Advanced Metering Infrastructure Market Projected to Reach US$ 78.28 Billion by 2035, Supported by Large-Scale Replacement Programs | Astute Analytica

AMI market reveals a sector prioritizing stability over novelty. The dominance of electric utilities (52%) and hardware (41%) underscores the massive infrastructure build-out required to support a decarbonized grid. Meanwhile, the retention of on-premises systems (66.98%) signals a refusal to compromise security for convenience.


Chicago, Jan. 08, 2026 (GLOBE NEWSWIRE) -- The global advanced metering infrastructure market size was valued at USD 25.89 billion in 2025 and is projected to hit the market valuation of USD 78.28 billion by 2035 at a CAGR of 11.7% during the forecast period 2026–2035.

Recent developments signal a dynamic advanced metering infrastructure (AMI) market, accelerating especially in Asia-Pacific through large-scale deployments. Trilliant's September 2025 announcement details over 13 million smart meters operational or planned in Thailand, Malaysia, Philippines, Indonesia, Japan, and India, enabling distribution automation and demand response. Wirepas hit 5 million smart meter deployments in Indian states like Assam, Bihar, Gujarat, and Maharashtra by early 2025, using mesh networks for 99.9% service reliability. EDF India and Actis launched a February 2025 joint venture for an AMISP platform under India's RDSS, targeting widespread smart meter installations to cut losses for DISCOMs.​

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Diverse applications and technologies drive momentum within the Advanced metering infrastructure (AMI) market, with expansions into gas metering and advanced features. Vi Business rolled out NB-IoT smart gas metering in December 2025 for City Gas Distributors, improving efficiency and billing accuracy. Trilliant's 2025 milestone with SAMART Telcoms in Thailand advances prepaid metering and outage management via a renewed MOU. These initiatives from key players highlight a push toward interoperable, resilient grids, supporting electrification and real-time energy management into 2026.

Key Findings

  • Asia-Pacific commands the advanced metering infrastructure (AMI) market in 2025, capturing roughly 42% of the total share.
  • By product category, smart meters dominate with approximately 41% of the market.
  • Among end-users, electric utilities spearhead the AMI sector, holding an estimated 52% share.
  • For deployment models, the on-premises AMI approach reigns supreme in 2024, commanding about 66.98% of the market.
  • In terms of applications, the residential segment is poised to retain its leading 62% share.
  • Regarding communication technologies, RF mesh networks lead the pack, securing the top 43% market portion.

By Product Type, Smart Meters Capturing 41% Share Through Revenue Assurance

The smart meter hardware segment controls a 41% market share of the Advanced metering infrastructure (AMI) market, a dominance now fueled primarily by the global crackdown on Non-Technical Losses (NTL). While early deployments focused on billing automation, the current wave of investment is driven by revenue protection, particularly in high-growth regions across Latin America and Southeast Asia.

In these markets, energy theft and unmetered consumption hemorrhage utility finances. The latest generation of smart meters dominating the 2025 landscape are equipped with "tamper-evident" edge logic. These devices can detect bypass attempts, magnetic interference, and neutral line disruption locally, triggering instant shut-offs without waiting for cloud analysis. This capability transforms the smart meter from a passive recorder into an active security guard.

Furthermore, the modularity of modern hardware in the Advanced metering infrastructure (AMI) market has sustained this market share. Utilities are investing heavily in modular meters with hot-swappable communication cards. This design philosophy mitigates technology obsolescence risk—allowing a utility to switch from RF Mesh to Cellular NB-IoT without replacing the entire 41% capital asset. This future-proofing has made hardware approval easier for regulatory commissions, keeping the physical unit at the forefront of AMI expenditure.

By End Users, Electric Utilities Holding 52% Share Driven By Opex Eradication

The electric utilities segment commands a 52% market share, significantly outpacing other sectors due to the urgent need for Operational Expenditure (OpEx) eradication. Unlike gas or water utilities, electric providers face massive logistical costs associated with manual field operations, known as "truck rolls."

The dominance of this segment in the Advanced metering infrastructure (AMI) market is justified by the "Zero-Touch" operational model. In 2025, labor shortages and rising union wages have made manual meter reading and field service calls financially unsustainable. Electric utilities are prioritizing AMI to automate complex processes such as remote connect/disconnect for tenant turnover and firmware updates. A single remote disconnect executed via AMI saves a utility anywhere from $50 to $150 per event compared to dispatching a technician.

