Advanced Distributed Management System Market is expected to reach US$ 9.35 Billion by 2031

Rise in Grid Modernization Projects Boosts Advanced Distributed Management System Market Growth

According to our latest study titled “Advanced Distributed Management System Market Forecast to 2031 – Global and Regional Share, Trend, and Growth Opportunity Analysis – by Component, Grid Type, and Vertical,” the market was valued at US$ 3.32 billion in 2024 and is projected to reach US$ 9.35 billion by 2031; it is estimated to register a CAGR of 16.6% from 2025 to 2031. The report includes growth prospects in light of current advanced distributed management system market trends and factors influencing the market growth.

The growing trend of grid modernization and digitization largely drives the need for advanced distribution management systems (ADMS). Real-time data management, predictive analytics, and automated control systems are critical as energy networks transition from conventional, centralized infrastructures to more dynamic and decentralized models. ADMS platforms empower utilities to manage increasingly intricate and linked grid environments with improved operational efficiency, dependability, and responsiveness. The growing integration of EVs, smart metering infrastructure, and renewable energy sources further underlines the need for upgraded grid systems. ADMS systems facilitate this shift by lowering operating expenses and downtime, thereby enhancing fault detection, speeding up outage restoration, and optimizing power distribution. Key companies operating in the advanced distributed management system market are taking strategic initiatives to enhance the grid modernization processes for their clients. For instance, GE Vernova Inc. announced the forthcoming deployment of two high-voltage 420 kV sulfur hexafluoride-free (SF₆-free) gas-insulated substations (GIS) for Statnett SF [Norway's Transmission System Operator (TSO)] and Equinor ASA. Awarded in the fourth quarter of 2024, the contract covers the design, supply, and installation of GIS units at Skaidi and Hyggevatn as part of Statnett's 420 kV transmission line project—an important milestone supporting Norway's energy transition and decarbonization effort. The Skaidi substation involves upgrading the existing facility, while the Hyggevatn substation will be a completely new installation. Together, they aim to modernize Norway's electrical grid and extend its capacity, and electrify Melkøya Island, which is home to Equinor's Snøhvit gas field and Hammerfest LNG plant. This initiative aligns with Statnett's and Equinor's commitment to achieving a sustainable energy transition while reducing greenhouse gas emissions. The design of these next-generation substations will be based on GE Vernova's g³ technology, which replaces SF₆ gas, a potent greenhouse gas commonly used in high-voltage equipment. The g³ technology is part of GE Vernova's GRiDEA portfolio, a suite of decarbonization solutions that empower grid operators to meet their net-zero objectives. Hence, the rise in grid modernization projects drives the advanced distributed management system market growth.

Advanced Distributed Management System Market – by Region, 2024 and 2031

Source: The Insight Partners Analysis

The advanced distributed management system market analysis has been carried out by considering the following segments: component, grid type, and vertical. Based on type, the market is bifurcated into solutions and services. In terms of grid type, the advanced distributed management system market is segmented into high-voltage grid, medium-voltage grid, and low-voltage grid. By vertical, the market is segmented into industrial, commercial, and utilities. The utilities segment held the largest advanced distributed management system market share in 2024.

The geographic scope of the advanced distributed management system market report entails North America (US, Canada, and Mexico), Europe (Russia, UK, Germany, France, Italy, and Rest of Europe), Asia Pacific (South Korea, China, India, Japan, Australia, and Rest of Asia Pacific), Middle East & Africa (UAE, Saudi Arabia, South Africa, and Rest of Middle East & Africa), and South & Central America (Brazil, Argentina, and Rest of South & Central America). North America accounted for the largest advanced distributed management system market share in 2024. The region contributes significantly to the burgeoning advanced distribution management system market size owing to the rapid expansion of renewable energy projects. As of 2024, over 1,300 solar and wind initiatives have been launched across the US and Canada, prompting utilities to invest in advanced grid management solutions to effectively integrate intermittent energy sources and maintain grid reliability. According to the International Renewable Energy Agency, renewable energy capacity in the region now exceeds 300 GW. This surge in clean energy generation is accelerating the adoption of ADMS technologies to support grid modernization efforts and ensure operational efficiency. Aging infrastructure remains a pressing challenge, particularly in the US and Canada, with more than 150 major grid disturbances recorded in 2023 alone, highlighting the urgent need for resilient and intelligent distribution systems.

Utilities are turning to ADMS to enable predictive maintenance, improve outage management, and automate response capabilities—particularly in regions prone to extreme weather events. Regulatory developments are also playing a key role. The Federal Energy Regulatory Commission (FERC) has implemented resilience-oriented mandates that encourage utilities to adopt modern grid technologies. The US Department of Energy (DOE) and Natural Resources Canada (NRCan) have committed US$ 13 billion and US$ 2 billion toward grid modernization initiatives in the US and Canada, respectively. These programs prioritize the deployment of ADMS solutions to bolster grid stability, facilitate large-scale renewable integration, and address critical infrastructure needs. By offsetting upfront investment costs, such funding accelerates ADMS implementation across North America, driving a more resilient and sustainable energy landscape.

Siemens AG; Oracle Corp; Schneider Electric SE; General Electric Co; Capgemini; Emerson Electric Co; Minsait ACS, Inc.; Operation Technology Inc; Survalent Technology Corporation; and Hitachi Energy are among the key players profiled in the advanced distributed management system market report.

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