Midyear Reality Check: How Accurate Were Our 2026 Water Trends Predictions?
At the start of 2026, Kevin Westerling and I laid out a compelling roadmap on The Water Online Show, highlighting the trends we believed would shape the water and wastewater industry. Now, halfway through the year, I wanted to take a step back and evaluate how those predictions are playing out in the real world.
The results? We hit on most of the larger-picture topics right — and in a few areas, things are actually moving much faster than we expected.
1. AI And Digital Transformation: From Buzzword To Backbone
If there’s one area where we were spot on, it’s the rise of artificial intelligence and digital transformation. We called 2026 a tipping point and that’s exactly what it has become. What used to be pilot programs and innovation lab experiments are now operational realities.
We’re seeing utilities actively using AI for leak detection, predictive maintenance, and real-time decision-making. The shift from reactive to predictive operations is no longer theoretical, it’s happening right now. In fact, if anything, we underestimated just how quickly utilities would move from “exploring” AI to depending on it.
2. PFAS And Emerging Contaminants: Regulatory Pressure Mounts
We also highlighted PFAS and emerging contaminants as a defining issue for 2026, and that has absolutely proven true. The pressure on utilities to monitor, treat, and communicate around these contaminants continues to intensify.
What we’re seeing at midyear is that this isn’t just a compliance issue, it’s becoming a long-term operational and financial challenge. Expectations around water quality are rising, and utilities are being forced to respond quickly, often without a clear long-term playbook.
3. Infrastructure Investment: Urgency Meets Reality
Infrastructure investment was another major theme we discussed, and it looks like we were at least directionally correct. The urgency is undeniable. Aging systems, reliability concerns, and funding needs remain at the top of every conversation.
Where things get more complicated and where we’re seeing a gap is in execution. It’s not just about getting funding anymore. It's about deploying it effectively. Workforce constraints, supply chain challenges, and prioritization decisions are slowing progress. We called out the urgency, but the operational hurdles are proving to be just as significant.
4. Resilience And Climate Pressure: From Concept To Daily Reality
We talked about resilience as a growing priority, but halfway through 2026, it’s clear that resilience isn’t just a strategy; it’s a daily reality. Extreme weather, system stress, and unexpected disruptions are no longer edge cases.
Utilities aren’t just planning for resilience anymore; they’re operating in it. We’re seeing more real-time monitoring, more predictive modeling, and more focus on keeping systems running under constant pressure. This is one area where the industry has been forced to accelerate, whether it was ready or not.
5. Cybersecurity: A Rising And Underestimated Threat
One area we didn’t spend enough time on, but which is clearly emerging, is cybersecurity. As utilities become more connected and data-driven, the risks are increasing just as quickly.
We’re seeing more warnings and more real-world examples of cyber threats targeting water infrastructure. This is no longer an IT issue sitting in the background but an operational risk that needs to be addressed alongside physical infrastructure. If we were doing the episode again today, we would give this topic a MUCH BIGGER spotlight.
6. Data And The Shift To Real-Time Decision-Making
Another trend we emphasized and see every day playing out in real time (pun intended) is the growing importance of real-time data. Utilities are investing in sensors, analytics, and digital platforms to better understand what’s happening across their systems.
But more importantly, they’re actually using that data. Decisions are being made faster, systems are being optimized in real time, and non-revenue water is being addressed more proactively. This shift toward data-driven operations is very real and it’s only going to deepen in the second half of the year.
7. The Expanding Role Of AI And Its Tradeoffs
As AI adoption accelerates, we’re also starting to see some of the tradeoffs emerge. One that’s getting more attention is the environmental footprint of the infrastructure supporting AI, particularly the water required for data center cooling.
It’s an interesting dynamic: the same technology that’s helping optimize water systems is also increasing water demand elsewhere. It’s still early, but it’s something we expect to become a bigger part of the conversation moving forward.
Final Takeaway: Strong Predictions, Faster-Than-Expected Execution
At the halfway point of 2026, our biggest takeaway is this: the trends we outlined have largely held true, and in several cases, they’re advancing faster than we anticipated.
AI and digital transformation are now foundational. Infrastructure challenges remain critical, but execution is complex. PFAS and water quality concerns continue to intensify. And new dynamics like cybersecurity and AI’s broader impact are adding new layers to the conversation.
If anything, the surprise isn’t which trends showed up, it’s how quickly the industry is being forced to adapt.
As we look ahead to the second half of 2026, the question isn’t whether these trends will shape the industry. It’s how quickly organizations can operationalize them and who is going to lead versus lag as it all unfolds.