• In January 2024, advanced AI-driven active network management solutions were launched, enabling utilities to enhance grid stability and efficiently manage renewable energy integration in dynamic power systems.

• In November 2022, the growing adoption of active network management in smart city projects improved energy distribution and enabled real-time grid performance monitoring across urban networks.

In this report, the Active Network Management Market has been segmented by Component, Organization Size, Deployment, Application, and Geography.

Active Network Management Market, Segmentation by Component

The Active Network Management Market has been segmented by Component into Solution and Services.

Solution
The Solution segment dominates the Active Network Management (ANM) market, capturing over 60% of the total share. These solutions enable utilities to streamline grid operations through advanced features like load balancing, voltage regulation, and real-time monitoring. As the demand for smart grid infrastructure and renewable energy integration grows, organizations are turning to ANM solutions for enhanced grid efficiency and operational control.

Services
The Services segment makes up around 40% of the ANM market and plays a vital role in ensuring the successful implementation and lifecycle management of ANM solutions. This includes consulting, system integration, and technical support services. With energy networks becoming more complex, the need for expert services to customize, maintain, and optimize these systems is increasing, helping clients achieve long-term value from their ANM investments.

Active Network Management Market, Segmentation by Organization Size

The Active Network Management Market has been segmented by Organization Size into Small & Medium-sized Enterprises (SMEs) and Large Enterprises.

Small & Medium-sized Enterprises
The Small & Medium-sized Enterprises (SMEs) segment holds around 35% of the Active Network Management market. These businesses are turning to ANM solutions to improve operational efficiency, manage distributed energy resources, and reduce energy costs. Driven by supportive government policies and affordable cloud-based platforms, SMEs are increasingly investing in scalable ANM systems that align with their limited budgets and growing energy needs.

Large Enterprises
Large Enterprises lead the ANM market with more than 65% market share. With complex energy infrastructures and vast operational footprints, these organizations adopt ANM technologies to achieve grid stability, ensure regulatory compliance, and meet ambitious sustainability targets. Their significant investment capabilities allow for the deployment of integrated, enterprise-grade ANM systems across diverse assets and regions.

Active Network Management Market, Segmentation by Deployment

The Active Network Management Market has been segmented by Deployment into On-Premises, Cloud-Based, and Hybrid.

On-Premises
The On-Premises deployment model holds about 45% of the Active Network Management market, favored by organizations that require full control over their IT infrastructure and sensitive data. This model offers robust customization, high security, and direct oversight, making it ideal for sectors with strict compliance demands. However, it often involves higher initial investments and ongoing maintenance responsibilities.

Cloud-Based
With a market share of around 35%, the Cloud-Based deployment segment is rapidly expanding due to its cost-efficiency, flexibility, and scalability. Cloud-based ANM platforms allow organizations to perform real-time monitoring, streamline grid analytics, and minimize hardware dependencies. It is especially beneficial for SMEs and emerging markets looking for agile energy management solutions without extensive infrastructure.

Hybrid
The Hybrid deployment approach accounts for approximately 20% of the ANM market and is growing in popularity. It provides a balanced solution by combining the security of on-premises infrastructure with the scalability of cloud services. Enterprises favor hybrid models when migrating legacy systems or implementing complex ANM use cases that require both local control and cloud-enabled intelligence.

Active Network Management Market, Segmentation by Application

The Active Network Management Market has been segmented by Application into Transportation, Energy & Utilities, and Others.

Transportation
The Transportation segment accounts for approximately 25% of the Active Network Management market, fueled by the rapid electrification of transport systems. From EV charging stations to smart rail networks, ANM solutions help optimize power distribution, ensure load stability, and support dynamic energy demand. As the shift toward sustainable mobility intensifies, this sector is expected to see continued growth in ANM adoption.

Energy & Utilities
With a market share exceeding 55%, the Energy & Utilities segment is the leading application area for ANM solutions. Utilities rely on ANM to manage complex grid operations, integrate renewable energy sources, and respond to fluctuating demand in real time. Driven by regulatory mandates and the push for decarbonization, this sector continues to invest heavily in ANM to modernize and future-proof energy infrastructure.

Others
The Others segment—which includes industries such as manufacturing, telecom, and public infrastructure—makes up about 20% of the ANM market. These sectors are adopting ANM to achieve localized energy control, reduce costs, and boost operational efficiency. With increasing digital transformation and energy decentralization, adoption in these non-traditional areas is set to rise.

Active Network Management Market, Segmentation by Geography

In this report, the Active Network Management Market has been segmented by Geography into five regions; North America, Europe, Asia Pacific, Middle East and Africa, and Latin America.

