Vendor solutions in advanced metering infrastructure (AMI) communication network market

FRAMINGHAM, USA: IDC Energy Insights announced the availability of a new IDC MarketScape report assessing vendor solutions in the advanced metering infrastructure (AMI) communication network market.

IDC MarketScape vendor analysis reports are designed to identify the factors most conducive to success in a given market, and then assess vendors participating in this market against those factors. The studies utilize a rigorous scoring methodology that produces a definitive assessment of each vendor's current market capabilities, and outlines strategies for competing in the future.

According to IDC Energy Insights' new report, IDC MarketScape: North American AMI Communication Network 2011 Vendor Assessment (Document #EI227555), scalability, integration and interoperability, and customer service are three of the most important evaluation criteria utilities should be using to assess an AMI communication network solutions vendor.

The assessment coincides with significant utility investment activity and massive ramp-up in this market. Recent legislation has generated widespread interest in increasing "smart grid" technology investments to improve intelligence in the electric distribution network. As such, utilities are undertaking initiatives to deploy smart meters and the AMI infrastructure upon which they run. In fact, IDC Energy Insights forecasts that by 2015, North American smart meter deployments will reach 88 million, representing a penetration rate of 51.4 percent.

Smart meters and AMI provide multiple benefits to utilities, including enabling more accurate and faster billing cycles, reducing the costs of sending employees and vehicles to collect meter readings, and identifying and restoring power due to outages. In addition, the smart meter technology can deliver electricity-health measurements on power quality, enabling utility operations to evaluate adjustments to optimize electricity delivery.

AMI communication networks are used to connect smart meters initially, and in the future will connect a range of intelligent devices behind the meter as well as in the field on the distribution grid. There are significant longer-term opportunities for utilities to leverage the AMI network infrastructure to support future innovative devices for distribution automation, sensors and control devices, and consumer in-home devices for energy management.

"First and foremost, an AMI communication network solution needs to work seamlessly with the smart meters attached to it. However, the network's integration and interoperability capabilities allow it to act as a gateway for future innovation," said Marcus Torchia, research manager for IDC Energy Insights' Intelligent Grid Strategies research advisory service. "Leveraging common infrastructure will become essential to reaching the best possible ROI per investment dollar, while maintaining maximum flexibility to engage the additional opportunities the smart grid creates. This is one of the reasons that scalability is such an essential criteria in our assessment."

The study evaluates seven companies: Landis+Gyr is recognized in the "Leaders" category. Elster, Itron, Silver Spring Networks, Trilliant, and Sensus are identified as "Major Players," and Aclara is in the "Contenders" category.