The 2026 annual utility transmission and distribution event DistribuTECH reinforced that North American utilities have moved beyond conceptual grid modernization. The sector is now operating in a world characterized by load growth, aging infrastructure, distribution energy expansion and the impact of AI. In an industry facing rising regulatory scrutiny, utilities are prioritizing resilience, reliability, cybersecurity and affordability.
Across sessions and executive discussions, the dominant theme of the event was operational scalability and reliability. Utilities shared candid lessons from advanced distribution management systems (ADMS) and distributed energy resource management systems (DERMS) deployments, AI pilots and grid modernization programs. The message was consistent: digital grid platforms are advancing rapidly, but enterprise operating models, data governance frameworks and workplace capabilities are not evolving at the same pace. The challenge is no longer whether to modernize, but how to digitize across IT, OT and field operations.
When it comes to cybersecurity and resilience specifically, utilities are considering how and when to shift from perimeter defense to ecosystem risk management. As utilities integrate distributed resources, third-party platforms and cloud-based analytics, they are moving risk management out of silos. Regulatory defensibility, affordability and demonstrable controls are becoming board-level priorities.
The exhibition hall at DistibuTECH reflected a maturing vendor landscape. Providers and hardware and software vendors emphasized interoperability, modular architectures and real ROI through cost savings and other improvements to business metrics that enterprises care about, such as resiliency and reliability. Pilots are a thing of the past. Utilities are demonstrating greater rigor in evaluating scalability, integration complexity and total cost of ownership. The market is moving from experimentation to disciplined modernization.
Ultimately, DistribuTECH served as a barometer for where the utilities industry is headed. Leading utilities are differentiating themselves not through ambition, but by being strategic in how they deliver work, being disciplined in how they allocate capital, and being realistic in how they manage change and keep the commodity affordable for consumers. Utilities need to ensure that they adequately support their digital investments with right-sized governance, workforce training and holistic strategy.
ISG helps utilities navigate the changing supplier and technology markets. Contact us to find out how we can get started.