By 2015, smart-grid cybersecurity spending will represent approximately 15 percent of total smart-grid capital investment, with annual revenue amounting to $3.7 billion.
According to estimates detailed in Pike Research’s Smart Grid Cyber Security” report, North America will account for the largest share of the market in that year with revenues of $1.5 billion. Asia Pacific and Europe will see rapid growth as well, with revenues of $1.2 billion and $784 million respectively.
“The electrical grid is being modernized and transformed into a smart grid,” senior analyst Bob Gohn said, “but industry players have recognized that you can’t have a smart grid without smart security. That’s why total investment in these critical technology upgrades will grow at a rapid pace within the next few years.”
To implement stronger security for smart grids, the federal government has appointed the National Institute of Standards and Technology to develop standards for interoperability between disparate systems and industry participants.