Digital Substation Market to grow at a CAGR of 7% from 2022 to 2027, Driven by the growing demand for compact automation solutions

Aug 09, 2023

NEW YORK, March 14, 2023 /PRNewswire/ -- The global digital substation market size is estimated to grow by USD 2,923.01 million from 2022 to 2027, according to Technavio. The market is estimated to grow at a CAGR of 7% during the forecast period. The growing demand for compact automation solutions is a major factor driving the growth of the global digital substation market. Challenges related to designing at the control level have increased significantly due to the advent of the Industrial Internet of Things (IIoT). IIoT provides several benefits, such as real-time communication capability, increased efficiency of industrial automation control systems, and higher reliability. The rising adoption of IoT-enabled devices leads to design challenges related to price reductions. The use of IIoT for manufacturing and factory automation facilitates smart maintenance, distributed intelligence systems, and predictive analytics. Vendors also swiftly upgrade the features of their products based on end-user requirements. Hence, the growing demand for compact automation solutions is expected to drive the growth of the market during the forecast period.

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Global competitiveness and key competitor positions

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Digital Substation Market - Segmentation AssessmentSegment OverviewTechnavio has segmented the market based on type (transmission and distribution), component (hardware, fiber-optic communication networks, and SCADA systems), and geography (APAC, North America, Europe, South America, and Middle East and Africa).

The market share growth by the transmission segment will be significant for the market growth during the forecast period. In the power industry, digital substations like PLCs control and supervise power system automation. They find applications in transformer substations to detect transmission-related anomalies. Programmable sequential switching operations are a major application area of digital substations.

Geography OverviewBy geography, the global digital substation market is segmented into APAC, North America, Europe, South America, and Middle East and Africa. The report provides actionable insights and estimates the contribution of all regions to the growth of the global digital substation market.

APAC is estimated to contribute 34% to the growth of the global digital substation market during the forecast period. Some of the key factors contributing to the growth include government initiatives for digitalization, rising standards of living, a strong industrial base, and increasing demand for automobiles in the region. There has been a rising demand for both passenger and commercial vehicles in the region.

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Digital Substation Market – Market Dynamics

Leading trends influencing the market

The growing focus on expanding the capabilities of micro PLCs is a major trend in the global digital substation market. Owing to the increasing technological advances, vendors have developed micro PLCs with high-speed communication capabilities to control larger machines while featuring large program memory and capabilities to support multiple communication. Furthermore, some vendors provide additional features like analog and temperature I/O expansion modules to already launched or existing products to increase efficiency. Hence, such product expansions and developments in micro PLCs will increase their demand in process and discrete industries. This leads to a positive impact on the growth of the global digital substation market during the forecast period.

Major challenges hindering the market growth

One of the major challenges that may impede the growth of the market is the concern over cyber threats. In the last few years, various cyberattacks targeting the energy sector have occurred worldwide. As hackers devise new means to gain access to critical information by carrying out ransomware and distributed denial of service (DDoS) attacks, cyber threats also evolve constantly. Even as vendors try to improve the security of power monitoring and control software, the continually evolving nature of cyberattacks has put the use of power monitoring and control software at risk. This may hinder the growth of the global digital substation market during the forecast period.

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What are the key data covered in this Digital Substation Market report?

CAGR of the market during the forecast period

Detailed information on factors that will drive the growth of the digital substation market between 2023 and 2027

Precise estimation of the size of the digital substation market and its contribution to the market with a focus on the parent market

Accurate predictions about upcoming trends and changes in consumer behavior

Growth of the digital substation market across APAC, North America, Europe, South America, and Middle East and Africa

A thorough analysis of the market's competitive landscape and detailed information about vendors

Comprehensive analysis of factors that will challenge the growth of digital substation market vendors

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Digital Substation Market Scope

Report Coverage

Details

Base year

2022

Historic period

2017-2021

Forecast period

2023-2027

Growth momentum & CAGR

Accelerate at a CAGR of 7%

Market growth 2023-2027

USD 2,923.01 million

Market structure

Fragmented

YoY growth 2022-2023 (%)

6.62

Regional analysis

APAC, North America, Europe, South America, and Middle East and Africa

Performing market contribution

APAC at 34%

Key countries

US, China, Japan, UK, and Germany, Canada, Mexico, Italy,Spain, India, Japan, Australia, and South Korea

Competitive landscape

Leading Vendors, Market Positioning of Vendors, Competitive Strategies, and Industry Risks

Key companies profiled

ABB, Cadillac Automation and Controls, Cisco Systems Inc., Eaton Corp. Plc, Efacec, Emerson Electric Co., General Electric Co., Honeywell International Inc., iGrid T and D, Larsen and Toubro Ltd., Locamation, Netcontrol Group, NovaTech LLC, NR Electric Co. Ltd., Open Systems International Inc., Schneider Electric SE, Siemens AG, Tekvel, Tesco Automation Inc., and Texas Instruments Inc.

