Industrial smart grid market seen topping $54 billion by 2030

By AI, Created 5:27 PM UTC, May 18, 2026, /AGP/ – The Business Research Company projects the industrial smart grid market will exceed $54 billion by 2030, with Asia Pacific and China leading growth. The report points to hardware, distributed energy resources and real-time energy management as the main demand drivers.

Why it matters: - The industrial smart grid market is positioned to be a meaningful slice of two larger markets by 2030, signaling broader industrial spending on digital energy systems. - Industrial operators are using smart grids to manage distributed power, improve efficiency and reduce downtime as electrification and decarbonization pressures build.

What happened: - The Business Research Company said the industrial smart grid market will surpass $54 billion by 2030. - The market is forecast to represent about 8% of the $685 billion power generation, transmission and control equipment market by 2030. - The market is expected to account for nearly 1% of the $5.579 trillion electrical and electronics industry by 2030. - The report was published May 13, 2026. - The full report is available online. - A free sample is also being offered.

The details: - Asia Pacific is projected to be the largest region in 2030 at $23 billion, up from $14 billion in 2025, at a 10% CAGR. - China is projected to be the largest country in 2030 at $13 billion, up from $8 billion in 2025, also at a 10% CAGR. - Hardware is expected to be the largest component segment, with 43% of the market, or $23 billion, in 2030. - The market is segmented by deployment into on-premise, cloud-based and hybrid solutions. - The market is segmented by technology into advanced metering infrastructure, demand response management systems and distributed energy resources. - The market is segmented by industrial application into production and process optimization, power quality and reliability management, peak load and demand control, and integration of renewable and backup energy systems. - The market is segmented by end user into manufacturing, energy and utilities, transportation and logistics, mining and metals, and other users. - Hardware growth is tied to more smart meters, sensors, communication devices and control systems in industrial facilities. - Hardware demand is also being driven by grid stability needs, fault detection equipment, substation automation, industrial IoT energy tracking and transmission and distribution upgrades. - The report says the hardware market will grow by $8 billion from 2025 to 2030. - The software market is projected to add $7 billion over the same period. - The services market is projected to add $5 billion over the same period.

Between the lines: - The report’s growth case centers on a shift from passive electricity consumption to actively managed industrial energy networks. - Distributed energy resources are becoming more important as factories add solar, wind and storage on site. - Real-time energy management is increasingly tied to AI-driven analytics and predictive maintenance. - Industrial electrification is emerging as a major theme because companies are moving away from fossil fuel-based processes to meet emissions goals. - The report’s strongest growth assumptions come from areas that improve control, resilience and visibility rather than from power generation alone.

What’s next: - The report expects distributed energy integration to contribute about 3.0% annual growth to the market. - Real-time energy management is projected to contribute about 2.9% annual growth. - Industrial electrification initiatives are projected to contribute about 2.8% annual growth. - Continued investment in digital grid infrastructure and industrial IoT-enabled energy systems is expected to support gains across hardware, software and services.

The bottom line: - Industrial smart grids are moving from a niche industrial technology to a core part of factory energy strategy, with hardware still the biggest immediate opportunity.