This report identifies key demand-side trends in the utilities industry that can help enterprises fine-tune their digital strategies. It also provides an overview of enterprise challenges in the utilities industry based on Avasant’s assessment.

Why read this Market Insights?

The utilities industry is accelerating its shift toward smarter, more connected operations as it adapts to rising demand for renewable integration and distributed energy. Providers are upgrading grid systems to handle two-way energy flows, improve local distribution, and enhance flexibility through advanced data insights. AI-powered tools are strengthening forecasting, optimizing maintenance, and enabling automated responses to outages and infrastructure issues. While balancing cost, reliability, and regulatory expectations remains a challenge, these innovations are paving the way for greater efficiency, stronger customer engagement, and a more resilient, sustainable energy network.

The Utilities Digital Services 2025 Market Insights™ aids enterprises in the utilities sector in identifying important market trends and challenges for any digital project they participate in.

Methodology

The industry insights presented in this report are based on the following: our ongoing interactions with enterprise CXOs and other key executives; targeted discussions with service providers, subject matter experts, and Avasant Fellows; analyst insights from primary and secondary research; and lessons learned from consulting engagements.

Table of contents

About the report (Page 3)

Executive summary (Pages 4–7)

• • Defining the utilities digital services scope
  • Key drivers and enterprise response
  • Avasant recognizes 21 top-tier service providers supporting the utilities industry in digital transformation

Demand-side trends (Pages 8–13)

• • Utilities are transforming grid operations to meet evolving energy demands by implementing intelligent, real-time, and decentralized management systems
  • Utilities are leveraging AI foundation models on time series data to enhance forecasting, streamline pricing, and optimize asset maintenance
  • Utilities are enhancing operational efficiency by adopting agentic AI platforms that automate grid assessment, reconfiguration, and monitoring
  • With the rise of decentralized energy, utilities are adopting blockchain to enable secure peer-to-peer trading and ensure transparent, efficient energy markets
  • Facing growing demand for speed and flexibility, utilities are turning to low-code meter-to-cash (M2C) platforms to streamline billing and personalize services

Key contacts (Page 14)

Read the Research Byte based on this report. Please refer to Avasant’s Utilities Digital Services 2025 RadarView™ for detailed insights on the service providers and supply-side trends.