by The utility communication market deals with communication solutions used by utility companies for grid management and operations. Utility communication networks help in integrating renewable energy sources, implement demand response programs, enable two-way communication with smart meters and upgrade aging infrastructure. Communication technologies such as wireless radio systems, fiber optic cables, power line carrier systems, cellular networking etc. are used for building utility communication infrastructure.
The Global Utility Communication Market is estimated to be valued at US$ 23.09 Bn in 2024 and is expected to exhibit a CAGR of 5.6% over the forecast period 2024 to 2031.
Key Takeaways
Key players operating in the Utility Communication market are Solutions, ABB, RAD, OMICRON, Siemens, FUJITSU , Landis+Gyr, Sensus, Telefonaktiebolaget LM Ericsson, ZTE Communications, Nokia, Ribbon Communications Operating Company, Inc., RAD, and Valiant Communications. The growing adoption of smart meters, smart grid technologies and emphasis on upgrading aging infrastructure is driving the demand of utility communication solutions. Additionally, more utilities are expanding their communication networks globally to remotely monitor and control energy infrastructure.
Market Key Trends
One of the key trends in the Utility Communication Market Size And Market is the increasing deployment of broadband power line communication systems. They provide high-speed communication over existing low and medium voltage power lines. As power lines already create a ubiquitous network throughout cities and regions, broadband power line emerges as a cost-effective alternative to install separate communication infrastructure. Additionally, adoption of cellular networking technologies such as 3G, 4G and upcoming 5G networks is growing. Cellular connectivity helps utilities establish communication networks faster for operational needs and support emerging applications such as smart grid, EV charging etc.
Porter’s Analysis
Threat of new entrants: High capital requirements to enter the Utility Communication Market Size sector such as infrastructure investments pose moderate threat.
Bargaining power of buyers: Large utility companies have moderate bargaining power due to not many alternatives and need for communication networks.
Bargaining power of suppliers: Major technology companies like Ericsson, Fujitsu and communication solution providers have significant bargaining power being dominant suppliers.
Threat of new substitutes: Alternate methods of utility network communication like wireless technologies pose low threat currently to conventional wireline networks.
Competitive rivalry: Intense competition exists among major players like Ericsson, Fujitsu, ABB etc to gain market share and recurring business from utilities through contracts.
Geographical Regions
North America accounts for the largest share of the utility communication market currently in terms of value due to extensive investments by utility companies in smart grid communication networks in this region.
The Asia Pacific region is expected to grow at the fastest rate during the forecast period from 2024 to 2031. This can be attributed to the increased focus of countries like China and India on modernizing their aging utility infra and implementing smart grid projects.
*Note:
1.Source: Coherent Market Insights, Public sources, Desk research
2.We have leveraged AI tools to mine information and compile it
About Author - Alice Mutum
Alice Mutum is a seasoned senior content editor at Coherent Market Insights, leveraging extensive expertise gained from her previous role as a content writer. With seven years in content development, Alice masterfully employs SEO best practices and cutting-edge digital marketing strategies to craft high-ranking, impactful content. As an editor, she meticulously ensures flawless grammar and punctuation, precise data accuracy, and perfect alignment with audience needs in every research report. Alice's dedication to excellence and her strategic approach to content make her an invaluable asset in the world of market insights. LinkedIn
