Advanced Metering Infrastructure Market to Reach $52.4 Billion by 2030, Growing at 12% CAGR

Global AMI Market Growth Driven by Smart Grid Adoption & Real-Time Energy Management

WILMINGTON, DE, UNITED STATES, September 1, 2025 /EINPresswire.com/ --

The advanced metering infrastructure market is witnessing rapid expansion, driven by global smart grid initiatives, energy efficiency goals, and rising demand for real-time utility data. According to a new report published by Allied Market Research, the global advanced metering infrastructure (AMI) market size was valued at $17.1 billion in 2020 and is projected to reach $52.4 billion by 2030, growing at a CAGR of 12.0% from 2021 to 2030.

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🌐 What is Advanced Metering Infrastructure (AMI)?

Advanced metering infrastructure (AMI) is a smart communication architecture that enables two-way interaction between smart utility meters and service providers. By assigning each smart meter an IP address, AMI ensures that utility companies can access real-time power consumption data while empowering customers to make cost-effective energy usage decisions.

AMI plays a crucial role in smart grid transformation, offering benefits such as improved demand response, outage management, dynamic pricing, and enhanced customer engagement.

🔑 Key Market Drivers

The advanced metering infrastructure market growth is fueled by several factors:

Rising energy consumption due to urbanization and industrialization.

Smart grid initiatives launched by governments and utilities.

Dynamic pricing schemes that encourage customers to shift usage to non-peak hours.

Technological advancements in communication networks like PLC and RF-Mesh.

However, challenges such as inadequate financial incentives for utilities and the need for enhanced customer service may hinder growth.

🔮 Future Outlook

The advanced metering infrastructure market forecast suggests strong growth opportunities fueled by:

Integration of AI, IoT, and cloud platforms into AMI systems.

Government-driven renewable energy adoption.

Rising demand for energy efficiency solutions across residential and industrial sectors.

By 2030, AMI will become the backbone of global smart grid ecosystems, ensuring more sustainable, cost-effective, and resilient energy networks.

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📊 Market Segmentation

The advanced metering infrastructure market analysis is segmented by product type, end-user, and region.

By Product Type:

Smart Metering Devices – Electricity, Gas, Water

Electricity segment dominated in 2020 (56.9% share).

Water segment expected to grow fastest at 14.0% CAGR.

Solutions – Meter communication infrastructure, Software

Software segment captured 81.4% share in 2020 and projected to maintain dominance.

Services – System integration, Deployment, Program consulting

Consulting led in 2020.

System integration expected to grow at 15.5% CAGR.

By End User:

Residential – Major contributor in 2020.

Commercial – Growing steadily.

Industrial – Fastest-growing at 13.3% CAGR.

Governments and utility providers are integrating AMI with smart grid initiatives to meet rising demand.

🌍 Regional Insights

Europe held the largest share in 2020 (45% market share).

Asia-Pacific is projected to be the fastest-growing region at 13.1% CAGR, fueled by high urbanization and government-backed infrastructure programs.

North America and LAMEA also show steady adoption due to policy support and increasing energy efficiency goals.

🏢 Leading Market Players

The advanced metering infrastructure industry is moderately consolidated, with key players including:

Itron

Eaton Corporation

Echelon Corporation

Siemens AG

General Electric

Cisco Systems, Inc.

IBM Corporation

Schneider Electric SE

Sensus

These companies focus on product innovation, partnerships, and digital transformation strategies to strengthen their positions in the market.

📉 Impact of COVID-19

The COVID-19 pandemic had a mixed impact on the advanced metering infrastructure market:

Positive impact: AMI adoption accelerated as utilities were forced to rethink operations and digital engagement.

Negative impact: Supply chain disruptions, reduced industrial activity, and workforce limitations slowed implementation.

Despite short-term challenges, the long-term outlook remains strong due to the sector’s essential role in global energy transformation.

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✅ Conclusion

The advanced metering infrastructure market is entering a dynamic growth phase, driven by smart grid initiatives, customer demand for real-time energy monitoring, and government regulations. With a projected value of $52.4 billion by 2030, the AMI industry will continue to transform global energy management and utility operations, offering significant opportunities for innovation and investment.

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About Us

Allied Market Research (AMR) is a full-service market research and business-consulting wing of Allied Analytics LLP based in Portland, Oregon. Allied Market Research provides global enterprises as well as medium and small businesses with unmatched quality of "Market Research Reports" and "Business Intelligence Solutions." AMR has a targeted view to provide business insights and consulting to assist its clients to make strategic business decisions and achieve sustainable growth in their respective market domain.

Pawan Kumar, the CEO of Allied Market Research, is leading the organization toward providing high-quality data and insights. We are in professional corporate relations with various companies and this helps us in digging out market data that helps us generate accurate research data tables and confirms utmost accuracy in our market forecasting. Each and every data presented in the reports published by us is extracted through primary interviews with top officials from leading companies of domain concerned. Our secondary data procurement methodology includes deep online and offline research and discussion with knowledgeable professionals and analysts in the industry.

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Allied Market Research
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