U.S. Solar Hybrid Inverter Market Size, Share, & Trends Analysis Report By Product (Three-Phase Hybrid, Single-Phase Hybrid), By End Use (Commercial, Residential, Others), By Region, And Segment Forecasts, 2025 - 2030

Market Size & Trends

The U.S. solar hybrid inverter market was valued at USD 2.96 billion in 2024 and is projected to grow at a CAGR of 8.3% from 2025 to 2030. The increasing adoption of solar-plus-storage systems across residential, commercial, and industrial sectors drives growth. Rising electricity costs, frequent grid disruptions, and growing interest in energy independence accelerate consumer demand for hybrid inverters, which combine solar generation, energy storage, and grid support in a single intelligent platform.

Federal clean energy policies and financial incentives are critical in expanding the U.S. solar hybrid inverter industry. Programs such as the Investment Tax Credit (ITC) and funding under the Inflation Reduction Act (IRA) have enhanced the affordability of hybrid systems, driving installations across U.S. households and businesses. Technological innovation continues to transform the market landscape, with leading manufacturers in the hybrid inverter industry developing solutions featuring improved efficiency, digital monitoring, and seamless integration with smart home and battery systems. Advancements in power electronics, real-time energy optimization, and grid-interactive capabilities enable smarter and more resilient solar infrastructure. As utilities modernize the grid and decarbonization goals take priority, the U.S. market is set to become a key enabler of a decentralized, sustainable, and consumer-centric energy future.

Market Concentration & Characteristics

The industry growth stage is medium, and the pace of growth is accelerating. The U.S. solar hybrid inverter market is moderately concentrated, with several key players holding significant market share. Companies such as Enphase Energy, Sol-Ark, Outbackpower, MidNite Solar, and Tigo Energy are prominent in the sector, offering integrated solutions that combine solar generation with energy storage and advanced inverter technologies. Their established presence in residential and commercial segments supports market stability and growth.

The market demonstrates a high degree of innovation, driven by advancements in power electronics, grid interactivity, and smart energy management. Leading firms continuously invest in developing hybrid inverters with enhanced efficiency, grid support functionalities, and seamless battery integration to meet evolving consumer demands and comply with regulatory requirements. For instance, Enphase Energy has pioneered microinverter technology with integrated storage compatibility, enabling scalable and reliable residential solar-plus-storage systems.

The market has experienced low Merger and Acquisition (M&A) activities in recent years. This is largely due to the specialized nature of the technology and the focus of companies on organic growth, product development, and strategic partnerships rather than consolidation.

Regulatory frameworks play a crucial role in shaping the dynamics of the U.S. solar hybrid inverter industry. Federal and state policies, including incentives such as ITC, Net Metering Programs (NMP), and Renewable Portfolio Standards (RPS), support the adoption of solar and storage technologies. In addition, evolving grid interconnection standards and safety regulations from entities such as the Federal Energy Regulatory Commission (FERC) and the National Electrical Code (NEC) ensure system reliability and safety while encouraging innovation. For instance, NEC 2023 updates include enhanced requirements for resource integration and energy storage systems, fostering greater market adoption of hybrid inverters that comply with stringent safety and performance criteria.

Product Insights

The three-phase hybrid segment accounted for the largest share of 69.7% in 2024. This dominance is largely driven by strong demand across commercial and industrial sectors that require high-capacity, grid-stable power solutions. Three-phase hybrid inverters' ability to manage large-scale solar-plus-storage systems makes them essential in infrastructure-scale renewable projects. A notable example reinforcing this trend is Amazon's deployment of 10 solar energy projects paired with battery storage systems across California and Arizona, representing nearly 1.5 gigawatts of battery energy storage capacity. These projects, including Baldy Mesa and Bellefield, are the largest planned solar-plus-storage developments in the U.S., demonstrate rising investment in large-scale renewable infrastructure. Amazon's strategy to match electricity consumption at fulfillment and data centers with renewable energy underscores the increasing reliance on high-efficiency hybrid inverters to meet operational sustainability goals. This growing adoption by major corporations catalyzes the U.S. solar hybrid inverter industry's continued growth and market dominance, highlighting its central role in enabling reliable, efficient, and scalable clean energy solutions.

