Connected Agriculture Market
By Component;
Solution and ServicesBy Deployment;
Cloud and On-PremisesBy Application;
Livestock Monitoring, Precision Farming, Supply Chain Management and OthersBy Geography;
North America, Europe, Asia Pacific, Middle East & Africa and Latin America - Report Timeline (2021 - 2031)Connected Agriculture Market Overview
Connected Agriculture Market (USD Million)
Connected Agriculture Market was valued at USD 4,825.63 million in the year 2024. The size of this market is expected to increase to USD 16,694.93 million by the year 2031, while growing at a Compounded Annual Growth Rate (CAGR) of 19.4%.
Connected Agriculture Market
*Market size in USD million
CAGR 19.4 %
| Study Period | 2025 - 2031 |
|---|---|
| Base Year | 2024 |
| CAGR (%) | 19.4 % |
| Market Size (2024) | USD 4,825.63 Million |
| Market Size (2031) | USD 16,694.93 Million |
| Market Concentration | Low |
| Report Pages | 399 |
Major Players
- IBM
- Microsoft
- AT &T
- Deere & Company
- SAP
- Accenture
- Cisco
- Oracle
- Iteris
- Trimble
- Smag
- Ag Leader Technology
- Decisive Farming
- Gamaya
- Satsure
Market Concentration
Consolidated - Market dominated by 1 - 5 major players
Connected Agriculture Market
Fragmented - Highly competitive market without dominant players
Connected Agriculture Market is advancing with platforms offering sensor-driven soil insights, automated irrigation control, and cloud-based farm analytics. Over 50% of systems now support moisture monitoring, weather integration, and equipment health tracking. These technological advancements present strong opportunities to enhance productivity, reduce resource waste, and support sustainable agriculture.
Integrated Agri-Ecosystems Through Strategic Partnerships
Vendors are establishing partnerships with drone analytics services, agtech software providers, and machine OEMs to deliver unified farm management solutions. Nearly 45% of current deployments arise from these collaborations, providing harmonized data streams, centralized dashboards, and plug‑and‑play device setups. These strategies simplify adoption, reduce overhead, and support cohesive operations.
Opportunities and a Future‑Ready Farm Model
With rising emphasis on precision nutrient delivery, real-time growth tracking, and supply chain traceability, major opportunities are arising. Around 55% of systems now include variable-rate fertilization, pest detection, and performance benchmarking. The future outlook favors scalable farm platforms that integrate data with sustainable practices and resilient yields.
Innovation Strategies Driving Growth
Agritech companies are executing strategies such as edge-node processing, remote configuration, and open SDKs for third-party tools. Over 60% of platforms now support smart dashboards, autopilot irrigation routines, and multi-device interoperability. These innovations are powering consistent growth and enabling expansion into precision horticulture, livestock sensing, controlled-environment farming, and large-scale food production.
Connected Agriculture Market Key Takeaways
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connected agriculture market is expanding rapidly as the integration of IoT, AI, and cloud-based platforms transforms how farmers monitor, analyze, and optimize agricultural operations.
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Growing adoption of smart sensors, drones, and precision farming tools is enhancing crop yield, water efficiency, and resource management across large-scale and smallholder farms.
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Data-driven decision-making is becoming central to modern agriculture, supported by real-time analytics and predictive modeling for weather, soil health, and crop performance.
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Increasing government initiatives and digital agriculture funding programs are encouraging technology adoption among rural and developing farming communities.
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Rising global demand for food security and sustainable farming practices is accelerating investment in connected systems for traceability and supply chain transparency.
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Integration of 5G connectivity and edge computing is improving communication between devices and reducing latency in critical field operations.
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North America and Europe lead in technology deployment and innovation, while Asia-Pacific shows the fastest adoption rate due to expanding agri-tech ecosystems and government-backed digital transformation programs.
Connected Agriculture Market Recent Developments
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In January 2023, global shipments of connected agriculture devices are projected to grow significantly, from 23 million units in 2022 to 187 million units by 2030, reflecting an annual growth rate of 30%. This surge is largely driven by advancements in crop farming technology, along with increasing demand for connected devices such as drones, robots, and smart livestock management tools. China is expected to lead this market, supported by strong government initiatives and the rise of cooperative farming.
