The digital substation market size was valued at USD 6.5 Bn in 2021 and is expected to be worth US$ 14.11 Bn by 2032. It will grow at a 7.3% CAGR from 2022 to 2032.
The global digital substation market has grown at a rapid pace in recent years. This is because leading industry players have begun introducing new products with enhanced capabilities.
In addition, the increased demand for energy from renewable resources in developed countries to support sustainable development has boosted digital substation market growth even more.
Additionally, they deliver improved dependability, efficiency, and safety in power distribution. However, greater upfront costs make it harder to replace traditional substations, limiting the expansion of the digital substation market.
Key Takeaways:
- Based on voltage, the 220 kV voltage segment is predicted to hold the largest share of the digital substations market.
- The utility industry segment is expected to account for a large portion of the global digital substations market.
- By 2026, the hardware module segment is expected to be worth more than US$ 7,500 million. Digital substations are widely used in all industry verticals, particularly utilities and oil and gas, all over the world.
- The transmission substations segment is expected to hold the largest share of the digital substations market. The market for digital substations in North America is expected to exceed USD 2.5 billion by 2028.
- Due to ongoing commercial and industrial infrastructure developments, rising energy demand in the United States will drive the regional digital substation market even further.
Competition Landscape
ABB, Texas Instruments, Locamation, Efacec, Tesco Automation, NetControl, Belden Inc, Emerson Electric, NR Electric, GE, Schneider, Eaton, Rockwell Automation, Siemens, L&T, Cisco, Open System International, Guodian Nanjing Automation Co, and Beijing Sifang Automation Co. are among the key players in the digital substations market. In addition, ongoing acquisitions and joint ventures and favorable incentives for deploying renewable technologies will boost the market outlook.
- ABB and CORYS signed a memorandum of understanding for a digital collaboration project in December 2020.
- Siemens and Atos signed a five-year extension of their strategic partnership to bring together their joint digital solutions.
- Eaton and the US Department of Energy expanded their collaboration on innovative energy solutions in January 2018.
These insights are based on a report on Digital Substation Market by Future Market Insights
