Shipments of Private Utility Wireless Communications Nodes Will Surpass 14 Million by 2020, Forecasts Pike Research

BOULDER, Colo.--(BUSINESS WIRE)--The systems used to connect the various devices within a utility’s “field” of operations, which can include smart meters, concentrators, distribution assets, control and protection equipment, and substation equipment, are known as field area networks (FANs). Utilities are increasingly creating common platforms to connect all these devices together to enable simpler, more unified visibility, management, and control. According to a new report from Pike Research, a part of Navigant’s Energy Practice, deployments of these networks – specifically in the form of wireless communications nodes, using radio frequency (RF) mesh, Wi-Fi, WiMAX, or LTE technology – will contract this year and next and then expand steadily over the next several years. By 2020, the report concludes, annual worldwide shipments of these communications nodes will reach 14.3 million.

“The development of field area networks is being driven largely by a shift in the way smart grid-based products and services are being positioned and marketed”

“The development of field area networks is being driven largely by a shift in the way smart grid-based products and services are being positioned and marketed,” says chief research director Bob Gohn. “Vendors are making a concerted effort to reposition themselves as platform vendors and integrators, rather than as simply suppliers of a specific piece of equipment, such as smart meters or radios. At the same time, utilities have recognized the value of creating interconnected communications networks that will allow them to better manage the distribution grid.”

The market for private utility FANs will be led by North America, the study finds, which will see 82 percent of world shipments in 2012. That share will decline steadily over the 2012-2020 forecast period, but North America will still account for 44 percent of world shipments by 2020. The fastest growth in the decade will come in Latin America, where shipments will increase at a compound annual growth rate (CAGR) of 48 percent.

The report, “Private Wireless Utility Field Area Networks”, examines the use of privately owned, built, and managed wireless technology infrastructure used to deploy field area networks. The report covers the range of technologies used in these networks, including RF mesh, Wi-Fi, WiMAX, LTE, and proprietary wireless systems. Profiles of 16 key industry vendors are included along with worldwide market forecasts, segmented by region and technology, for unit shipments, revenue, and average selling prices through 2020. An Executive Summary of the report is available for free download on the Pike Research website.

About Pike Research

Pike Research, which joined Navigant’s global Energy Practice on July 1, 2012, provides in-depth analysis of global clean technology markets. The team’s research methodology combines supply-side industry analysis, end-user primary research and demand assessment, and deep examination of technology trends to provide a comprehensive view of the Smart Energy, Smart Grid, Smart Transportation, Smart Industry, and Smart Buildings sectors. Additional information about Pike Research can be found at www.navigant.com/pikeresearch.

About Navigant

Navigant (NYSE: NCI) is a specialized, global expert services firm dedicated to assisting clients in creating and protecting value in the face of critical business risks and opportunities. Through senior level engagement with clients, Navigant professionals combine technical expertise in Disputes and Investigations, Economics, Financial Advisory and Management Consulting, with business pragmatism in the highly regulated Construction, Energy, Financial Services and Healthcare industries to support clients in addressing their most critical business needs. More information about Navigant can be found at www.navigant.com.

* The information contained in this press release concerning the report, “Private Wireless Utility Field Area Networks,” is a summary and reflects Pike Research’s current expectations based on market data and trend analysis. Market predictions and expectations are inherently uncertain and actual results may differ materially from those contained in this press release or the report. Please refer to the full report for a complete understanding of the assumptions underlying the report’s conclusions and the methodologies used to create the report. Neither Pike Research nor Navigant undertakes any obligation to update any of the information contained in this press release or the report.