V2G News
US V2X installed capacity to double to 40 MW in 2025
March 27, 2025 | Back to News home
The vehicle-to-everything market (V2X) is expanding, with installed capacity expected to double to 40 megawatts (MW) in 2025, according to a new report from Wood Mackenzie.
According to the report "Power from the people: The state of the vehicle-to-everything (V2X) market" this expansion will be driven largely by school bus electrification programs. School buses provide significant downtime combined with their reliable duty cycles and large batteries.
However, barriers to widespread commercialization remain, including a lack of V2X-specific utility interconnection processes and compensation mechanisms.
Key findings from the report include:
Oliver McHugh, senior research analyst at Wood Mackenzie, added: "The increasing number of vehicles with bidirectional capability provides a strong foundation for V2X growth. However, standardization of protocols and reduction in hardware costs will be critical to enable mass market uptake in the coming years."
A major unknown with V2X is the future of AC vs DC bidirectionality, added McHugh.
"AC promises cheaper charging infrastructure, but DC has dominated pilot activity to date. Connecting AC V2X chargers to the grid has its issues, as the inverter is in the vehicle," said McHugh. "Whereas DC V2X interconnection can be treated similarly to solar PV; but this is an imperfect workaround. Many passenger EVs coming to market in 2025 will have vehicle-to-load (V2L) as a feature, often considered a precursor to AC V2X."
Source: Wood Mackenzie
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US V2X installed capacity to double to 40 MW in 2025
March 27, 2025 | Back to News home
According to the report "Power from the people: The state of the vehicle-to-everything (V2X) market" this expansion will be driven largely by school bus electrification programs. School buses provide significant downtime combined with their reliable duty cycles and large batteries.
However, barriers to widespread commercialization remain, including a lack of V2X-specific utility interconnection processes and compensation mechanisms.
Key findings from the report include:
- V2X capacity in the U.S. is concentrated among a small number of players, with some focused on single segments like commercial or residential, while others are involved across multiple applications.
- European energy retailers have formed partnerships to test and develop V2X business models, with a focus on interoperability and market scaling.
- New vehicle models increasingly have bidirectional charging capability, with a mix of AC and DC options available.
- Regulatory and policy support for V2X is growing, as utility incentive programs are gaining more traction and include vehicle-to-grid applications.
Oliver McHugh, senior research analyst at Wood Mackenzie, added: "The increasing number of vehicles with bidirectional capability provides a strong foundation for V2X growth. However, standardization of protocols and reduction in hardware costs will be critical to enable mass market uptake in the coming years."
A major unknown with V2X is the future of AC vs DC bidirectionality, added McHugh.
"AC promises cheaper charging infrastructure, but DC has dominated pilot activity to date. Connecting AC V2X chargers to the grid has its issues, as the inverter is in the vehicle," said McHugh. "Whereas DC V2X interconnection can be treated similarly to solar PV; but this is an imperfect workaround. Many passenger EVs coming to market in 2025 will have vehicle-to-load (V2L) as a feature, often considered a precursor to AC V2X."
Source: Wood Mackenzie
> Back to News