Active Network Management Market Share (%), by Geographical Region

North America
North America dominates the Active Network Management market with more than 35% of global share. The region benefits from highly developed grid infrastructure, progressive energy policies, and strong investments in smart grid technologies. The U.S. and Canada are leading in the deployment of real-time monitoring and renewable energy integration systems.

Europe
With about 30% of the ANM market, Europe is a major player due to its stringent climate policies, advanced power infrastructure, and widespread adoption of green energy solutions. Countries such as Germany, the UK, and France are actively integrating ANM platforms to meet their decarbonization targets and support grid flexibility.

Asia Pacific
Asia Pacific holds close to 20% of the market, fueled by fast-paced urbanization, growing energy needs, and government-led smart grid programs. Nations like China, India, and Japan are at the forefront of regional ANM adoption, focusing on grid resilience and distributed energy resource management.

Middle East and Africa
The Middle East and Africa region contributes roughly 8% to the ANM market. Increasing investments in renewable energy, along with rising demand for reliable electricity access, are driving the implementation of ANM systems. Countries in the Gulf and parts of Sub-Saharan Africa are gradually modernizing their energy infrastructure.

Latin America
Latin America makes up around 7% of the market, with growing interest in distributed generation and smart distribution networks. Brazil and Mexico are leading regional developments in ANM as they work to address power loss, improve grid stability, and support renewable integration.

This report provides an in depth analysis of various factors that impact the dynamics of Active Network Management Market. These factors include; Market Drivers, Restraints and Opportunities Analysis.

Drivers, Restraints and Opportunity Analysis

Drivers

• Increasing demand for smart grids
• Growing renewable energy integration
• Advancements in IoT technology

• Government support and regulations - Government support and regulations are key drivers of the active network management (ANM) market, as policymakers increasingly mandate grid modernization and clean energy integration. Many governments are setting aggressive targets for renewable energy adoption and carbon emissions reduction, prompting the need for smarter grid systems. ANM solutions play a vital role in achieving these goals by enabling real-time control, optimized load balancing, and seamless integration of distributed energy resources into the grid.

  Incentives, grants, and regulatory frameworks encouraging utilities to invest in intelligent energy infrastructure have significantly accelerated ANM deployment. Regulations that demand improved grid efficiency, resilience, and consumer energy transparency further reinforce market momentum. This alignment between policy initiatives and advanced grid technologies positions ANM systems as a critical component of next-generation energy networks, driving sustained global growth.

Restraints

• High implementation costs
• Cybersecurity and privacy concerns
• Lack of standardization

• Technical complexity and integration - Technical complexity and integration present a significant restraint in the active network management (ANM) market, as implementing these systems often requires a complete overhaul of existing grid infrastructure. ANM solutions must be seamlessly integrated with legacy systems, distributed energy resources, and a wide array of monitoring and control devices. This level of integration demands advanced interoperability, real-time communication capabilities, and detailed system modeling, which can be resource-intensive and prone to errors if not executed with precision.

  Utilities also face challenges in terms of skilled workforce availability, system customization, and long deployment timelines. These technical barriers may delay adoption, especially for smaller utilities or those operating in regions with limited digital maturity. Without robust planning, testing, and support, ANM implementation can result in data inconsistency, operational inefficiencies, or cybersecurity vulnerabilities, making technical complexity a critical hurdle for broader market expansion.

Opportunities

• Expansion in emerging markets
• Technological advancements in AI
• Rising energy efficiency initiatives

• Collaboration with telecom companies - Collaboration with telecom companies presents a promising opportunity for the active network management (ANM) market, as reliable and secure communication networks are essential for the real-time operation of smart grids. Telecom providers offer the necessary connectivity infrastructure to support large-scale deployment of ANM systems, including 5G, IoT integration, and low-latency data transmission. These partnerships can accelerate the rollout of intelligent grid technologies by enabling seamless data exchange across geographically dispersed assets.

  By leveraging telecom expertise, utilities can enhance the resilience, scalability, and cybersecurity of their ANM platforms, allowing for more efficient management of distributed energy resources (DERs) and grid stability. Such collaboration also opens doors for co-developing advanced services like predictive maintenance and demand-side management. As energy and telecom sectors converge, cross-industry partnerships are expected to play a pivotal role in unlocking the full potential of active network management solutions worldwide.

Key players in Active Network Management Market include:

• General Electric (GE)
• ABB Ltd
• Siemens AG
• Schneider Electric SE
• Cisco Systems, Inc
• IBM Corporation
• Oracle Corporation
• Itron
• Landis+Gyr
• Smarter Grid Solutions

In this report, the profile of each market player provides following information:

• Company Overview and Product Portfolio
• Market Share Analysis
• Key Developments
• Financial Overview
• Strategies
• Company SWOT Analysis