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Smart Water Network Market by Component Type (Communication Networks, Hardware, Services), Technology (Advanced Metering Infrastructure, Supervisory Control And Data Acquisition), Application, Utilities Type - Global Forecast 2025-2032

Publisher 360iResearch
Published Dec 01, 2025
Length 195 Pages
SKU # IRE20620022

Description

The Smart Water Network Market was valued at USD 17.11 billion in 2024 and is projected to grow to USD 18.98 billion in 2025, with a CAGR of 11.02%, reaching USD 39.51 billion by 2032.

An urgent and strategic introduction framing how digital sensing, communications, analytics, and services are reshaping utility priorities and investment approaches for sustainable delivery

The water utility sector is at an inflection point where digital technologies, regulatory pressures, and shifting stakeholder expectations converge to redefine operational norms. Utilities are no longer evaluating smart infrastructure as an optional enhancement; they are incorporating sensing, communications, analytics, and services into core business processes to improve resilience, reduce non-revenue water, and meet stricter water quality and reporting requirements. This transformation is driven by a combination of aging physical assets, the appetite for operational efficiency, and an expanding ecosystem of vendors offering modular and integrated solutions.

As hardware costs decline and software maturity increases, the strategic calculus for investments is changing. Decision-makers now place greater emphasis on interoperability, cybersecurity, and lifecycle support rather than the novelty of individual products. Consequently, procurement approaches are evolving from piecemeal purchases toward platform-oriented, outcome-based contracts that prioritize measurable service levels. This shift demands closer collaboration between utilities, regulators, and technology providers to align incentives, standardize data models, and accelerate deployment of proven solutions across diverse network environments.

A concise synthesis of the transformative technological, architectural, and commercial shifts that are redefining how utilities plan, procure, and operate smart water solutions

The landscape for smart water networks has been reshaped by transformative shifts that extend beyond simple digitization. First, advances in sensing and telemetry enable higher-frequency data collection at lower cost, converting episodic inspection into continuous monitoring. This change amplifies the utility’s ability to detect leaks, pressure anomalies, and contamination events earlier, enabling more targeted interventions and a reduction in emergency response cycles.

Second, communications architectures are diversifying to include low-power wide-area networks alongside hybrid cellular and private radio deployments, allowing utilities to tailor connectivity based on geography, asset criticality, and budget constraints. Third, software stacks are maturing toward modular, API-driven platforms that facilitate third-party integration and accelerate analytics adoption. This interoperability reduces vendor lock-in and supports a marketplace of analytics applications that deliver specific operational and customer-facing outcomes.

Finally, service delivery models are transitioning from CAPEX-centric implementations toward managed services and outcome-based contracting, which align vendor incentives with utility performance goals. These converging shifts create a more dynamic environment for innovation while elevating the need for governance frameworks, data standards, and robust cybersecurity practices to sustain long-term benefits.

A careful analysis of how 2025 tariff changes have altered procurement, sourcing strategies, and total cost considerations for hardware, services, and integrated solutions in water networks

The implementation of tariffs and trade policy adjustments in the United States in 2025 has introduced new variables into supply chains and procurement dynamics for smart water network components and services. Tariff-induced cost pressures on imported sensors, meters, and communications equipment have prompted many buyers to re-evaluate sourcing strategies, prioritize dual-sourcing arrangements, and accelerate qualification of domestic suppliers where feasible. This recalibration is evident across hardware categories, particularly in commodity-level devices where supplier diversification can mitigate lead-time and price volatility risks.

Beyond procurement, tariffs have led utilities and vendors to re-examine total cost of ownership calculations and to place increased emphasis on serviceability and maintainability. Where unit prices rise, networks that emphasize remote diagnostics, predictive maintenance, and modular hardware designs can offset higher upfront costs through reduced field visits and longer asset lifecycles. Importantly, the tariff environment has also incentivized software-centric solutions that deliver incremental value without equivalent exposure to physical goods trade dynamics. Transitioning toward cloud-based analytics, edge computing, and managed service arrangements can decrease direct exposure to import tariffs while still improving operational outcomes.

