7.8.9.1Vertical

Commercial & Industrial Solar (C&I)

Companies developing commercial rooftop and community solar projects.

Market snapshot

These figures describe Solar Energy Development & Generation (7.8.9), the segment that Commercial & Industrial Solar (C&I) sits within. They are not figures for Commercial & Industrial Solar (C&I) on its own.

Market size
~$5.5B
Growth
~25.1%CAGR (2017–22, nominal)
Companies
~531 firms
Firms by employee count

87.8% of firms have fewer than 20 employees: 466 micro-businesses, below most mandates.

The investable universe65 firms with 20+ employees
20–99
2538%
100–499
2031%
500+
2031%
Federal indicators
Net generation
~296 TWh (6.7% of U.S. generation)
Operating capacity
~124 GW nameplate
Trend
+24.5% CAGR (2018–2025)
Share of U.S. generation
1.5% (2018) → 6.7% (2025)

U.S. Energy Information Administration, Electric Power Operational Data, 2025 (net generation, all sectors). U.S. Energy Information Administration, Form EIA-860M, December 2024 (operating generators). U.S. Energy Information Administration, Electric Power Operational Data, 2018–2025.

The steepest growth of any segment in this sector, roughly tripling over five years off a small base. Economics have inverted from subsidy-dependence to genuine cost leadership in most of the country, so the binding constraint is now interconnection queues and land, not the cost of a panel.

NAICS 221114. U.S. Census Bureau, 2022 Statistics of U.S. Businesses; U.S. Census Bureau, 2022 Economic Census.

Business model & economics

Revenue model

Development, PPAs, generation sales, and tax-credit monetization

Key economics

Revenue per firm
$10,385,520
Revenue per employee
$721,066
Employees per firm
14.7
Recurring revenue
High

long-term PPAs and generation

EBITDA margin
Strong

contracted, infrastructure-like economics

Capex intensity
High

Characteristics

  • Scale-driven: payroll is only 16% of revenue, so the cost base is assets, not headcount
  • Thin strategic-buyer pool: only 20 firms exceed 500 employees, so exits skew sponsor-to-sponsor
  • Cheapest new electricity in many markets.
  • Largest source of new U.S. capacity additions.
  • IRA credits, corporate PPAs, and data-center demand.

NAICS 221114. U.S. Census Bureau, 2022 Statistics of U.S. Businesses; U.S. Census Bureau, 2022 Economic Census.

M&A deal context

Deal activityHigh

Who’s acquiring

  • Solar developers & IPPs
  • Infrastructure funds & asset owners
  • Energy majors & corporate buyers

What’s driving deals

  • IRA credits and corporate PPA demand.
  • Developer and asset-portfolio consolidation.
  • Data-center-driven electricity demand.

Find Commercial & Industrial Solar (C&I) acquisition targets

Search Acquisera’s index for companies classified under Commercial & Industrial Solar (C&I) (7.8.9.1) and build a targeted deal pipeline.

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