Additionally, the electrification of heating—driven by the mass adoption of heat pumps—has introduced winter peaking challenges previously unknown to summer-peaking grids. Electric utilities are deploying AMI to implement Critical Peak Pricing (CPP) during cold snaps. This capability allows them to defer billions in capital upgrades for new substations by economically incentivizing customers to shift load, a financial lever available only through the electric AMI sector.

By Deployment, On-Premises Deployment Securing 66.98% Share Via Regulatory Capitalization

The on-premises segment retains a commanding 66.98% market share of the Advanced metering infrastructure (AMI) market, a market share that confuses tech-centric analysts but makes perfect sense to financial regulators. The dominance of on-premise solutions is rooted in the "Rate Base" utility business model.

In the majority of regulated markets (including significant portions of the US and Japan), utilities earn a guaranteed Return on Equity (ROE) on Capital Expenditures (CapEx)—assets they own and operate, such as servers and data centers. Conversely, Cloud subscriptions are classified as Operating Expenditures (OpEx), which are typically passed through to customers with no profit margin added. Therefore, there is a powerful financial disincentive for utilities to move to the cloud. By keeping the Head-End System (HES) and Meter Data Management (MDM) on-premises, utilities expand their regulated asset base, effectively increasing their shareholder earnings.

Moreover, the "Cloud Repatriation" trend has hit the utility sector. Early cloud adopters discovered that data egress fees—the cost to pull terabytes of interval data out of the cloud for analytics—were astronomically higher than forecasted. On-premises architecture offers a predictable, fixed-cost structure for high-frequency data storage, reinforcing its dominance in the cost-sensitive utility boardroom.

By Application, Industrial Application Commanding 15% Share Powered By Esg Compliance

The industrial application segment holds the least 15% share of the global Advanced metering infrastructure (AMI) market, driven by the transition from cost management to Carbon Accountability. However, it is poised to witnesses brightest growth in the years to come. Large industrial consumers are no longer just monitoring kWh to lower their bills; they are using AMI to generate audit-grade data for Scope 2 emissions reporting.

As supply chain mandates tighten, global manufacturers face pressure to prove the "greenness" of every unit of energy consumed. Industrial smart meters serve as the "Point of Truth" for Energy Attribute Certificates (EACs). They verify exactly when renewable power was consumed, distinguishing it from grid-mix fossil fuel power on a 15-minute interval basis.

This segment’s growth is further cemented by the rise of industrial microgrids. Factories are increasingly installing behind-the-meter generation (solar/cogen) to insulate themselves from grid volatility. In this setup, the industrial smart meter acts as the sophisticated gateway controller for "Islanding"—managing the synchronization between the factory’s internal generation and the main grid. This complex functionality demands high-tier metering infrastructure, ensuring the industrial segment retains the highest value share of the market.

Global Installations Surpassing Billions Driven By Aggressive Replacement Cycles and Mandates

Global momentum for grid modernization has pushed the installed base of smart meters past a critical milestone of 1.8 billion units by late 2024. Utilities are now aggressively targeting a forecasted installed base of 3 billion units by 2030 to manage decentralized renewable energy. North America remains a central hub of activity, recording a significant peak volume of 18.5 million smart electricity meter shipments in 2024. Market maturity is evident as the region achieved an 81% penetration rate for smart electricity meters in 2024. Consequently, stakeholders in the Advanced metering infrastructure (AMI) market are shifting strategies from initial deployment to long-term network management and upgrades.

Canada specifically illustrates this saturation trend with 15.4 million smart electricity meters installed as of late 2024. Analysts project the country will reach a 96% penetration rate by 2029, setting a benchmark for other regions. Simultaneously, Europe is ramping up procurement, with forecasts indicating 110 million smart electricity meters will be deployed between 2023 and 2028. These massive volumes confirm that the Advanced metering infrastructure (AMI) market is entering a sustained period of high-velocity hardware replacement and expansion.