In parallel, policy uncertainty has accelerated conversations about reshoring and regional manufacturing hubs, with some vendors announcing initiatives to localize assembly or component sourcing. Utilities and system integrators must therefore balance near-term cost impacts with longer-term considerations around supplier stability, contractual terms that hedge currency and tariff exposure, and collaborative procurement mechanisms that aggregate demand to secure more favorable commercial terms.

A cohesive synthesis of component, technology, application, and utility-type segmentation that explains divergent adoption patterns and prioritization logic for smart water deployments

Segment-level insights reveal distinct adoption patterns and investment priorities across components, technologies, applications, and utility types that shape implementation pathways. Based on component type, the ecosystem spans communication networks, hardware, services, and software; within hardware, flow meters and sensors serve as primary telemetry anchors, while services extend across consulting, implementation, and maintenance to ensure solutions deliver expected operational benefits. This composition reinforces the idea that successful deployments require tight integration between physical devices, connectivity, and ongoing service support to translate raw data into actionable workflows.

When viewed through a technology lens, the two dominant architectures-Advanced Metering Infrastructure and Supervisory Control and Data Acquisition-present complementary value propositions. Advanced Metering Infrastructure tends to focus on distributed consumption measurement and customer-facing analytics, while Supervisory Control and Data Acquisition provides centralized operational control and real-time process telemetry; effective strategies often layer these capabilities to optimize both customer engagement and network operations. Application segmentation into commercial and residential end uses highlights differing performance requirements and economic drivers: commercial sites typically prioritize high-resolution monitoring for loss prevention and process continuity, while residential deployments emphasize billing accuracy, customer engagement, and conservation incentives.

Utility type also influences system design, with wastewater utilities and water utilities exhibiting divergent operational constraints, regulatory drivers, and asset priorities. Wastewater systems emphasize process control, odor management, and downstream treatment optimization, whereas water utilities emphasize distribution pressure management, potable quality assurance, and source-to-tap resilience. Understanding how these segment attributes interact enables solution providers and utility planners to prioritize feature sets, integration approaches, and service levels that align with the specific operational objectives of each deployment context.

An in-depth regional perspective that contrasts funding models, regulatory drivers, and operational priorities across the Americas, Europe Middle East Africa, and Asia-Pacific to guide tailored strategies

Regional dynamics shape both the pace and character of smart water adoption, with each macro-region exhibiting its own regulatory frameworks, funding models, and technology ecosystems. In the Americas, municipal and investor-owned utilities increasingly leverage public funding, resilience grants, and performance-driven contracts to accelerate sensor rollouts and AMI programs; the region favors pragmatic pilots that demonstrate clear operational savings and customer service improvements, and it benefits from a competitive vendor market that supports rapid procurement cycles.

Across Europe, the Middle East, and Africa, regulatory rigor, interoperability mandates, and climate-related stressors drive differentiated priorities. European utilities often emphasize stringent compliance, sustainability metrics, and integration with smart city initiatives, while utilities in the Middle East place a premium on desalination integration and loss reduction in arid environments. African utilities face unique infrastructure challenges and financing constraints, which emphasize cost-effective, scalable solutions and partnerships that build local technical capacity. In the Asia-Pacific region, rapid urbanization, aggressive digitalization agendas, and diverse utility ownership models spur both large-scale AMI programs and modular SCADA modernizations. Adoption in this region often reflects a willingness to integrate cutting-edge communications technologies at scale and to experiment with alternative financing and public-private partnership structures.

These regional contrasts imply that vendors and planners must tailor propositions to local regulatory incentives, capital availability, and operational priorities. Regional collaboration, standard harmonization, and knowledge sharing can accelerate mature deployments and reduce implementation risk across disparate market environments.

