Big Data Analytics Market In Energy Sector Market Size

Big Data Analytics in Energy Sector Market Analysis

The Big Data Analytics Market In Energy is expected to grow from USD 9.56 billion in 2024 to USD 16.16 billion by 2029, at a CAGR of 11.07% during the forecast period (2024-2029).

Big data solutions aid in collecting and processing data required by oil and gas firms to improve reservoir production efficiency. Various downhole sensors are used to obtain the data (temperature, acoustic, pressure, etc.). Companies, for example, can use big data analytics to create reservoir management systems that provide fast and actionable information about changes in reservoir pressure, temperature, flow, and acoustics. This allows companies to gain greater control over their operations while enhancing profitability.

• Every process currently is driven and supported by the energy sector. Every entity requires more energy than ever before and wants it at a reasonable price, and the advancement of big data and analytics has made it a real possibility. Big data enables enterprises to collect, store, and analyze massive amounts of information (terabytes and petabytes). For years, the power and energy industries have worked with big data and routinely processed large amounts of data.
• Unlike conventional electricity meters, which provide data every month, smart meters can give readings on a minute basis that are on a more granular level, causing considerable data generation and resulting in a volumetric increase in data gathered. Data is being collected from both the demand and supply side, owing to the increasing application of sensors, wireless transmission, network communication, and cloud computing technologies. ​
• The volatility in the oil prices leads to high expenditure on energy-related projects, which creates a major demand for big data analytics. The need for quality information is increasing, which is expected to boost the market's growth.​
• In the current scenario, the lack of digital skills and digital mindsets aggravated by the lack of skilled professionals and workforce to handle the unstructured data effectively for analysis is one of the factors hindering the market growth. ​
• Energy consumption is directly impacted by macroeconomic variables such as GDP growth rates, industrial production, and consumer expenditure. Energy consumption generally rises with economic growth in several sectors, including manufacturing, transportation, and residential. To optimize the processes involved in production distribution and consumption, the energy sector needs increasingly sophisticated analytic solutions. For instance, according to a World Bank estimate, the North American GDP, which was USD 32.32 trillion in 2023, is predicted to increase by 1.5% in 2023-24, suggesting that corporate activity and possible big data analytics in energy sector investments are projected to flourish.