Energy Measurement IC Market size was valued at USD 3.8 billion in 2024 and is expected to secure a valuation of USD 9.2 billion in 2037, expanding at a CAGR of 7% during the forecast period, i.e. 2025-2037. In 2025, the industry size of energy measurement IC is estimated at USD 4.1 billion.
Modern innovations in semiconductor technology have made it possible to enhance the energy measurement ICs while making them more accurate, efficient, and cost-effective. The development of these devices to miniature form factors has only enhanced their usage in multiple applications. In April 2020, the Scheme for Promotion of Manufacturing of Electronic Components and Semiconductors (SPECS) was launched by the Ministry of Electronics and Information Technology (MeitY), entailing financial incentives of up to 25 percent on capital costs incurred for setting up manufacturing electronic components and semiconductors. This policy promotes domestic production and technology development in the measurement of energies in Integrated Circuits.
The energy measurement IC market has shown remarkable growth, owing to the integration of advanced technologies in energy management systems as well as the continually rising demand for energy-efficient solutions. Partnerships and collaborations between key industry players have also led to a surge in technological developments. Companies are joining hands with utilities and meter manufacturers to develop integrated cloud analytics and next-generation electricity meters, which in turn will enhance the functionality and efficiency of energy measurement systems.
Growth Drivers
Challenges
|
Base Year |
2024 |
|
Forecast Year |
2025-2037 |
|
CAGR |
7% |
|
Base Year Market Size (2024) |
USD 3.8 billion |
|
Forecast Year Market Size (2037) |
USD 9.2 billion |
|
Regional Scope |
|
Application (Smart Meters, Industrial Automation, Electric Vehicles, Renewable Energy Systems, Home Automation)
The smart meters segment is expected to dominate energy measurement IC market share of over 39.1% by 2037. The integration of communication technologies, including IoT is a major factor driving the adoption of smart meters. Such developments make it easier to enable real-time data transmission, remote monitoring, as well as enhanced data analytics. The IoT connectivity in smart meters is mostly used where the supply and demand in the systems can be monitored and the usage can be controlled, allowing utilities to use the data from the systems for better management. This is driving significant demand for energy measurement ICs that are capable of supporting these sophisticated systems.
In 2022, the Landis+Gyr company launched new models of IoT-ready smart meters with enhanced functions of the communication modules that enable utilities to increase the possibilities of advanced metering and control energy flow. Energy efficiency is driven by the consumption data offered by smart meters, enabling consumers to change their pattern of energy utilization. With increasing costs of energy and rising environmental awareness, both industrial and residential users are looking for ways to reduce consumption.
Type (Analog ICs, Digital ICs, Mixed-Signal ICs)
By type, the analog ICs segment in energy measurement IC market is expected to register rapid revenue growth during the assessment period. The rising focus on energy efficiency across various applications and industries is fostering the growth of analog ICs. These ICs are critical to power measurement and control, making it easy for companies to track energy usage and application efficiently. With increasing dependence on renewable energy sources including solar and wind power for a generation, there is a need to accurately measure energy due to the fluctuations and the lack of control that comes with integration of these renewable energy sources.
Our in-depth analysis of the global energy measurement IC market includes the following segments:
|
Application |
|
|
Type |
|
|
End use |
|
|
Technology |
|
North America Market
By 2037, North America energy measurement IC market is predicted to capture over 40.2% revenue share, attributed to the increased demand for smart homes and buildings in the region. There has been a prominent requirement for advanced energy management systems, with the rising demand for more energy-efficient solutions from consumers and businesses. Energy measurement ICs are very important in the smart meter technology utilized in these systems to monitor energy utilization and efficiency. The increased incorporation of renewable energy sources into such systems adds to the necessity to manage energy accurately in these systems.
Significant investments in the region’s electric vehicle infrastructure have also driven the energy measurement IC market growth in the recent years. With the increasing campaign for EV deployment across North America, the measurement of ICs in charging stations and battery applications is vital. Some of the needs that have been recently met by the developed products include those provided by companies, including Texas Instruments and Delta Electronics. In June 2024, the duo partnered to create next-generation EV onboard charging and power solutions.
The U.S. energy measurement IC market is increasing, owing to the growing adoption of renewable energy resources and the need for electrical grid stabilization. The rapid adoption of advanced smart metering systems in the country is also anticipated to fuel energy measurement IC market growth. As per the report from the U.S. Energy Information Administration (2023), the electric utilities deployed nearly 119 million smart metering infrastructures across the country, which accounted for approximately 72% of total electric meter installations. The rapidly developing smart cities are another major factor fueling the market growth in the country.
The energy measurement IC market in Canada is growing due to the country’s aim to produce low-carbon hydrogen. The country’s vast renewable energy resources, especially hydroelectric power, create an ideal environment for low-carbon hydrogen initiatives. In 2020, the Government of Canada released the Hydrogen Strategy, and set a goal to become the world-leading producer, user, and exporter of low-carbon hydrogen and associated technologies. This focused strategy has attracted the attention of other industries, increasing the demand for energy measurement ICs to control energy usage in the green hydrogen industry.
Asia Pacific Market Analysis
The Asia Pacific energy measurement IC market is expected to account for a significant revenue share between 2025 and 2037, owing to the increased government support and rapid adoption of the latest technologies. Over the years, governments throughout the region, especially India and China, have emphasized energy efficiency, smart metering, and the adoption of renewable energy sources, leading to constant demand for the latest energy measurement technologies. These initiatives and policies are encouraging efficient energy systems and smart grids leading advancement of the market.
Continual innovations in technology also play a significant role in the growth of the energy measurement IC market. Companies in the region are working on creating ICs with lower power consumption, higher accuracy, and enhanced durability, with the rising demand for smart energy solutions. The rising trend of industrial energy management and smart meters for the residential and commercial sectors act as favorable drivers for the market.
The growth of the energy measurement IC market in China is influenced mainly by rising demand for industrial automation and smart grid systems. China is gradually developing its industrialization process and with the increase in energy consumption, the exact measurement methods become indispensable. New industrial trends implemented by the government such as industry 4.0 and automation have increased the demand for highly-accurate energy meters. Most of these ICs are being incorporated into smart grids that enable efficient use of energy and reduce wastage. The fast-growing market in China for electric vehicles is a new driver for energy measurement ICs. Owing to the increasing adoption of EVs in the country, there has been a rise in demand for accurate monitoring of battery performance and energy consumption. For instance, in April 2024, Nuvoton unveiled its fourth-generation battery-monitoring chipset solution for electric vehicles.
In India, the energy measurement IC market is anticipated to expand at a robust CAGR throughout the forecast period and is aimed at enhancing energy efficiency. The push for the adoption of electric vehicles aligns with the need for energy management solutions and country’s target to install nearly 5.4 lakh EV charging stations by 2030, which would further boost the need for accurate energy measurement systems.
The competitive landscape of the energy measurement IC market is rapidly evolving, attributed to the integration of advanced technologies in energy management systems by key players. They are focused on developing new technologies and products catering to the stringent regulatory norms and consumer demand. These key players are adopting several strategies such as mergers and acquisitions, joint ventures, partnerships, and novel product launches to enhance their product base and strengthen their market position. Here are some key players operating in the global energy measurement IC market:
Author Credits: Abhishek Verma
Copyright © 2025 Research Nester. All Rights Reserved
FREE Sample Copy includes market overview, growth trends, statistical charts & tables, forecast estimates, and much more.
Have questions before ordering this report?