A strategic overview of vendor dynamics, convergence trends, and service differentiation that explain how companies are repositioning to deliver integrated solutions and long-term operational value

Competitive dynamics among solution providers reflect a blend of specialization and convergence as vendors expand from single-product offerings into integrated solutions and managed services. Companies with deep expertise in hardware components are broadening their portfolios to include edge computing and embedded analytics, while established software vendors are moving into device certification and interoperability services to accelerate platform adoption. This cross-pollination fosters an ecosystem where partnerships, alliances, and acquisition activity are tools to rapidly close capability gaps and accelerate time to market.

Service providers and systems integrators play an increasingly central role by translating technology stacks into measurable operational outcomes. Their ability to offer outcome-based contracts, demonstrate strong project governance, and provide ongoing maintenance and cybersecurity services becomes a key differentiator. For utilities, vendor selection criteria now heavily weigh proven field deployments, open data architectures, and demonstrable ability to support long-term operations and maintenance. As a result, procurement processes are evolving to include technical pilot phases, extended warranties, and performance incentives that align vendor behavior with utility performance goals. These market dynamics favor vendors that combine technical depth with a pragmatic understanding of utility operations, regulatory constraints, and the complexities of long-duration service delivery.

Actionable recommendations for utility and vendor leaders to operationalize digital transformation through phased deployments, governance, procurement innovations, and capability building

Industry leaders should adopt a pragmatic, phased approach to digital transformation that balances risk, value delivery, and scalability. Begin by prioritizing initiatives that yield rapid operational benefits and are interoperable with existing systems; modular deployments reduce implementation risk and allow lessons learned to inform broader rollouts. At the procurement level, negotiate contracts that incorporate performance-based incentives, lifecycle support, and clear data ownership provisions to align vendor incentives with utility outcomes.

Invest in a governance framework that standardizes data models, cybersecurity practices, and integration protocols to lower the cost of future expansions and third-party applications. Strengthening in-house capabilities in analytics, asset management, and contract oversight will improve a utility’s ability to capture value from investments and to hold partners accountable. Consider leveraging collaborative procurement vehicles or regional consortiums to aggregate demand for standard components, which can reduce price volatility and improve supplier responsiveness. Finally, adopt a customer-centric mindset by ensuring that deployments support both operational objectives and enhanced customer experiences through timely notifications, billing accuracy, and conservation programs that build public trust and support for capital investments.

A transparent description of the multi-method research approach combining primary interviews, secondary technical analysis, case studies, and scenario evaluation to validate practical insights

This research applied a structured, multi-method approach to synthesize industry insights and practical guidance for smart water network stakeholders. Primary interviews with utility operators, systems integrators, and technology providers provided qualitative context on operational priorities, procurement practices, and deployment challenges. Secondary analysis of technical literature, regulatory guidelines, and vendor technical documentation supplemented interview insights to validate technology trajectories and solution architectures.

The analysis prioritized cross-validation between practitioner perspectives and documented technical capabilities to reduce bias and surface actionable implications. Case-based examination of representative deployments illuminated how integration choices, contractual structures, and maintenance strategies impact performance over time. Finally, scenario analysis considered supply chain, policy, and technology adoption variables to highlight resilient pathways for utilities navigating changing economic and regulatory conditions. Together, these methods underpin a pragmatic set of insights designed to be immediately useful for decision-makers engaged in planning, procurement, and operations.

A concise conclusion emphasizing the strategic nature of digital adoption, the importance of interoperability and governance, and the need for coordinated stakeholder action to realize benefits

The cumulative analysis underscores that smart water networks are not solely a technology upgrade but a strategic enabler of operational resilience, regulatory compliance, and customer-centric service delivery. Successful transitions hinge on the integration of accurate sensing hardware, reliable communications, interoperable software platforms, and robust service arrangements that support long-term operations. Utilities that adopt modular deployment strategies, prioritize interoperability, and enforce governance around data and cybersecurity are better positioned to translate investments into measurable outcomes.

Moreover, evolving commercial models and external pressures such as trade policy adjustments require agility in procurement and sourcing strategies. Utilities and vendors that proactively design for maintainability, supplier diversification, and performance-based contracting can mitigate near-term disruptions while unlocking efficiency gains. Ultimately, the path forward involves coordinated efforts across utilities, vendors, regulators, and financiers to align incentives and scale solutions that deliver resilient, efficient, and customer-aligned water services.

