Smart Meter Market (2026 - 2033) Size, Share & Trends Analysis Report By Component (Hardware, Software), By Type (Smart Electric Meter, Smart Water Meter), By Technology, By End Use (Residential, Commercial), By Region, And Segment Forecasts

Smart Meter Market Summary

The global smart meter market size was estimated at USD 30.92 billion in 2025 and is projected to reach USD 58.73 billion by 2033, growing at a CAGR of 7.9% from 2026 to 2033. The market growth is primarily driven by the increasing adoption of renewable energy sources and the global push for energy efficiency and decarbonization.

Utilities are deploying smart meters to facilitate the better integration of solar, wind, and other renewable energy sources into the grid, while also reducing non-technical losses and enhancing overall grid resilience. This transition supports government mandates and sustainability goals worldwide, as well as innovation in smart metering technologies, further fueling the expansion of the smart meter industry. Advanced metering infrastructure (AMI) systems are gaining traction in the smart meter industry, offering two-way communication between utilities and consumers. AMI enables real-time data collection, dynamic load management, and enhanced analytics, empowering utilities to optimize grid operations and consumers to manage their energy use more effectively. The expansion of AMI is closely linked with IoT and AI integration, which enhances data processing, predictive maintenance, and demand response capabilities.

In addition, the demand for smart meters is rapidly increasing, driven by their critical applications in energy management, grid modernization, billing accuracy, and real-time consumption monitoring. Smart meters enable utilities and consumers to access high-resolution usage data, optimizing energy distribution and supporting advanced decision-making for load forecasting and demand response programs. Their role in enhancing transparency, reducing non-technical losses, and enabling precise billing is fueling adoption across residential, commercial, and industrial sectors, strengthening deployment initiatives by governments and utility providers worldwide.

Furthermore, consumer-centric software platforms and analytics tools are transforming the smart meter industry by enabling real-time monitoring, detailed consumption insights, and personalized energy management. These software advancements facilitate better customer engagement, support demand response programs, and help utilities optimize grid performance. Integration with cloud computing and AI further enhances the value of smart metering systems by providing actionable intelligence for both consumers and utilities.

Moreover, key companies are adopting innovative strategies focused on integrating advanced technologies such as IoT, artificial intelligence, and edge computing to enhance data accuracy, grid-edge capabilities, and real-time analytics. They are expanding their advanced metering infrastructure (AMI) offerings to enhance predictive maintenance, support the integration of electric vehicles, and enable comprehensive energy monitoring and optimization. Such strategies by key companies are expected to drive the market growth in the coming years.

Component Insights

The hardware segment dominated the market with a share of over 78% in 2025, owing to the growing innovations and focus on improved accuracy, durability, and communication capabilities. Advancements such as integration with IoT devices, support for multiple utilities (electricity, gas, water), and enhanced display features are key drivers of the segment. In addition, the growing need for secure, tamper-resistant devices that comply with evolving regulatory standards is accelerating the segmental growth.

The software segment is expected to witness the highest CAGR of over 11% from 2026 to 2033. Software solutions for smart meters emphasize data analytics, real-time monitoring, and predictive maintenance. Advanced software platforms enable utilities to analyze consumption patterns, detect anomalies, and optimize grid performance. Integration with cloud computing and AI enhances decision-making, while user-friendly interfaces improve customer engagement and energy management. These factors are expected to drive segmental growth in the coming years.

Type Insights

The smart electric meter segment dominated the market with a share in 2025, driven by the global push for energy efficiency, grid modernization, and decarbonization. These meters enable two-way communication, accurate billing, and remote monitoring, supporting renewable energy integration and reducing non-technical losses. Government mandates and technological innovations, such as IoT and edge computing, support increasing adoption.

The smart water meter segment is expected to witness the highest CAGR from 2026 to 2033, driven by growing concerns over water conservation and the need for effective leakage detection. They provide utilities and consumers with real-time usage data, enabling efficient water management and billing accuracy. Integration with IoT and data analytics allows the detection of anomalies and optimizes resource distribution, aligning with sustainability goals.

