The “Artificial Intelligence (AI)-Driven Smart Grid Intrusion Detection Market Report 2025” has been released by ResearchAndMarkets.com, highlighting significant growth in the sector. The AI-driven smart grid intrusion detection market is projected to expand from $1.76 billion in 2024 to $2.11 billion in 2025, reflecting a robust compound annual growth rate (CAGR) of 19.9%. Key factors fueling this growth include an uptick in cyberattacks targeting power infrastructures, greater adoption of smart grid technologies, regulatory pressures for infrastructure security, and rising energy security awareness.
Looking further ahead, the market is anticipated to continue its upward trajectory, with predictions indicating a value of $4.3 billion by 2029 and a sustained CAGR of 19.5%. The expansion is expected to be propelled by increased investments in renewable energy, the integration of Internet of Things (IoT) and connected devices, modernization of grid infrastructure, stringent compliance demands, and growing urbanization. Major trends shaping the landscape include the transition to real-time threat detection, adoption of edge computing, implementation of blockchain for data integrity, utilization of digital twins for grid management, and closer collaborations between utilities and cybersecurity firms.
The rising threat of cyberattacks is poised to significantly enhance market growth, as AI-driven smart grid intrusion detection systems are essential in defending against these risks. For example, the Australian Signals Directorate reported a 23% rise in cybercrime during the 2022-23 financial year, highlighting the urgent need for effective threat detection systems capable of monitoring and addressing anomalies in real time.
Moreover, the increase in connected devices is a boon for the sector, showcasing advancements in communication technologies that facilitate seamless data exchanges. This surge provides fertile ground for AI-driven systems to monitor network activities and ensure secure operations. According to BuildOps Inc., the number of IoT connected devices grew by 25% from 2021 to 2022, followed by a further increase of 28% the next year, underscoring the importance of robust security measures in this evolving landscape.
Rising energy demand is further fueling market expansion. As populations grow, electricity consumption rises, necessitating AI-driven smart grid systems to effectively manage the increasing complexity of modern power grids. Statistics Canada reported a 3.9% increase in energy production in 2022, further emphasizing the demand that supports this market growth.
Leading companies such as Siemens Energy AG, Hitachi Energy Ltd., IBM Corporation, Cisco Systems Inc., and ABB Ltd. are at the forefront of this burgeoning industry. North America currently holds the title of the largest regional market, while the Asia-Pacific region is anticipated to be the fastest-growing. However, potential shifts in market dynamics could arise due to rapidly changing trade relations and tariffs, particularly affecting utilities involved in power generation and renewable energy projects. This could increase costs for imported equipment, such as turbines and solar panels, prompting the sector to prioritize domestic sourcing and innovative solutions to manage costs while ensuring energy security.
The AI-driven smart grid intrusion detection market report provides stakeholders with comprehensive insights into trends, opportunities, and strategic directions within this dynamic industry landscape, covering various regions from Asia-Pacific to North America. The report spans 250 pages and is positioned to be a crucial resource for stakeholders navigating these complexities.
Report Scope:
Markets Covered: The report covers various components, including software, hardware, and services, along with deployment modes such as on-premises and cloud, and security types including network, endpoint, and application security. In terms of applications, it addresses energy management, critical infrastructure protection, and fraud detection, among others. End-users are classified into utilities, industrial, commercial, and residential sectors.
Subsegments: The software section includes intrusion detection systems, security information and event management, network monitoring tools, data analytics platforms, and machine learning algorithms. Hardware is categorized into sensors, servers, network devices, gateways, and storage devices. Services consist of consulting, managed security, support, maintenance, training, and system integration.
Key Attributes:
The report provides an extensive overview of the forecast period from 2025 to 2029, with an estimated market value of $2.11 billion in 2025, anticipated to rise to $4.3 billion by 2029, reflecting a CAGR of 19.5%. Regions covered encompass a global perspective.
For those interested in detailed insights, the full report can be accessed through ResearchAndMarkets.com, the leading source for international market research reports and data.
See also
Anthropic’s Claims of AI-Driven Cyberattacks Raise Industry Skepticism
Anthropic Reports AI-Driven Cyberattack Linked to Chinese Espionage
Quantum Computing Threatens Current Cryptography, Experts Seek Solutions
Anthropic’s Claude AI exploited in significant cyber-espionage operation
AI Poisoning Attacks Surge 40%: Businesses Face Growing Cybersecurity Risks
