US AMI Market Size

US Advanced Metering Infrastructure (AMI) Market Analysis

The United States Advanced Metering Infrastructure (AMI) Market is expected to register a CAGR of 11.6% during the forecast period. Smart Meters represent a transformative technology for the utility industry. These technologically advanced meters provide greater insight into the usage of energy. Smart Meters have been employed as a part of advanced metering infrastructure development initiatives worldwide.

• The development of an integrated, IT-enabled power grid and other pattern analysis support software benefits users greatly. This kind of grid, also known as a "smart grid," aids in increasing distributed production while lowering costs, fostering energy efficiency, and improving the overall security and dependability of the production, transmission, and distribution system. AMI must be used in all smart grid initiatives.
• The COVID-19 outbreak has boosted market growth because the energy and utility sectors provide critical services, forcing the industry to reconsider how it conducts business and interacts with both its employees and customers. However, as the pandemic impacted industrial and commercial work sites and altered load patterns, utilities' critical role in supplying energy to society changed.
• The United States is the region's key player, with the largest driver of the smart meters market, due to the American Recovery and Reinvestment Act (ARRA), which included funding for the Smart Grid Investment Grant (SGIG) program. The high demand for smart meters will drive the demand for the Advanced Metering Infrastructure market in the United States.
• The number of houses in the United States represents the potential market scope for utilities providing gas, and as new homes are built, sales of smart gas meters are expected to rise. Manufacturers of smart gas meters in the United States are hoping to capitalize on this opportunity as demand grows.
• As more new homes are built, an increasing proportion of them will have smart meters installed as part of AMI, extending its widespread adoption. According to the Institute for Electric Innovation, 107.0 million smart meters will be installed in the United States by the end of 2020. Furthermore, according to EEI, AMI will be available to nearly 70% of US customers by 2021.
• Furthermore, the American Recovery and Reinvestment Act (ARRA) funding for the Smart Grid Investment Grant (SGIG) program has bolstered the United States' advanced metering infrastructure. The widespread use of AMI in newly constructed homes is expected to fuel demand for smart meters in the country.
• However, Advanced Metering Infrastructure (AMI) project implementation success is far more difficult to achieve than technology success and should be the primary focus of any utility embarking on an AMI journey. Failure to meet schedule milestones, failure to meet utility expectations and requirements, poor coordination of necessary implementation tasks, and a lack of readiness to accept the organizational changes imposed by AMI systems are all common challenges for AMI projects.