Technology Insights

The AMR (Automated Meter Reading) segment accounted for the largest market share in 2025, owing to its ability to automate data collection, reducing manual meter reading costs and errors. They provide utilities with timely consumption data, improving billing accuracy and operational efficiency. However, AMR is gradually being supplemented or replaced by more advanced AMI systems that offer two-way communication and enhanced functionalities.

The AMI (Advanced Metering Infrastructure) segment is expected to witness the highest CAGR from 2026 to 2033. AMI enables two-way communication between utilities and consumers. This infrastructure supports real-time data collection, dynamic load management, and integration with renewable energy sources. AMI facilitates demand response programs, grid optimization, and sustainability initiatives, making it central to modern smart grid development. These factors are expected to drive the segmental growth in the coming years.

End Use Insights

The residential segment accounted for the largest market share in 2025, driven by increasing consumer demand for energy efficiency, cost savings, and real-time energy usage feedback. Regulatory mandates and government incentives promote widespread adoption, while technological advancements such as IoT integration and advanced communication technologies enhance functionality. Consumers benefit from dynamic pricing and demand response programs, encouraging responsible energy consumption and supporting smart home development.

The industrial segment is expected to witness the highest CAGR from 2026 to 2033. In the industrial sector, smart meters are being adopted to enhance operational efficiency, reduce energy costs, and ensure compliance with environmental regulations. Integration with advanced analytics and IoT platforms enables real-time monitoring, predictive maintenance, and optimized energy management. The growing focus on sustainability and the integration of renewable energy further drives the deployment of smart meters in industrial facilities.

Regional Insights

North America accounted for a significant market with a share of over 26% in 2025, driven by increasing demand for electricity, gas, and water, alongside widespread adoption of smart grid technologies and supportive government regulations aimed at reducing carbon emissions and improving grid reliability. Utilities and consumers are increasingly adopting smart meters to enhance energy efficiency and integrate renewable energy sources such as solar and wind into the grid.

U.S. Smart Meter Market Trends

The smart meter market in the U.S. dominated the market with a share of over 79% in 2025, driven by increasing demand for energy efficiency, grid modernization initiatives, and government support for smart grid deployments. The growing adoption of smart meters in the U.S. is enabling real-time data collection, accurate billing, and enhanced energy management, which are critical for advancing grid resilience and integrating renewable energy sources.

Europe Smart Meter Market Trends

The smart meter market in Europe is expected to grow at a CAGR of over 6% from 2026 to 2033, driven by strong regulatory mandates requiring widespread deployment to enhance energy efficiency and support the region’s carbon neutrality goals. The European Green Deal further accelerates investments in smart grid modernization and advanced energy management technologies. The market growth is also fueled by expanding infrastructure upgrades across Central and Eastern Europe, with increasing adoption of IoT and real-time data analytics playing a key role.

The UK smart meter market is expected to grow at a significant rate in the coming years, owing to a government-led initiative to equip all households with smart meters. Utility companies and consumer awareness programs actively support this rollout, emphasizing dynamic pricing and energy consumption management. The focus on empowering consumers and regulatory backing continues to drive strong growth in smart meter adoption across the country.

The smart meter market in Germany is driven by its comprehensive regulatory framework and a national commitment to achieving carbon neutrality. The country’s advanced smart grid infrastructure and high integration of renewable energy sources create strong demand for smart metering solutions. Local technology providers contribute significantly by integrating smart meters with real-time monitoring and load balancing systems, supporting both residential and industrial energy management.

Asia Pacific Smart Meter Market Trends

The smart meter market in the Asia Pacific accounted for the largest market share of 36% and is expected to grow at the highest CAGR of over 10% from 2026 to 2033, driven by rapid urbanization, industrialization, and government mandates promoting energy efficiency and grid modernization. Initiatives such as India’s Revamped Distribution Sector Scheme and growing investments in IoT and advanced metering infrastructure (AMI) support large-scale deployments. Rising energy demand and environmental concerns further propel adoption across residential, commercial, and industrial sectors, thereby fueling market growth in the region.

Japan smart meter market is gaining traction, fueled by efforts to enhance energy supply safety and reduce costs following vulnerabilities. Japan’s emphasis on energy efficiency and grid resilience, combined with government and utility investments, supports steady market expansion in the country.