High Volume Daily Installation Rates In UK Signaling Rapid Network Saturation

Great Britain has successfully deployed 39 million operating smart meters as of Q1 2025, driven by strict regulatory timelines. Efficiency metrics indicate that 91% of these devices were functioning in "smart mode" by March 2025, ensuring reliable data flow. The government is chasing a precise coverage target of 74.5% for residential homes by the end of 2025. To meet this goal, field teams sustained an average of 7,564 domestic smart meters installed per day throughout 2024. Such consistent daily output underscores the operational maturity within the UK’s Advanced metering infrastructure (AMI) market.

Total annual throughput remains impressive, with 2.76 million domestic smart meters installed across the UK during 2024. Infrastructure scaling is keeping pace, evidenced by 20.5 million premises actively connected to the Data Communications Company network as of April 2025. User sentiment validates these efforts, as 33.9% of UK customers reported being "very satisfied" with their technology in 2025 surveys. High satisfaction rates are crucial for sustaining the political and commercial momentum of the Advanced metering infrastructure (AMI) market.

India Government Mandates Creating World Largest Greenfield Opportunity For Smart Metering

India is currently the most explosive growth region, having reached 47.6 million cumulative smart meter installations by late 2025. The scale of the pipeline is unprecedented, with 203 million smart meters sanctioned under the Revamped Distribution Sector Scheme as of 2025. Government officials have set an aggressive installation target of 250 million units for completion by 2026. Consequently, the Advanced metering infrastructure (AMI) market in India represents a colossal opportunity for vendors capable of high-volume delivery.

Major contracts highlight this surge, such as IntelliSmart securing awards for 6.7 million meters in Uttar Pradesh and 5.1 million prepaid smart meters in Gujarat. Further expanding their footprint, the company secured 3.6 million units for deployment in Bihar during 2024. Policymakers are simultaneously enforcing self-reliance, mandating a 100% local content requirement for smart meter software effective January 1, 2025. These policies ensure that the booming Advanced metering infrastructure (AMI) market directly strengthens the domestic technology sector.

Leading Manufacturers Securing Massive Contracts By Pivot To Grid Edge Sensing

Hardware giants are securing their future revenue by transitioning to advanced sensing technologies, evidenced by Landis+Gyr’s strong book-to-bill ratio of 1.5 for FY 2024. The company has successfully contracted 10 million "Revelo" grid-sensing meters as of 2024, signaling a demand shift toward high-fidelity data. Regional wins include a deal serving 530,000 electric customers in Rhode Island, with a confirmed 2025 start date. These deployments illustrate how the Advanced metering infrastructure (AMI) market is evolving from basic metering to comprehensive grid intelligence.

European utilities are mirroring this trend, with EDF ordering an additional volume of 650,000 smart gas and electric meters to bolster their network. The environmental dividends are measurable, with 9 million tons of CO2 emissions avoided in FY 2024 through Landis+Gyr’s global installed base. Supporting these complex operations requires significant human capital, reflected in the company’s 6,300-strong workforce in 2024. Such investments confirm that the Advanced metering infrastructure (AMI) market is driven by both sustainability goals and operational necessity.

Gas and Water Utilities Accelerating Adoption For Leak Detection and Conservation

Smart gas metering is rapidly catching up to electric deployments, with the EU region reaching an installed capacity of 55.9 million units at the end of 2023. Supply chains remain active, recording 4.8 million smart gas meter shipments in Europe for the 2023/2024 period. Projections for the UK anticipate a peak volume of 3.4 million smart gas meter installations in 2025 alone. With the EU reaching a 45% penetration rate for smart gas meters in 2024, the Advanced metering infrastructure (AMI) market is diversifying across utility types.

Water utilities are equally aggressive in adopting these technologies to mitigate resource loss. Thames Water planned 78,000 smart water meter installations specifically for 2024 to enhance network visibility. In the US, EWEB customers saved 170 million gallons of water in 2024, aided by data transmission at frequent 4-hour intervals. The system triggered 18,000 leak notifications, enabling rapid customer response. These use cases prove the market is essential for modern resource conservation.

Distributed Intelligence Capabilities Transforming Meters Into Powerful Edge Computing Data Devices

Utilities are unlocking new value by processing data directly at the meter rather than the cloud. Itron now manages 89 million endpoints, with 8 million Distributed Intelligence (DI) enabled meters shipped as of early 2024. Furthermore, 11 million endpoints are "download application capable," allowing utilities to deploy new software features remotely. Xcel Energy has embraced this innovation, serving 3.7 million customers with DI-enabled meters in 2024. This trend confirms the Advanced metering infrastructure (AMI) market is moving toward edge computing.

