The worldwide push for smarter, more resilient power networks is set to propel power transmission investment to $573.7 billion by 2030, up from $372.6 billion in 2025, according to GlobalData’s latest report Smart Grid: Strategic Intelligence.
Smart Grid Demand Fuels Rapid Growth
Growing electricity needs, renewable-energy integration, and government decarbonization targets are accelerating grid modernization. Transmission infrastructure investment, which reached $343.2 billion in 2024—a 10.5 percent jump over 2023—will expand at a 9.2 percent CAGR from 2025 to 2030. Substations dominated 2024 spending at $246.4 billion, followed by transmission lines at $96.4 billion.
AI and IoT Transform Grid Operations
Artificial intelligence and Internet of Things (IoT) solutions are key to the next-generation smart grid market. AI enables real-time demand forecasting, predictive maintenance, and automated power-flow management, minimizing outages and energy losses. Partnerships such as Nvidia–Utilidata are advancing software-defined smart grid chips to boost efficiency.
Utilities are already reaping AI benefits:
Duke Energy applies machine learning for fleet management and predictive maintenance.
Duke Energy is applying artificial intelligence and machine learning to optimize fleet operations and predict equipment maintenance needs. These tools help reduce downtime, enhance safety, and improve power delivery reliability across its vast grid.
Xcel Energy uses eSmart Systems’ Grid Vision software to monitor lines and substations.
Xcel Energy uses eSmart Systems’ AI-powered Grid Vision platform to inspect and monitor transmission lines and substations. The system analyzes images and sensor data to detect issues early, improving efficiency and lowering maintenance costs.
E.ON predicts medium-voltage cable maintenance to cut outages.
E.ON leverages machine learning to predict when medium-voltage cables require maintenance or replacement. This proactive approach minimizes outages, cuts repair expenses, and supports grid reliability as renewable energy integration grows.
Southern Company, via WeaveGrid, optimizes electric-vehicle (EV) integration and energy planning.
Southern Company partners with WeaveGrid to integrate electric vehicles into its energy network. AI-driven software analyzes charging patterns and grid conditions to optimize energy distribution, plan EV infrastructure, and prevent overloads.
Data Centers Bolster Grid Stability
Data centers are emerging as vital players in smart grid evolution. Their high energy demand and advanced technology capabilities help balance supply and demand, support renewable integration, and provide frequency-regulation services. Programs like DCFlex demonstrate how data centers can even supply power back to the grid through bidirectional flow, enhancing resilience during peak loads or emergencies.
Market Outlook
GlobalData forecasts continued momentum in smart grid solutions as nations pursue carbon neutrality and grid modernization. AI, big data, blockchain, and advanced metering infrastructure are transforming how electricity is generated, delivered, and consumed.
Key Takeaway:
Rising investments, cutting-edge digital technologies, and strong policy support position the smart grid sector for sustained growth, making power transmission a critical pillar of the global energy transition through 2030 and beyond.
Baburajan Kizhakedath