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Gartner® Market Guide for Utility CIS 2025

The Dual Innovation Strategy: Building AI-Ready Utilities

Artificial intelligence (AI) offers utilities a powerful way to innovate and enhance customer value. However, operating within strict regulatory environments requires balancing immediate AI benefits with system stability. The dual innovation strategy addresses this challenge by enabling utilities to quickly implement targeted AI solutions for operational gains, while gradually modernizing legacy systems.

What does an AI-powered utility look like?

An AI-powered utility is no longer a vision of the future; it’s a competitive reality. These organizations are leveraging artificial intelligence to automate, enhance, and simplify complex processes across the enterprise. Technologies such as machine learning, natural language processing, smart agents, computer vision, and real-time analytics are being deployed to generate insights, improve responsiveness, and enable faster, data-driven decision-making.

Can AI boost collections? Real-life case

Artificial intelligence is rapidly proving its value as a driver of financial health in the utility sector. Beyond automation, AI enables smarter, data-driven decisions that directly impact profitability. One powerful example lies in the collections process: by analyzing usage and payment behavior, AI can identify high-risk accounts and guide targeted recovery efforts. As the number of service disconnections increases, along with the strain on field crews, AI-powered automation offers a way to maximize recovery while minimizing operational burden and cost.

Where is AI making the biggest impact in utilities?

Across the globe, utility companies are turning to artificial intelligence, not just to automate isolated tasks, but to fundamentally transform how they operate, serve customers, and plan for the future. AI is now seen as a strategic asset, enabling smarter decision-making, greater operational resilience, and a faster response to shifting customer expectations and infrastructure demands.

Switching to a Cutting-Edge Platform to Solve Modern Challenges

Many utilities currently have a Customer Information System (CIS) that has adequately met their past needs but now falls short of addressing the evolving demands of the sector, such as new regulations, technological advancements, and the emergence of new customer demands. By not having a modern system that meets these emerging needs, utilities face problems like delayed billing, inability to support smart meters, limited self-service options, unstable operations, high dependency on manual processes, and the struggle with adapting to changes. Due to the concern of keeping up with the solution of the mentioned situations, it is recurrent that companies integrate their legacy CIS solutions with external systems to increase their functional capacity. However, these integrations could require considerable effort and cost, and maintaining them over the medium and long term could become problematic.