While many companies are poised to benefit from the $3.4 billion in smart grid grants, the government funds may do more than just lend itself to telecom companies looking to expand their efforts in smart grid technology.

When Obama announced the funding initiative in October, telecom companies and many U.S. states sprang to apply for grants. And, for many, the reward has been a sweet victory. For example, the state of California received $200 million from the funding. There’s more to come from that end, for sure.

But, there are more industries and organizations that are predicted to reap the benefits of the smart grid funding. According to Zpryme, a market research firm, U.S. hardware and software companies should be prepared to capitalize on the smart grid movement.

According to analyst at Zpryme, the smart grid grants will power an industry that is moving rather quickly of its own accord. And, the smart grid will only help speed up the performance of these companies. 

“The major opportunities presented by the development of the smart grid are not just for utilities, power marketers, energy producers, investors and venture capitalists,” Zpryme analysts said. “In 2014, 89.0 percent or $152.3 billion of the global smart grid market is projected to be comprised of devices, hardware, software, and communications equipment.”

What’s more, these products will form the solid foundation – namely, the infrastructure and critical communication systems – that will essentially be the bread and butter of the smart grid. While these telecom companies are receiving money to invest, the building, linking, monitoring, managing and security of the smart grid infrastructure – conducting by these hardware and software companies, are what will ultimately ensure its success.

“Of course not every hardware or software company will have the resources, technology or engineering expertise to compete in this market, but those with the resources and a flexible knowledge base should at the very least explore new product opportunities within the emerging smart grid market,” Zpryme analyst said.

Learn more about Smart Grid technology at the Smart Grid Summit, an event collocated with ITEXPO East 2010, to be held Jan. 20 to 22 in Miami. This is the event you need to attend if you want to understand the role that IP communications technologies will play in how the Smart Grid evolves – not just for making utilities more efficient, but also for enabling the Smart Home and a new generation of communications innovations. Register now.