The smart meter market in China is rapidly expanding, driven by comprehensive government mandates and a completed nationwide rollout of smart electricity meters. In addition, advanced communication technologies such as PLC are widely used, and ongoing replacements of first-generation meters sustain continuous growth.

Key Smart Meter Company Insights

Some of the key players operating in the market are Siemens AG and Honeywell International, Inc., among others.

• Siemens AG is a key player in the market, driving growth through its advanced metering infrastructure and integration of IoT and AI technologies. The company focuses on providing smart meters equipped with grid-edge capabilities that support renewable energy integration, electric vehicle charging management, and predictive maintenance. Siemens’ smart meter solutions contribute to energy efficiency, grid modernization, and enhanced consumer energy management.

• Honeywell International Inc. is a prominent player in the market, offering comprehensive solutions that enable two-way communication between utilities and consumers for real-time data collection, accurate billing, and remote monitoring. Honeywell integrates IoT and AI technologies into its smart metering systems to enhance grid resilience, energy optimization, and customer engagement. The company’s smart meters support the transition to renewable energy sources and the digitalization of energy infrastructure.

Landis+Gyr Limited and Wasion Holdings Limited are some of the emerging market participants.

• Landis+Gyr Limited specializes in integrated energy management solutions, with a strong presence in Europe and worldwide. The company has a large installed base of smart meters and is recognized for its advanced metering infrastructure, grid edge intelligence, and smart infrastructure technologies. Landis+Gyr continues to expand its market share in key European countries and benefits from supportive regulatory environments, energy transition trends, and strong investments in R&D and software services.

• Wasion Holdings Limited is a global provider of advanced metering infrastructure, energy efficiency management, and smart energy solutions and specializes in the research, development, manufacturing, and sales of smart meters for electricity, water, gas, and heat, as well as comprehensive energy management systems. The company operates in over 20 countries with localized production facilities in Mexico, Brazil, Tanzania, Hungary, and other regions, enabling it to serve a broad international customer base.

Recent Developments

• ​In March 2025, Honeywell International, Inc. introduced the NXU Residential Smart Gas Meter, designed to help protect gas customers and utilities across North America through automation and remote operability. The meter leverages industry-leading intelligence from Honeywell Forge Performance+ for Utilities, enabling gas utilities to see near real-time insights and optimize performance.

• In March 2025, Itron and CHINT Global introduced the first residential electric smart meter based on the DLMS User Association’s AC Electricity Smart Meter (ACESM) Generic Companion Profile (GCP) standard. This collaboration advances interoperability and streamlines multi-vendor solution integration for the global utility market, enabling utilities to adopt smart meters more quickly and reduce integration and deployment costs.

• In November 2024, Landis+Gyr announced a five-year agreement with Horizon Energy Infrastructure to support the UK's smart meter rollout beyond 2026. This partnership aims to provide critical support during a challenging period for energy retailers and smart meter installation programs, ensuring the continued success and stability of the country's smart metering initiatives.

Smart Meter Market Report Scope

Global Smart Meter Market Report Segmentation

This report forecasts revenue growth at the global, regional, and country levels and provides an analysis of the latest technological trends in each of the sub-segments from 2018 to 2030. For this study, Grand View Research has segmented the global smart meter market report based on component, technology, type, end use, and region:

• Component Outlook (Revenue, USD Billion, 2021 - 2033)

  • Hardware

  • Software

• Type Outlook (Revenue, USD Billion, 2021 - 2033)

  • Smart Electric Meter

  • Smart Water Meter

  • Smart Gas Meter

• Technology Outlook (Revenue, USD Billion, 2021 - 2033)

  • Automatic Meter Reading (AMR)

  • Advanced Meter Infrastructure (AMI)

• End Use Outlook (Revenue, USD Billion, 2021 - 2033)

  • Residential

  • Commercial

  • Industrial

• Regional Outlook (Revenue, USD Billion, 2021 - 2033)

  • North America

    • U.S.

    • Canada

    • Mexico

  • Europe

    • UK

    • Germany

    • France

  • Asia Pacific

    • China

    • Japan

    • India

    • South Korea

    • Australia

  • Latin America

    • Brazil

  • Middle East & Africa

    • Saudi Arabia

    • South Africa

    • UAE