Data granularity is increasing exponentially to support these advanced applications. Finland’s electricity market adopted a 15-minute data settlement interval starting September 2025, generating 96 distinct data records per meter per day. Similarly, Thames Water processes 20 million daily data readings to monitor their network health. Such massive data volumes require robust analytics, cementing the role of software within the Advanced metering infrastructure (AMI) market.

Proven Efficiency Gains and Low Opt Out Rates Driving Market Acceptance

Data collected from recent rollouts demonstrates clear operational and financial benefits for adopters. Non-domestic sites in the UK are expected to realize a 2.8% reduction in electricity consumption and a 4.5% reduction in gas usage. Consumer resistance has plummeted, with National Grid NY reporting an extremely low 0.44% opt-out rate as of April 2024. These metrics provide compelling evidence that the Advanced metering infrastructure (AMI) market delivers a strong return on investment and high customer acceptance.

Commercial sector deployments are proceeding with calculated precision. The UK saw 124,000 non-domestic smart meters installed in 2024, averaging 340 units per day. However, signs of saturation appeared as non-domestic installations saw a 16% year-over-year decline in early 2025. National Grid utilized a cautious strategy, starting with a 6-meter "soft launch" before ramping up. Such data-driven deployment strategies ensure the long-term stability of the Advanced metering infrastructure (AMI) market.

Cellular Connectivity and Strict Safety Standards Defining Future Infrastructure Reliability

Safety and connectivity standards are tightening as networks become critical national infrastructure. National Grid NY deployed 439,351 electric smart meters by October 2024, achieving a remarkable 99% connectivity rate. To ensure safety, installers identified 2,525,000 unsafe situations like gas leaks during UK rollouts up to 2024. Reliability is further supported by a workforce of 154 technicians for NY projects and a 60% domestic content requirement for Indian hardware. These measures ensure the Advanced metering infrastructure (AMI) market remains secure and resilient.

Future-proofing is a priority, with 2/3 of new smart meters expected to utilize cellular connectivity by 2030. Landis+Gyr’s Revelo meters achieved "IoT Network Certified" status in 2025, setting a new benchmark. Regional expansion continues with IntelliSmart securing 1.5 million smart meters for Assam. Meanwhile, gas deployments remain steady with 5-6 million annual shipments in Europe. National Grid also advanced innovation with a 20-unit MVP gas launch and a strict 1,000-unit pilot cap. These steps confirm the Advanced metering infrastructure (AMI) market is built on rigorous testing and modern connectivity.

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Advanced Metering Infrastructure Market Major Players:

  • Aclara Technologies LLC
  • Aichi Tokei Denki Co. Ltd.
  • Apator SA
  • Badger Meter Inc.
  • Cisco
  • Diehl Metering GmbH
  • EDMI Limited
  • Hexing Electrical Co. Ltd.
  • Honeywell International Inc.
  • IBM
  • Iskraemeco d.d.
  • Itron Inc.
  • Kamstrup A/S
  • Landis+Gyr Group AG
  • Neptune Technology Group Inc.
  • Schneider Electric SE
  • Sensus USA Inc. (Xylem Inc.)
  • Siemens Aktiengesellschaft
  • Trilliant Holdings Inc.
  • Wasion Group Holdings Ltd.
  • Other Prominent Players

Key Market Segmentation:

By Product Type

  • Smart Meters
  • Communication Modules
  • Meter Data Management Systems (MDMS)
  • Head-End Systems
  • Meter Data Collectors
  • Home Area Network (HAN) Devices

By End-User

  • Electric Utilities
  • Water Utilities
  • Gas Utilities

By Deployment Type

  • Cloud-Based AMI
  • On-Premises AMI

By Application

  • Residential
  • Commercial
  • Industrial

By Communication Technology

  • Radio Frequency (RF) Mesh
  • Power Line Communication (PLC)
  • Cellular Networks
  • Wi-Fi
  • Low Power Wide Area Networks (LPWAN)

By Region

  • North America
  • Europe
  • Asia Pacific
  • Middle East and Africa
  • South America

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