Applied Artificial Intelligence (AI) in Energy and Utilities Research Report 2025: $7.7 Bn Market Opportunities, Trends, Competitive Analysis, Strategies, and Forecasts, 2019-2024, 2024-2029F, 2034F

The energy and utilities sector is seeing significant AI opportunities in smart grid tech, energy efficiency, and renewables integration. Key growth areas include AI analytics, operational efficiency, and grid modernization. Regional growth is strong in Asia-Pacific, while North America leads currently.

Dublin, Jan. 29, 2026 (GLOBE NEWSWIRE) -- The "Applied Artificial Intelligence (AI) in Energy and Utilities Global Market Report 2025" has been added to ResearchAndMarkets.com's offering.

The applied artificial intelligence (AI) in the energy and utilities market is undergoing rapid growth, with its market size projected to rise from $3.17 billion in 2024 to $3.8 billion in 2025, reflecting a compound annual growth rate (CAGR) of 19.7%. This expansion is fueled by smart grid technology adoption, demand for energy efficiency, and the integration of renewable energy sources.

Looking ahead, the sector is poised to reach $7.7 billion by 2029, supported by growing investments in AI analytics, operational efficiency enhancements, and grid modernization. Noteworthy trends include advancements in autonomous grid management, AI-powered energy forecasting tools, and edge AI applications for real-time optimization.

The heightened electricity demand due to industrialization, urbanization, and sector electrification is anticipated to propel AI application growth. The U.S. Energy Information Administration forecasts a 1.7% annual increase in electricity consumption, with significant rises in the commercial and industrial sectors expected in 2026. AI technologies are pivotal in optimizing electricity demand management through consumption trend forecasting and grid efficiency improvement.

Key industry players, such as Siemens AG, are spearheading innovations like the Gridscale X grid management suite. February 2024 saw Siemens launch this AI-driven platform featuring real-time analytics, predictive maintenance, and digital twin integration to enhance grid resilience. The strategic acquisition of Altair Engineering Inc. in March 2025 further underscores Siemens ' commitment to leading AI-driven solutions for energy, enriching its digital platform with advanced simulation and data science capabilities.

Prominent entities in this sector include Microsoft , E.ON SE, Enel S.p.A., Hitachi Ltd., and IBM Corporation, among others. North America leads the current market, while the Asia-Pacific region is anticipated to be the fastest-growing area during the forecast period. The impact of global trade dynamics, particularly U.S. tariffs and trade tensions, presents challenges for utility providers, affecting equipment costs and supply chains.

To manage these challenges, the sector is leaning toward domestic sourcing and digitalization, ensuring energy security and regulatory compliance. The applied AI in energy and utilities market comprises services like predictive maintenance, smart grid optimization, and AI-powered energy management systems. These innovations are vital for building resilient and efficient energy networks amid evolving market conditions.

A comprehensive report has been released, offering detailed market insights, trends, segmentation, and strategic recommendations to navigate the dynamic global environment effectively.

Market Scope:

• Markets Covered: Predictive Analytics, Asset Optimization, Grid Management, Customer Engagement, Energy Trading, Renewable Integration
• Deployment: Cloud-Based, On-Premises
• Applications: Robotics, Renewables Management, Demand Forecasting, AI-Based Inventory Management, Energy Production and Scheduling, Asset Tracking and Maintenance, Digital Twins, AI-Based Cybersecurity, Emission Tracking, Logistics Network Operation
• End-Users: Electric Utilities, Oil and Gas, Renewable Energy Companies, Industrial Energy Users, Energy Service Providers

Subsegments:

• Predictive Analytics: Load Forecasting, Equipment Failure Prediction, Predictive Maintenance
• Asset Optimization: Asset Health Monitoring, Performance Analytics
• Grid Management: Smart Grid Automation, Fault Detection and Restoration
• Customer Engagement: Smart Billing and Pricing Analytics
• Energy Trading: Price Forecasting, Market Risk Analysis
• Renewable Integration: Renewable Generation Forecasting, Energy Storage Optimization

Leading Companies: Microsoft , E.ON SE, Enel S.p.A., Siemens AG, Hitachi Ltd., Accenture plc, IBM Corporation, Iberdrola S.A., Oracle Corporation, Schneider Electric SE, Honeywell ., among others.

Key Attributes:

Companies Featured

• Microsoft
• E.ON SE
• Enel S.p.A.
• Siemens AG
• Hitachi Ltd.
• Accenture plc
• IBM Corporation
• Iberdrola S.A.
• Oracle Corporation
• Schneider Electric SE
• Honeywell .
• SAP SE
• ABB Ltd
• Nvidia Corporation
• CapGemini SE
• Infosys Ltd.
• Wipro Ltd.
• Palantir Technologies Inc.
• Teradata Corporation
• C3.ai Inc.
• Stem Inc.
• AutoGrid Systems Inc.
• Bidgely Inc.
• Verdigris Technologies Inc.

For more information about this report visit https://www.researchandmarkets.com/r/pwwtz

About ResearchAndMarkets.com
ResearchAndMarkets.com is the world's leading source for international market research reports and market data. We provide you with the latest data on international and regional markets, key industries, the top companies, new products and the latest trends.

Attachment

• Applied Artificial Intelligence (AI) in Energy and Utilities Market

CONTACT: 
CONTACT: ResearchAndMarkets.com 
         Laura Wood, Senior  Press Manager 
         press@researchandmarkets.com
         For E.S.T Office Hours Call 1-917-300-0470 
         For U.S./ CAN Toll Free Call 1-800-526-8630 
         For GMT Office Hours Call +353-1-416-8900