The single-phase hybrid segment is expected to grow at the fastest CAGR of 9.2% during the forecast period from 2025 to 2030, driven by increasing deployment in residential and small commercial solar installations. This growth is largely supported by rising consumer demand for energy independence, backup power reliability, and cost savings, especially in regions facing grid instability and outages. The compact size, ease of installation, and compatibility with rooftop solar and home battery systems make single-phase hybrid inverters highly attractive for residential and small commercial users. A key factor accelerating the market segment is the widespread adoption of residential solar systems incentivized by federal policies. With its 30% solar tax credit for solar and battery storage installations, the IRA has significantly enhanced affordability and impelled adoption. According to the U.S. Department of Energy’s Lawrence Berkeley National Laboratory, approximately 4.1 million residential rooftop solar systems were installed in the U.S. as of 2023, representing 87% of all such systems nationwide. This rapid uptake demonstrates a strong consumer preference for distributed energy resources integrating hybrid inverter technology to improve energy resilience and efficiency. As supportive policies continue and consumer awareness grows, demand for single-phase hybrid inverters in the U.S. is expected to accelerate sharply, making it the fastest-growing segment in the solar hybrid inverter market.

End Use Insights

The commercial segment dominated the U.S. solar hybrid inverter market in 2024. Growth is driven by the rising deployment of solar-plus-storage systems across office complexes, logistics parks, educational institutions, and retail facilities. Three-phase hybrid inverters are widely used in these applications due to their ability to manage high energy loads and ensure uninterrupted power supply during outages. Large-scale initiatives across the U.S. aimed at achieving corporate sustainability goals and enhancing grid independence continue to drive demand for commercial hybrid inverters. Supportive policies under the IRA, offering tax credits for commercial renewable installations, further reinforce the strength and momentum of the U.S. solar hybrid inverter industry in the commercial segment.

The residential segment is projected to grow at a significant CAGR over the forecast period. The growing consumer focus on energy resilience, rising electricity costs, and frequent grid disruptions drive the adoption of solar hybrid inverters in U.S. households. Government incentives and favorable policies fuel this market by improving the financial viability of hybrid systems. State-level incentives such as California’s Self-Generation Incentive Program (SGIP) and favorable net metering policies across several states continue to enhance the attractiveness of hybrid inverters in the residential sector. Homeowners increasingly opt for rooftop solar systems combined with battery storage to ensure backup power during outages and maximize self-consumption.

Key U.S. Solar Hybrid Inverter Company Insights

Some of the key players in the U.S. solar hybrid inverter industry include Sol-Ark and Enphase Energy:

• Sol-Ark is a Texas-based solar technology company recognized for its all-in-one hybrid inverters designed for residential and commercial applications. Sol-Ark inverters are known for high efficiency, rapid installation, and compatibility with various battery chemistries. The company emphasizes grid resilience and energy independence, offering robust performance with grid-tied, off-grid, and battery backup capabilities.

• Enphase Energy is a market leader in microinverter systems and a key player in hybrid inverter solutions through its IQ series. Enphase integrates solar, battery storage, and software-based energy management into a unified platform. Its solutions are designed for high reliability, scalability, and advanced grid interaction, supporting the growing demand for clean and decentralized energy systems in the U.S.

Recent Developments

• In January 2025, Enphase Energy announced its expansion into Southeast Asia, entering the solar markets in Vietnam and Malaysia with IQ8P Microinverters. These microinverters have a peak output AC power of 480 W and are intended for residential and commercial applications to support newer high-powered solar modules.

• In May 2023, Tigo Energy completed its merger with Roth CH Acquisition IV Co., resulting in Tigo becoming a publicly traded company on the Nasdaq under the ticker symbol “TYGO.” This strategic move is aimed at accelerating Tigo's growth in the solar and energy storage markets.

U.S. Solar Hybrid Inverter Market Report Scope

U.S. Solar Hybrid Inverter Market Report Segmentation

This report forecasts revenue growth and provides an analysis of the latest trends in each of the sub-segments from 2018 to 2030. For this study, Grand View Research has segmented the U.S. solar hybrid inverter market report based on product and end use:

• Solar Hybrid Inverter Product Outlook (Revenue, USD Million, 2018 - 2030)

  • Three-Phase Hybrid

  • Single-Phase Hybrid

• Solar Hybrid Inverter End Use Outlook (Revenue, USD Million, 2018 - 2030)

  • Commercial

  • Residential

  • Others