Market dynamics

Parent market analysis, Market growth inducers and obstacles, Fast-growing and slow-growing segment analysis, COVID-19 impact and recovery analysis and future consumer dynamics, Market condition analysis for forecast period

Customization purview

If our report has not included the data that you are looking for, you can reach out to our analysts and get segments customized.

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Table of Contents

1 Executive Summary

1.1 Market overview

2 Market Landscape

2.1 Market ecosystem

3 Market Sizing

3.1 Market definition

3.2 Market segment analysis

3.3 Market size 2022

3.4 Market outlook: Forecast for 2022-2027

4 Historic Market Size

4.1 Global digital substation market 2017 - 2021

4.2 Type Segment Analysis 2017 - 2021

4.3 Component Segment Analysis 2017 - 2021

4.4 Geography Segment Analysis 2017 - 2021

4.5 Country Segment Analysis 2017 - 2021

5 Five Forces Analysis

5.1 Five forces summary

5.2 Bargaining power of buyers

5.3 Bargaining power of suppliers

5.4 Threat of new entrants

5.5 Threat of substitutes

5.6 Threat of rivalry

5.7 Market condition

6 Market Segmentation by Type

6.1 Market segments

6.2 Comparison by Type

6.3 Transmission - Market size and forecast 2022-2027

6.4 Distribution - Market size and forecast 2022-2027

6.5 Market opportunity by Type

7 Market Segmentation by Component

7.1 Market segments

7.2 Comparison by Component

7.3 Hardware - Market size and forecast 2022-2027

7.4 Fiber-optic communication networks - Market size and forecast 2022-2027

7.5 SCADA systems - Market size and forecast 2022-2027

7.6 Market opportunity by Component

8 Customer Landscape

8.1 Customer landscape overview

9 Geographic Landscape

9.1 Geographic segmentation

9.2 Geographic comparison

9.3 APAC - Market size and forecast 2022-2027

9.4 North America - Market size and forecast 2022-2027

9.5 Europe - Market size and forecast 2022-2027

9.6 South America - Market size and forecast 2022-2027

9.7 Middle East and Africa - Market size and forecast 2022-2027

9.8 China - Market size and forecast 2022-2027

9.9 US - Market size and forecast 2022-2027

9.10 UK - Market size and forecast 2022-2027

9.11 Japan - Market size and forecast 2022-2027

9.12 Germany - Market size and forecast 2022-2027

9.13 Market opportunity by geography

10 Drivers, Challenges, and Trends

10.1 Market drivers

10.2 Market challenges

10.3 Impact of drivers and challenges

10.4 Market trends

11 Vendor Landscape

11.1 Overview

11.2 Vendor landscape

11.3 Landscape disruption

11.4 Industry risks

12 Vendor Analysis

12.1 Vendors covered

12.2 Market positioning of vendors

12.3 ABB

12.4 Cadillac Automation and Controls

12.5 Cisco Systems Inc.

12.6 Eaton Corp. Plc

12.7 Emerson Electric Co.

12.8 General Electric Co.

12.9 Honeywell International Inc.

12.10 iGrid T and D

12.11 Larsen and Toubro Ltd.

12.12 NovaTech LLC

12.13 NR Electric Co. Ltd.

12.14 Open Systems International Inc.

12.15 Schneider Electric SE

12.16 Siemens AG

12.17 Tekvel

13 Appendix

13.1 Scope of the report

13.2 Inclusions and exclusions checklist

13.3 Currency conversion rates for US$

13.4 Research methodology

13.5 List of abbreviations

About Us

Technavio is a leading global technology research and advisory company. Their research and analysis focuses on emerging market trends and provides actionable insights to help businesses identify market opportunities and develop effective strategies to optimize their market positions. With over 500 specialized analysts, Technavio's report library consists of more than 17,000 reports and counting, covering 800 technologies, spanning across 50 countries. Their client base consists of enterprises of all sizes, including more than 100 Fortune 500 companies. This growing client base relies on Technavio's comprehensive coverage, extensive research, and actionable market insights to identify opportunities in existing and potential markets and assess their competitive positions within changing market scenarios.

ContactTechnavio ResearchJesse MaidaMedia & Marketing ExecutiveUS: +1 844 364 1100UK: +44 203 893 3200Email: [email protected]: www.technavio.com/

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