The AI-driven smart grid intrusion detection market is set to grow significantly, increasing from $1.76 billion in 2024 to $2.11 billion in 2025, marking a compound annual growth rate (CAGR) of 19.9%. This surge is largely attributed to the escalating number of cyberattacks on power infrastructures and an increased focus on smart grid technologies.
Future projections estimate the market could reach $4.3 billion by 2029, maintaining a CAGR of 19.5%. Contributing factors include investments in renewable energy, the integration of IoT devices, and heightened regulatory compliance for infrastructure security. The ongoing urbanization trend further emphasizes the need for advanced grid management solutions.
Major developments in the sector involve real-time threat detection, edge computing, and blockchain for ensuring data integrity. For instance, the Australian Signals Directorate noted a 23% rise in cybercrime during the 2022-23 financial year, which highlights the critical need for effective threat detection systems. Additionally, IoT device connectivity has surged, with a 25% increase from 2021 to 2022, followed by a 28% rise in the subsequent year.