US distributed solar installers, developers and equipment suppliers navigate unprecedented change in 2025

The US distributed solar industry installed 8.4 GWdc of capacity in 2025, marking a 5% decline from 2024. The residential segment remained relatively flat with a 2% contraction, community solar contracted 25%, while commercial solar grew 6% to reach a record 2,345 MWdc. From numerous trade actions to the reversal of renewable energy tax credit policy, solar installers and equipment manufacturers navigated unprecedented change.

In Wood Mackenzie's quarterly US distributed solar leaderboard, available via Wood Mackenzie Lens Power & Renewables, we rank the top solar installers and equipment suppliers. Read on for an overview of our key findings from 2025.

You can also fill in the form at the top of the page for a complimentary copy of the executive summary of our US Solar Market Insight 2025 year in review.

Sunrun and Freedom Forever top the residential solar installer rankings in 2025

The residential solar market in 2025 had two distinct periods. The first half saw economic and tax credit uncertainty, tariff concerns, and several major financier bankruptcies, resulting in some of the lowest quarterly installation volumes in years. After the passage of the One Big Beautiful Bill Act confirmed the elimination of the Section 25D customer-ownership investment tax credit (ITC), installers focused on selling as many cash- and loan-financed projects as possible. This push drove higher installation volumes throughout the second half of 2025, culminating in the market's strongest quarter since 2023 in Q4.

This two-period dynamic created dramatic quarterly volatility in the competitive rankings. Sunrun maintained its #1 position with 12.7% annual market share in 2025 (down from 13.6% in 2024) but saw its quarterly share swing from 15.3% in Q3 to just 10.8% in Q4, the company's lowest quarterly share since Q1 2023. Freedom Forever held on to the #2 spot with 6.1% market share in 2025 but experienced an even more pronounced Q4 compression to 3.9%.

This Q4 decline for third-party-ownership (TPO)-focused Sunrun and Freedom Forever doesn't reflect operational weakness. Instead, it reveals the temporary surge of cash-and-loan installers completing customer-owned projects before the December 31 tax credit deadline. Companies competing primarily in the customer-owned segment saw their relative market share surge in Q4, only to face uncertain 2026 prospects without the Section 25D ITC.

Enphase, SolarEdge, and Tesla are now neck and neck at the top of the residential inverter market

The residential inverter market shifted in 2025, as Enphase (31.7%), SolarEdge (31.3%), and Tesla Energy (29.6%) converged within a 2.1 percentage point range—shattering the Enphase-SolarEdge duopoly that had controlled over 80% of the market since 2019.

Tesla was the clear winner; its market share more than doubled in 2025, growing 16.5 percentage points from 2024 to 2025, driven by the popularity of the Powerwall 3. Tesla carries momentum into 2026 as its market share reached 33.4% in Q4 2025, surpassing both Enphase and SolarEdge.

While Tesla grabbed the headlines, SolarEdge quietly staged a major comeback against its number one competitor. Q2 2025 marked the first quarter in nearly five years that SolarEdge held a higher quarterly market share than Enphase (since Q3 2020). Enphase has faced intense competition from lower-cost alternatives and continues to struggle after the loss of key customer, SunPower. Enphase’s market share declined by 13 percentage points in 2025.

Nexamp continues to lead the community solar market, with more consolidation coming in 2026

For the third consecutive year, Nexamp topped the community solar installer rankings, capturing a record high 9.4% of the market in 2025. The company’s streak continued in 2025 largely due to an impressive 70 MWdc deployed in Illinois. Developers continue to view Illinois as the top community solar market for new growth, driven by high project revenue potential and regulatory certainty.

Rounding out the top five community solar developers in 2025 were Standard Solar, Pivot Energy, Catalyze, and Nautilus Solar. 2026 will be defined by which developers successfully safe harbored equipment before the December 31, 2025 deadline. We expect more consolidation as developers holding substantial safe-harbored pipelines are positioned to gain share while smaller players will struggle in a post-ITC environment. Mergers and acquisitions activity is also expected to intensify as companies seek to acquire tax-credit-eligible projects rather than originate new development that faces uncertain economics.

Additional key findings from the latest Leaderboard include:

• In the non-residential inverter supplier market, Chint Power Systems pulled further ahead in 2025, reaching 30.2% market share, now 9.5 percentage points ahead of second-place SMA.
• Qcells extended its dominance in the residential solar module market in 2025, capturing 38.5% market share (up 3.6 percentage points from 2024).
  •    Canadian Solar and ZNSHINE Solar were the biggest gainers in the non-residential module market in 2025, adding 3.3 and 3.8 percentage points to reach 14.3% and 11.7%, respectively, narrowing Qcells' leadership margin.

Learn more 

The full report explores each segment in detail and delves into the assumptions used for each forecast scenario. Fill in the form on this page for a complimentary copy of the 16-page executive summary.