Through market attractiveness analysis, total addressable market evaluation, company benchmarking matrices, interactive Excel dashboards, expanded supply chain intelligence, emerging startup coverage, and detailed product insights, The Business Research Company’s 2026 market reports provide more actionable and strategically valuable research.
Artificial Intelligence (AI) In Utilities Operations Market Revenue Outlook: What CAGR Is Expected Through 2030?
The artificial intelligence (AI) in utilities operations market size has demonstrated substantial growth in recent years. This market is expected to expand from $6.22 billion in 2025 to $7.6 billion in 2026, achieving a compound annual growth rate (CAGR) of 22.2%. The expansion observed during the historic period can be linked to the broadening of utility digitization initiatives, the increasing rollout of smart meters, a heightened demand for outage reduction, the initial uptake of predictive analytics in utilities, and the proliferation of distributed energy resources.
The artificial intelligence (AI) in utilities operations market is set for substantial expansion, with projections indicating it will reach $17.05 billion by 2030, growing at a compound annual growth rate (CAGR) of 22.4%. This anticipated growth is driven by factors such as increased investments in smart grid modernization, a rising need for AI-driven energy efficiency solutions, the broadened integration of renewable energy sources, a heightened focus on the resilience and reliability of utility services, and the growing incorporation of edge analytics within utility operations. Key trends during this period will include the increasing uptake of AI-based grid management systems, a surge in the deployment of predictive maintenance analytics, the expanded utilization of smart meter data for intelligence, the further development of AI-enabled forecasting for renewable integration, and a stronger emphasis on the resilience of utility networks.
Download A Free Sample Report For Comprehensive Market Insights:
#Artificial Intelligence (AI) In Utilities Operations Market Growth Drivers And Industry Catalysts
The growing adoption of renewable energy sources is anticipated to drive the expansion of the artificial intelligence in utilities operations market in the future. These sources, such as sunlight, wind, water, and biomass, are naturally replenished and utilized for energy generation. Their increasing deployment aims to cut greenhouse gas emissions by generating electricity without burning fossil fuels, thereby assisting in the fight against climate change and air pollution. Artificial intelligence in utilities operations supports renewable energy by optimizing its generation, forecasting demand, and overseeing grid integration. This facilitates the efficient utilization of variable energy forms like solar and wind, simultaneously lowering curtailment and operational expenses. As an example, in January 2024, the International Energy Agency, a France-based intergovernmental organization, reported that in 2023, global renewable energy capacity additions saw a significant rise of 50%, reaching almost 510 gigawatts (GW). Solar PV alone accounted for approximately three-quarters of these new installations globally. Consequently, the increasing incorporation of renewable energy sources is a key factor propelling the expansion of the artificial intelligence in utilities operations market.
Artificial Intelligence (AI) In Utilities Operations Market Segment Analysis And Revenue Opportunities
The artificial intelligence (AI) in utilities operations market covered in this report is segmented –
1) By Component: Software; Hardware; Services
2) By Deployment Mode: On-Premises; Cloud
3) By Utility Type: Electricity; Water; Gas; Renewable Energy
4) By Application: Energy Management; Grid Management; Asset Management; Customer Service; Predictive Maintenance; Other Applications
5) By End User: Residential; Commercial; Industrial
Subsegments:
1) By Software: Predictive Analytics; Machine Learning Platforms; Decision Support Systems; Data Visualization Tools; Energy Management Applications
2) By Hardware: Smart Meters; Sensors; Servers; Edge Computing Devices; Communication Gateways
3) By Services: Consulting Services; System Integration Services; Maintenance Services; Training Services; Cloud Support Services
#Artificial Intelligence (AI) In Utilities Operations Market Trends Influencing Long-Term Demand
Major companies in the artificial intelligence in utilities operations market are concentrating on developing innovative solutions, such as AI-powered network model tuning. These solutions aim to synchronize digital grid models with real-world conditions, improve performance, reduce operational costs, and boost reliability across power networks. AI-based network model tuning involves using artificial intelligence to automatically update and align a utility’s digital grid model with actual conditions, thereby increasing accuracy, enhancing reliability, optimizing grid performance, and minimizing operational costs and outages. For instance, in November 2025, Schneider Electric SE, a France-based multinational technology company, launched the “one digital grid platform” to assist utilities in modernizing and reinforcing their grids through AI. The platform enhances reliability, forecasts and manages outages, and aligns digital models with real-world conditions. It also streamlines operations and enables seamless integration of renewables and distributed energy resources without requiring replacement of existing infrastructure. This launch is designed to make grids smarter, more resilient, and future-ready.
Artificial Intelligence (AI) In Utilities Operations Market Leading Players Shaping Industry Direction
Major companies operating in the artificial intelligence (AI) in utilities operations market are Itron Inc., Open Systems International, C3 AI Inc., SparkCognition Inc., Uplight Inc., AiDASH Inc., Uptake Technologies Inc., Anodot Inc., Mosaic Data Science, Sharper Shape Inc., Amperon Inc., Kinetica Inc., eSmart Systems, Bidgely Inc., Utilidata Inc., WeaveGrid Inc., UrbanChain Inc., One Concern Inc., Flexitricity Ltd., Buzz Solutions, and Opus One Solutions Inc.
Access The Complete Artificial Intelligence (AI) In Utilities Operations Market Report:
Artificial Intelligence (AI) In Utilities Operations Market Largest Region By Revenue And Market Share
North America was the largest region in the artificial intelligence in utilities operations market in 2025. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the artificial intelligence (AI) in utilities operations market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
Get in touch with us:
The Business Research Company: https://www.thebusinessresearchcompany.com/
Americas: +1 310-496-7795
Asia: +44 7882 955267 & +91 8897263534
Europe: +44 7882 955267
Email us at: marketing@tbrc.info
Follow us on:
LinkedIn: https://in.linkedin.com/company/the-business-research-company
YouTube: https://www.youtube.com/channel/UC24_fI0rV8cR5DxlCpgmyFQ
Global Market Model: https://www.thebusinessresearchcompany.com/global-market-model
Wasay has over a decade of experience in market research, data modelling, and analytics, with prior experience at GlobalData and Decision Tree Consulting Services. At The Business Research Company , he leads research operations across syndicated studies, customized consulting engagements, and the Global Market Model platform. His professional experience includes supporting organizations such as Boston Consulting Group, KPMG, and Ernst & Young. Wasay holds a degree in Electronics and Communications Engineering, postgraduate management qualifications from International Management Institute Belgium and Indian School of Business and Entrepreneurship, and completed the Integrated Program in Business Analytics from Indian Institute of Management Indore.