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Table of Contents

195 Pages
1. Preface
1.1. Objectives of the Study
1.2. Market Segmentation & Coverage
1.3. Years Considered for the Study
1.4. Currency
1.5. Language
1.6. Stakeholders
2. Research Methodology
3. Executive Summary
4. Market Overview
5. Market Insights
5.1. Expansion of IoT-enabled sensors for real-time water quality monitoring across utilities
5.2. Adoption of AI-driven analytics for predictive leak detection and distribution optimization
5.3. Integration of blockchain technology to ensure secure and transparent water asset management
5.4. Deployment of edge computing platforms to process high-frequency water flow data in remote locations
5.5. Growing investment in wireless mesh networks for scalable and reliable smart water infrastructure
5.6. Implementation of advanced SCADA systems with cloud connectivity for centralized control and automation
5.7. Development of digital twin models for virtual simulation and performance optimization of pipeline networks
6. Cumulative Impact of United States Tariffs 2025
7. Cumulative Impact of Artificial Intelligence 2025
8. Smart Water Network Market, by Component Type
8.1. Communication Networks
8.2. Hardware
8.2.1. Flow Meters
8.2.2. Sensors
8.3. Services
8.3.1. Consulting
8.3.2. Implementation
8.3.3. Maintenance
8.4. Software
9. Smart Water Network Market, by Technology
9.1. Advanced Metering Infrastructure
9.2. Supervisory Control And Data Acquisition
10. Smart Water Network Market, by Application
10.1. Commercial
10.2. Residential
11. Smart Water Network Market, by Utilities Type
11.1. Wastewater Utilities
11.2. Water Utilities
12. Smart Water Network Market, by Region
12.1. Americas
12.1.1. North America
12.1.2. Latin America
12.2. Europe, Middle East & Africa
12.2.1. Europe
12.2.2. Middle East
12.2.3. Africa
12.3. Asia-Pacific
13. Smart Water Network Market, by Group
13.1. ASEAN
13.2. GCC
13.3. European Union
13.4. BRICS
13.5. G7
13.6. NATO
14. Smart Water Network Market, by Country
14.1. United States
14.2. Canada
14.3. Mexico
14.4. Brazil
14.5. United Kingdom
14.6. Germany
14.7. France
14.8. Russia
14.9. Italy
14.10. Spain
14.11. China
14.12. India
14.13. Japan
14.14. Australia
14.15. South Korea
15. Competitive Landscape
15.1. Market Share Analysis, 2024
15.2. FPNV Positioning Matrix, 2024
15.3. Competitive Analysis
15.3.1. ABB Ltd.
15.3.2. Aquamatix Limited
15.3.3. Arad Group
15.3.4. Badger Meter, Inc.
15.3.5. Bentley Systems Inc.
15.3.6. Diehl Stiftung & Co. KG
15.3.7. Emerson Electric Co.
15.3.8. Evoqua Water Technologies Corp.
15.3.9. General Electric Company
15.3.10. Hitachi, Ltd.
15.3.11. Honeywell International Inc.
15.3.12. Hubbell Incorporated
15.3.13. HydroPoint Data Systems, Inc.
15.3.14. IBM Corporation
15.3.15. Itron Inc.
15.3.16. Kamstrup A/S
15.3.17. Landis + Gyr AG
15.3.18. Moen Incorporated
15.3.19. Mueller Water Products, Inc. by Walter Industries Inc.
15.3.20. Neptune Technology Group Inc.
15.3.21. Oracle Corporation
15.3.22. SCHNEIDER ELECTRIC INDUSTRIES SAS
15.3.23. Siemens AG
15.3.24. Smart Water Networks Forum
15.3.25. SPML Infra Limited
15.3.26. SUEZ Group
15.3.27. TaKaDu Ltd.
15.3.28. Trimble Inc.
15.3.29. Veolia Environnement S.A.
15.3.30. Xylem Inc.
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