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In July 2023, the North American connected agriculture market is set to grow rapidly, with significant investments in automation, connectivity solutions, and farm management software. This growth is fueled by increasing labor costs and the need for precision farming to optimize resources like water, labor, and crop health. North America is also seeing strong.
Connected Agriculture Market Segment Analysis
In this report, Connected Agriculture Market has been segmented by Component, Deployment, Application, and Geography. The market is driven by the increasing adoption of IoT technologies, big data, and cloud computing to enhance operational efficiency, sustainability, and productivity in the agriculture sector. Connected agriculture solutions are becoming crucial for managing farm operations, monitoring livestock, optimizing resource use, and ensuring better food safety and quality.
Connected Agriculture Market, Segmentation by Component
The Component segmentation outlines the two main parts of the connected agriculture ecosystem: solutions and services. Solutions are the core systems that enable connected agriculture, while services support the implementation, integration, and optimization of these solutions.
SolutionThe Solution segment is driven by the growing demand for advanced technologies such as precision farming, livestock monitoring, and smart irrigation systems. These solutions help farmers monitor environmental conditions, optimize production, and make informed decisions based on real-time data. Solutions are increasingly adopted to improve crop yield, reduce waste, and ensure sustainability.
ServicesServices include consulting, integration, and maintenance support for the deployment of connected agriculture solutions. As more agricultural businesses adopt these solutions, there is a growing need for professional services to help with system integration, optimization, and continuous management. Services are essential for ensuring the smooth operation of connected systems, especially for small and medium-sized enterprises (SMEs) with limited technical resources.
Connected Agriculture Market, Segmentation by Deployment
The Deployment segmentation indicates the increasing preference for cloud-based and on-premises solutions. Cloud-based deployment models offer scalability, cost-effectiveness, and remote access, while on-premises solutions provide full control over data security and management for more sensitive applications.
CloudCloud-based deployments are gaining traction in the agriculture industry, driven by the increasing availability of internet connectivity in rural areas. Cloud solutions allow for real-time data collection, analysis, and storage, enabling farmers to monitor farm operations remotely. These solutions also offer scalability, flexibility, and cost-effectiveness, making them an attractive option for small and large-scale farms alike.
On-PremisesOn-premises deployment solutions are more suitable for large enterprises and government organizations that require strict data control, privacy, and compliance with regulatory standards. These solutions are often used by farmers who need to store and manage large volumes of data securely on their local servers, particularly in areas with limited internet connectivity.
Connected Agriculture Market, Segmentation by Application
The Application segmentation highlights the different use cases for connected agriculture solutions. These applications help optimize farm operations, enhance productivity, and improve resource management. Applications are widely used in crop management, livestock monitoring, and supply chain management.
Livestock MonitoringLivestock Monitoring solutions are becoming increasingly popular, helping farmers track the health, location, and productivity of their animals. These systems use sensors to monitor vital signs, movement, and behavior of livestock, allowing farmers to detect illnesses early and improve herd management. The growing focus on animal welfare and food safety is driving the adoption of these solutions in the agriculture sector.
Precision FarmingPrecision Farming involves using advanced technologies such as sensors, drones, and IoT devices to monitor and optimize crop production. These solutions help farmers manage resources efficiently, reduce input costs, and increase crop yields. Precision farming is a key driver of the market, as it helps farmers achieve sustainability and productivity in a more data-driven way.
Supply Chain ManagementSupply Chain Management solutions are crucial for managing the movement of agricultural products from farms to end consumers. These solutions enable real-time tracking of goods, ensuring the safe, timely delivery of fresh produce while minimizing waste. Supply chain optimization is critical for meeting increasing consumer demand for quality, safe, and sustainably sourced food.
OthersThe Others category includes applications such as smart irrigation systems, crop management, and weather monitoring, which are all integral to optimizing farm productivity and ensuring sustainable agriculture practices. These applications are gaining popularity as more farmers adopt technology to improve resource use and minimize environmental impact.
