Green Technology and Sustainability Market Size & Share Analysis - Trends, Drivers, Competitive Landscape, and Forecasts (2024 - 2030)

Green Technology and Sustainability Market Size

Green Technology and Sustainability Market Trends & Drivers

Surge in number of Power Purchase Agreements (PPAs) in ICT sector

The rise in the demand for 5G, IoT, and AR and VR are likely to accelerate the demand for low-latency computing and edge data centers. User devices, such as smartphones, which are increasingly equipped with ML accelerators, are set to increase the use of ML, which would, in turn, lead to greater data center usage in the coming years. Therefore, ICT companies are investing considerable sums in captive renewable power projects, to support a sustainable environment, protect themselves from power price volatility, and improve their brand reputation. There was a substantial increase in the count of PPAs, of 65.13%, in 2021 in the ICT sector which, in turn, demonstrates the high adoption of sustainable power resources by the leading technology and software companies from 2019 onward.

The rapid expansion of data centers across the globe is due to the growing trend of cloud computing and the rising demand for storage space, as a result of the swift increase in the demand for digital services globally. It is becoming more imperative to ensure the use of efficient power sources with the increase in the dependence on data centers. Cloud service providers are switching to green data centers as a result of the high operational costs of data storage facilities that run on conventional technologies.

Green Technology and Sustainability Market Analysis

Internet of Things Is Fastest-Growing Technology

Under segmentation by technology, the IoT category is expected to rule the market and witness the fastest growth between 2022 and 2030. As a result of the increasing concerns over the environmental and health issues brought on by the rising carbon emissions, IoT adoption is expanding at a huge pace. For reducing energy wastage and making it possible to gather energy data, this technology is being used in a variety of applications, including power grids and utility meters, factories, city administrations, hospitals, homes and office buildings, and smart transportation.

To optimize operations for higher sustainability and lower energy costs, various industries leverage this technology. IoT devices are needed to reduce expenses and power consumption. Moreover, as they enable households to track their energy usage in the real time, the need for long-range, low-power IoT-enabled products with indoor and outdoor device operation tracking capabilities has surged.

Developed countries have implemented a stronger focus on digital transformation than the countries of the Asia-Pacific region. However, with the investments rising, APAC is expected to expand quickly in the near future because of IoT adoption at unprecedented rates.

Organizations in China are adopting IoT for more-creative use cases and have the highest rates of implementation, as part of their emerging technology strategies, while organizations in Australia report the highest rate of IoT adoption, at 96%, surpassing both Italy and the U.S. It was also discovered that businesses in Japan are embracing IoT to boost output and streamline processes.

Similarly, organizations in Australian oil and gas industry, utilize IoT more for workplace and employee safety, while energy and power firms use it to support grid automation and maintenance. In comparison to other industries, the power sector is far more likely to incorporate AI into their IoT solutions, to bring improvements in operational effectiveness, generation and transmission capacities, and customer satisfaction.

Apart from IoT, cloud computing is transforming the models of many corporations, and an increasing number of companies are migrating to the cloud. Thus, cloud is the second-fastest-growing technology, as it results in savings on infrastructure investment. Moreover, cloud computing data centers are designed at scale and built for efficient energy usage. Further, the cloud provides unlimited storage, greater flexibility, improved security, efficiency, and competitiveness to companies.

Green Buildings Hold Lion’s Share in Global Market

With augmented commercialization and industrialization at the global level, the construction and building sector has been growing in order to meet the space requirements of businesses and residents. As a consequence of the resulting rise in energy production, carbon emissions are increasing at an alarming rate at the global level. Therefore, to cope with the augmenting energy requirements without harming the environment, the integration of green technologies in buildings sector is growing. Eco-friendly building technologies are primarily aimed at reducing the consumption of electricity and using only the energy produced onsite via rooftop solar, building-integrated PVs, or other similar renewable installations.

Hence, the green buildings category has the largest market share, and it is predicted to demonstrate the highest CAGR as well, under the application segment, in the coming years, owing to the various environmental benefits, such as energy usage optimization and reduction, operating cost savings, indoor air quality improvement, and efficient water management. Green buildings also give companies an environmentally responsible reputation and leave a positive impression on customers, employees, business partners, and shareholders.

The carbon footprint management application will display the second-highest CAGR, due to the rising participation of governments and other stakeholders around the world in addressing the greenhouse gas emissions due to manufacturing, construction, power generation and other industrial activities. To lessen the environmental damage, a large number of companies from different verticals are increasingly adopting carbon footprint management software to reduce their greenhouse gas emissions.

SMEs Category To Witness Higher CAGR

Based on organization size, SMEs are expected to adopt green tech at a higher rate than larger enterprises, as these small enterprises contribute massively to any country’s economy. In this regard, the augmenting adoption of the IoT and cloud computing technologies by SMEs will continue to give impetus to solution providers over this decade.

Cloud computing is the best method for them to stay stable in an era of the fast-shifting markets, because it has solved many problems small business face. It provides simple access to software, applications, and databases without adding to the expense of having robust IT infrastructure.

SMEs are better positioned to adopt IoT, which will increase their profitability and sustainability, due to the high accessibility of such technologies. IoT solutions can assist SMEs in better adhering to the green certification requirements and standards, thus giving them the opportunity to take advantage of new market prospects and financial resources through appropriate grants and government support programs.

Geographical Analysis

North America Is Expected To Have Largest Share during Forecast Period

North America dominated the green technology and sustainability market in 2022, and it is expected to continue to do so throughout the forecast period. This will be due to the increase in the government attempts to minimize carbon emissions and the rapid uptake of energy-saving technologies in North America.

For instance, the U.S. has implemented a number of policies to address the climate crisis by reducing emissions, improving resilience, advancing environmental justice, and achieving energy security. In this regard, in 2021, the country inaugurated enough new solar and wind projects to power 10 million homes and took up initiatives to increase the deployment of utility-scale batteries.

Additionally, in 2021, President Biden established the National Climate Task Force, with different cabinet-level leaders from various agencies working together on addressing environmental depletion. The major goals include providing carbon-free electricity by 2035 and reaching net-zero emissions by 2050. Further, the implementation of the Bipartisan Infrastructure Law (2021) and Inflation Reduction Act (2022) are to be the crucial steps toward a clean economy.

Market Breakdown

This report offers deep insights into the green technology and sustainability industry, with size estimation for 2019 to 2030, the major drivers, restraints, trends and opportunities, and competitor analysis.

Based on Component

• Solutions
• Services
  • Consulting
  • Support and Maintenance
  • Integration and Deployment

Based on Technology

• IoT
• AI & Analytics
• Digiital Twin
• Cloud Computing
• Blockchain

Based on Organization Size

• SMEs
• Large Enterprises

Based on Deployment Mode

• Cloud
• On- Premises

Based on Application

• Green Building
• Carbon Footprint Management
• Air Pollution Monitoring
• Water and Wastewater Management
• Weather Monitoring
• Soil Condition/Crop monitoring
• Fire Detection
• Forest monitoring

Geographical Analysis

• North America
  • U.S.
  • Canada
• Europe
  • U.K.
  • Germany
  • France
  • Italy
  • Spain
• Asia-Pacific
  • China
  • Japan
  • Australia
  • India
  • South Korea
• Latin America
  • Brazil
  • Mexico
• Middle East & Africa
  • U.A.E.
  • Saudi Arabia
  • South Africa

Top Green Technology and Sustainability Companies