According to our report titled, Smart Transformers Market is expected to reach USD 4.55 Billion by 2028, growing at a CAGR of 11% between 2022 to 2028. The power enterprise is changing from centralized, established, and security hazards to distributed, energy mix generation, and improvement in control systems. Digitalization is recreating a vital role in the power industry, which contains control systems, sensors, industrial software, and (IIoT) technologies, among others. The smart transformer provides digitalized management along with advanced characteristics such as a digital medium to access online, Wi-Fi, Ethernet options, optimization of asset performance, cybersecurity, and others. This makes the transformer play an administrative role in the electric distribution grid. Thus, the wide spectrum of benefits for incorporating digitalization into the energy industry is increasing the need for smart transformers in the global market.
- The distribution transformers segment is projected to expand at a considerable CAGR over the forecast period owing to the increasing adoption as networks needed smart transformers to communicate with customers and for continuous load monitoring.
- The smart grid segment held a significant market share in 2021. This share is due to the rising is its role in integrating power from distributed generation in the main grid as it has two-way communication for real-time monitoring and managing of network factors.
- Asia Pacific is expected to grow at the highest CAGR from 2022 to 2028. This surge is attributed to the rising demand for smart transformers in developing economies such as China and India.
Some of the key players in the Smart Transformers Market include - GE (US), ABB (Switzerland), Schneider Electric (France), Siemens (Germany), Wilson Transformer (Australia), Eaton (Ireland), Mitsubishi Electric (Japan), CG Power (India), BHEL (India), Gridco (US), SPX Transformer (US), and Howard Industries (US).
The Smart Transformers Market has enabled the power industry to develop into a unique transition from static one-way direction to dynamic two-way direction. An important role in optimizing and surveying power usage by the user, which allows saving energy and improving efficiency. It supplies better asset use, electricity cost-saving, energy rate, and energy safety, which causes the deployment of the smart grid achievable in the current grid. Thus, a smart transformer is deployed in the smart grid in a large area, which counts for better efficiency and dependability in power transmission.
North America is expected to grow at a substantial CAGR, owing to the increasing demand in countries, such as the U.S., Canada, and Mexico. High investments in contemporizing infrastructure and metropolitan populations, mainly in growing economies. Growth in investments in smart grid technologies that comprise distribution grid automation, smart meters, and market response systems would create an advantage for the Smart Transformers Market.
COVID Impact Analysis
The COVID-19 outbreak has affected various industries worldwide. Governments across the world implemented strict lockdown measures and social distancing norms in order to restrict the swift spread of the pandemic. Manufacturing facilities around the world were shut down during the initial stages of the pandemic. Moreover, the economic crisis after the pandemic might lead to a significant delay in the commercial roll-out of the Smart Transformers Market. Small and medium-scale companies are the backbone of technology providers and are witnessing a steep drop in revenue since the emergence of the pandemic in 2020. Hence, market players faced numerous challenges as disruptions in the supply chain were observed. However, things will improve in the second half of 2022 as more supplies will come online.
Recent Developments: -
April 2018 - ABB projected the world’s first dry-type digital transformer, anointed the ABB AbilityTM TXpertTM Dry, and another creative product called TXpandTM at its ABB Customer World (ACW) occasion in Xiamen, China.
November 2018- Siemens submitted a digital transformer under the portfolio of Sensformer, which is fitted with digital intelligence and sensors for transmitting the result of details improving flexibility and optimized function of the grid.