Connected Agriculture Market, Segmentation by Geography
In this report, Connected Agriculture Market has been segmented by Geography into five regions: North America, Europe, Asia Pacific, Middle East & Africa, and Latin America. Regional adoption is influenced by factors such as technological advancements, government support, and the level of digital transformation in agricultural sectors across different regions.
Regions and Countries Analyzed in this Report
North America leads the market, driven by high adoption rates in the United States and Canada, where government initiatives and a strong technology infrastructure are supporting the growth of connected agriculture solutions. The region is a leader in precision farming and livestock monitoring applications.
EuropeEurope is the second-largest market, with significant growth driven by countries like the United Kingdom, Germany, and France, where there is strong support for sustainable agriculture and digital farming technologies. The European Union's green policies and subsidies are also contributing to the market’s growth.
Asia PacificAsia Pacific is witnessing the highest growth rate, particularly in countries like China and India, where the agriculture sector is undergoing a digital transformation. The increasing demand for food security, improved crop yields, and farm productivity is driving the adoption of connected solutions.
Middle East and AfricaMiddle East and Africa is adopting connected agriculture solutions at a steady pace, driven by the growing demand for smart farming technologies and government investments in agricultural infrastructure in countries like UAE and South Africa.
Latin AmericaLatin America is gradually adopting connected agriculture solutions, particularly in Brazil and Argentina, where there is a focus on improving agricultural productivity and sustainability. The region’s market is growing as farmers and agricultural businesses seek to modernize their operations.
Connected Agriculture Market Forces
This report provides an in depth analysis of various factors that impact the dynamics of Connected Agriculture Market. These factors include; Market Drivers, Restraints and Opportunities Analysis.
Comprehensive Market Impact Matrix
This matrix outlines how core market forces Drivers, Restraints, and Opportunities affect key business dimensions including Growth, Competition, Customer Behavior, Regulation, and Innovation.
| Market Forces ↓ / Impact Areas → | Market Growth Rate | Competitive Landscape | Customer Behavior | Regulatory Influence | Innovation Potential |
|---|---|---|---|---|---|
| Drivers | High impact (e.g., tech adoption, rising demand) | Encourages new entrants and fosters expansion | Increases usage and enhances demand elasticity | Often aligns with progressive policy trends | Fuels R&D initiatives and product development |
| Restraints | Slows growth (e.g., high costs, supply chain issues) | Raises entry barriers and may drive market consolidation | Deters consumption due to friction or low awareness | Introduces compliance hurdles and regulatory risks | Limits innovation appetite and risk tolerance |
| Opportunities | Unlocks new segments or untapped geographies | Creates white space for innovation and M&A | Opens new use cases and shifts consumer preferences | Policy shifts may offer strategic advantages | Sparks disruptive innovation and strategic alliances |
Drivers, Restraints and Opportunity
Drivers:
- Government Initiatives and Subsidies
- Growing Awareness of Sustainable Farming
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Increased Penetration of Mobile and Internet Services - The increased penetration of mobile and internet services is a key driver propelling the growth of the connected agriculture market. With greater connectivity reaching rural and remote farming regions, farmers now have improved access to real-time data, cloud-based platforms, and mobile applications that support more informed decision-making. These tools enable precision farming practices such as monitoring soil health, tracking crop performance, and optimizing irrigation, ultimately leading to higher yields and reduced resource wastage.
Widespread mobile adoption also facilitates communication between farmers, suppliers, and marketplaces, enhancing supply chain efficiency and transparency. Through mobile devices, agricultural stakeholders can access weather forecasts, pest alerts, market prices, and expert advice, empowering them to respond quickly to changing conditions. As digital infrastructure continues to expand globally, the integration of mobile and internet services in agriculture will remain a critical enabler for scaling smart farming practices and driving sustainable agricultural development.
