IDC FutureScape: Worldwide Utilities 2024 Predictions

IDC FutureScape Figure

• Figure: IDC FutureScape: Worldwide Utilities 2024 Top 10 Predictions

Executive Summary

IDC FutureScape Predictions

• Summary of External Drivers

• Predictions: Impact on Technology Buyers

• Prediction 1: In 2024, 45% of frontrunner energy suppliers will leverage GenAI technologies, especially chatbots, to improve customers' digital journeys, cutting fallback calls to contact centers by over 60%.

• Associated Drivers

• IT Impact

• Guidance

• Prediction 2: In 2025, 55% of utilities will prioritize supporting customer engagement with personalized energy efficiency & demand response programs, helping customers save 15% on utility bills' energy component.

• Associated Drivers

• IT Impact

• Guidance

• Prediction 3: By 2027, 50% of utilities will implement digital twins, improving asset optimization of power grids, decreasing unplanned outages by 30%, and supporting simulations for network expansion.

• Associated Drivers

• IT Impact

• Guidance

• Prediction 4: By 2025, 60% of electric utilities will have integrated non-wire alternatives in standard planning, deferring up to $7 in system capex for every $1 spent on procuring distributed energy resources.

• Associated Drivers

• IT Impact

• Guidance

• Prediction 5: By 2026, 40% of utilities will implement GenAI, improving asset and equipment restoration times by 30% and establishing a knowledge management platform for the next generation of field technicians.

• IT Impact

• Guidance

• Prediction 6: By 2026, 50% of utilities in advanced markets will invest in ADMS or DERMS to optimize the influx of renewables and DERs coming online, decreasing their carbon footprints by 30% in the long run.

• Associated Drivers

• IT Impact

• Guidance

• Prediction 7: By 2026, 25% of water distribution companies will have operationalized multispectral satellite imaging and AI-powered computer vision, improving the efficacy of leak detection by a factor of seven.

• Associated Drivers

• IT Impact

• Guidance

• Prediction 8: By 2028, 35% of integrated electric utilities will offer integrated infrastructure, technology, and energy services for EV fleets, helping to accelerate public transport decarbonization.

• Associated Drivers

• IT Impact

• Guidance

• Prediction 9: In light of escalating hacking incidents, by 2027, 25% of utilities will turn to managed security service providers for outcome-based services that align security performance with business outcomes.

• Associated Drivers

• IT Impact

• Guidance

• Prediction 10: Due to shifting regulations requiring greater supply chain transparency and due diligence, by 2026, 60% utilities will invest in ESG data platforms to build sustainable supply chains and manage risks.

• Associated Drivers

• IT Impact

• Guidance

Advice for Technology Buyers

External Drivers: Detail

• AI Everywhere — Generative AI Takes the Spotlight

• The Drive to Automate — Maximizing Efficiency and New Opportunities

• Cybersecurity and Risk — Building Resilience Against Multiplying Threats

• The Digital Business Imperative — Competitiveness and Outcomes

• Everything as a Service Intensifies — Transforming Models to Drive Change

• Dynamic Work and Skills Requirements — New Work Mode Era

• Operationalization of ESG — Measuring and Implementing Sustainability

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• Related Research