Advancements in metering technology have increased customer expectations in terms of their extensive applications in different paths of life. Increasing demand for smart meter technology is promoting manufacturers to innovate and serve potential demands of the customers. Smart meters are largely used for tracking consumption of gas, electricity, water and all the other utility services. The technology not only attributes accuracy but it also reduces carbon footprints and promotes energy management for large scale projects. These extensive applications are driving the global smart meter market, which is expected to maintain riding high in terms of growth rate and business prospects.
Drivers for Smart Metering Market
Since its evolution, smart meter technology started making waves in the developed regions of the world and most prominently in the United States of America. The technology is largely used in numerous end user applications including residential, industrial and commercial places. Basic smart meter setup includes communication networks and associated software, metering hardware and meter data management systems. Apart from being environment friendly, many other factors drive the smart meter technology and smart meter market. These factors include energy efficiency, energy sustainability and intelligent energy management.
Smart metering device market is segmented based on the types of end-user types, utility applications and geographical demand pattern for the technology. Based on geographical regions, the market is segmented into North America, Europe, Asia Pacific and rest of the world. Regions like North America and Europe have been the most dominant regions in terms of growing demand, production and technological advancements. Based on end user types, smart meter market is largely segmented into residential, commercial and industrial users. Amongst these segments, residential and commercial users have been dominating the industry. Utility applications in the industry include gas, water, electricity, etc.
The global smart meter market is expected to grow at an estimated CAGR of 22.7% from 2011 to 2016. At this rate, the market is anticipated to grow from 46,328 thousand units in 2011 to 128,900 thousand units in 2016. North America is projected to dominate the global market on the basis of geographical regions with the expected CAGR of 20.8%. Rising demands in smart grid projects and increasing demand for smart meters will be driving the global market for this technology on the long run. Based on countries, Canada, USA, Spain and France are expected to witness exiting business prospects for this technology, which is a great sign for new investments.