Energy independence and affordability
Utilities are prioritizing existing assets, grid modernization, storage, microgrids and cybersecurity as they balance resilience with affordability.
IFS GLOBAL UTILITY SURVEY 2026
Powering the next era of utility transformation
Insights from 850 utility executives highlight grid resilience and energy affordability as the new defining priorities enabled by integrated asset lifecycle management and predictive operations.
The utility agenda has shifted
The survey highlights that utilities are moving from fragmented modernization towards a connected operating model, one that links planning, assets, work, data and AI for measurable outcomes.
- #
Building grid resilience against extreme weather events and cyber threats is top operational priority.
- %
are struggling with operational silos.
- %
believe AI is critical for reducing operational costs.
- %
are developing state with ALM systems, operating in silos and limited predictive capability.
- %
face significant barriers to scaling AI from pilot to production.
- %
say AI is critical for accelerating renewable and distributed energy integration.
Where is utility investment heading?
Seven priorities shaping the next era of utility transformation
Break operational silos to enable real-time decisions
The research shows a strong relationship between integration and the ability to use predictive analytics and automation for real-time decisions.
Asset lifecycle management
Investment is shifting toward critical-spares optimization, real-time asset monitoring, digital twins and integrated asset data.
Industrial AI: critical ambition, constrained scale
Cost, reliability and transparency concerns, AI literacy, legacy systems and proving ROI are all limiting enterprise-scale adoption.
Grid flexibility and managing growth
Utilities are moving towards more active grid orchestration as demand, renewables and distributed resources increase.
Digital transformation measured by operational outcomes
Integration, built-in AI and predictive analytics, and speed to value are among the leading software investment criteria.
What’s Holding Utilities Back?
Top barriers holding utilities back in adopting/ expanding modern asset lifecycle management solutions and scaling AI.
Future Outlook
The future is connected asset intelligence and workforce enablement
No single technology dominates the outlook. Instead, leaders are assembling a connected toolkit for planning, prediction, modeling and execution. This reinforces the strategic case for an architecture that can combine emerging capabilities with existing systems and operating processes. Utilities are looking for better decisions across capital, assets, operations and work.
