigorous validation, and complete transparency. Every insight, trend analysis, and forecast in our reports is developed by experienced analysts who understand the nuances of your market.
Our approach integrates extensive primary research through direct engagement with industry participants and experts, complemented by comprehensive secondary research from verified global sources. We apply quantified impact analysis to deliver dependable forecasts, while maintaining complete traceability from original data sources to final insights.
2. Primary research
Primary research forms the backbone of our methodology, contributing nearly 80% to overall insights. It involves direct engagement with industry participants to ensure accuracy and depth in analysis. Our structured interview program covers regional and global markets, with inputs from C-suite executives, directors, and subject matter experts. These interactions provide strategic, operational, and technical perspectives, enabling well-rounded insights and reliable market forecasts.
3. Data mining & market analysis
Data mining is a key part of our research process, contributing nearly 20% to the overall methodology. It involves analysing market structure, identifying industry trends, and assessing macroeconomic factors through revenue share analysis of major players. Relevant data is collected from both paid and unpaid sources to build a reliable database. This information is then integrated to support primary research and market sizing, with validation from key stakeholders such as distributors, manufacturers, and associations.
4. Market sizing
Our market sizing is built on a bottom-up approach, starting with company revenue data gathered directly through primary interviews, alongside production volume figures from manufacturers and installation or deployment statistics. These inputs are then pieced together across regional markets to arrive at a global estimate that stays grounded in actual industry activity.
5. Forecast model & key assumptions
Every forecast includes explicit documentation of:
✓ Key growth drivers and their assumed impact
✓ Restraining factors and mitigation scenarios
✓ Regulatory assumptions and policy change risk
✓ Technology adoption curve parameter
✓ Macroeconomic assumptions (GDP growth, inflation, currency)
✓ Competitive dynamics and market entry/exit expectations
6. Validation & quality assurance
The final stages involve human validation, where domain experts manually review filtered data to identify nuances and contextual errors that automated systems might miss. This expert review adds a critical layer of quality assurance, ensuring data aligns with research objectives and domain-specific standards.
Our triple-layer validation process ensures maximum data reliability:
✓ Statistical Validation
✓ Expert Validation
✓ Market Reality Check
Trust & credibility
Verified data sources
Trade publications
Security & defense sector journals and trade press
Industry databases
Proprietary and third-party market databases
Regulatory filings
Government procurement records and policy documents
Academic research
University studies and specialist institution reports
Company reports
Annual reports, investor presentations, and filings
Expert interviews
C-suite, procurement leads, and technical specialists
GMI archive
13,000+ published studies across 30+ industry verticals
Trade data
Import/export volumes, HS codes, and customs records
Parameters studied & evaluated
Every data point in this report is validated through primary interviews, true bottom-up modelling, and rigorous cross-checks. Read about our research process →