Restraints:
- Shortage of technical skilled workforce
- Infrastructure Limitations in Rural Areas
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Organizational resistance to technological change - Organizational resistance to technological change is a notable restraint affecting the growth of the connected agriculture market. Many agricultural operations, especially small and traditional farms, are hesitant to adopt digital tools due to a lack of familiarity, perceived complexity, and concerns over return on investment. This resistance often stems from limited exposure to modern technologies, generational gaps in farm management, or fear of disrupting long-established practices, which can hinder the implementation of smart farming solutions.
Additionally, change management within larger agribusiness organizations can be slow due to rigid operational structures, outdated legacy systems, and insufficient training programs. Without adequate support, stakeholders may struggle to integrate connected technologies into daily workflows, resulting in low adoption rates and underutilization of digital infrastructure. Overcoming this barrier requires targeted education, user-friendly interfaces, and government or private initiatives that incentivize and simplify the transition toward more connected, data-driven agricultural systems.
Opportunities:
- Development of Smart Farming Solutions
- Enhanced Data Analytics and Insights
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Collaboration with Tech Companies - Collaboration with tech companies presents a major opportunity for accelerating innovation and growth in the connected agriculture market. By partnering with technology providers, agricultural stakeholders can gain access to advanced tools such as IoT sensors, AI-powered analytics, cloud computing, and drone technology. These collaborations enable the development of integrated solutions that help optimize crop management, monitor field conditions in real time, and automate resource allocation, significantly improving farm productivity and sustainability.
Tech companies also bring expertise in data security, system interoperability, and user experience design—areas critical for the successful deployment of digital agriculture platforms. Joint ventures and pilot programs between agribusinesses and technology firms can drive innovation tailored to local needs while reducing the barriers to adoption. As the agriculture sector seeks to modernize and meet rising global food demands, strategic partnerships with tech companies offer a scalable pathway to implement intelligent, connected farming solutions across diverse geographies.
Connected Agriculture Market Competitive Landscape Analysis
Connected Agriculture Market is witnessing rising competition, relentless innovation, and growing partnerships among AgTech firms, sensor producers, and digital platforms. Leading players deploy diverse strategies and occasional mergers to scale offerings in precision farming, IoT, and analytics. This competitive push is fueling sustained growth across geographies.
Market Structure and ConcentrationThe market displays moderate concentration, with several key vendors commanding over 50 % of revenue in advanced solution segments. Strategic alliances, vertical integration, and platform bundling deepen concentration. This structure favors players with scale, data assets, and seamless system integration, while allowing specialized entrants to thrive through niche innovations.
Brand and Channel StrategiesTop brands execute hybrid strategies combining direct sales to farms, partnerships with OEMs, and channel alliances via distributors or integrators. Around 40 % of deployments are enabled through system integrator or equipment supplier collaborations. Co-branding, bundled service offerings, and regional tie-ups strengthen market reach and customer lock-in.
Innovation Drivers and Technological AdvancementsTechnological advancements in IoT sensors, AI analytics, drone imaging, and connectivity (LPWAN, 5G) distinguish leaders. Over 60 % of new deployments integrate real-time data, predictive modelling, and automation. Cross-sector collaboration between agritech, sensor firms, and cloud providers accelerates innovation in smart farming systems and decision support tools.
Regional Momentum and ExpansionAsia-Pacific is driving much of the expansion, contributing upwards of 55 % of incremental demand thanks to strong agriculture bases and digital uplift. North America and Europe maintain mature adoption in precision farming. Regional partnerships, local system integration, and favorable policies enable deeper penetration and competitive differentiation across markets. :contentReference[oaicite:0]{index=0}
Future OutlookThe future outlook is promising as demand for sustainable, efficient food production intensifies. Expect deeper collaboration, further consolidation, and sustained innovation in edge computing, autonomous systems, and digital integration. Firms combining comprehensive platforms, scalable data infrastructure, and strategic expansion will likely emerge as market frontrunners.
Key players in Connected Agriculture Market include:
- IBM Corporation
- Microsoft Corporation
- AT&T Inc.
- Deere & Company
- SAP SE
- Accenture plc
- Cisco Systems Inc.
- Oracle Corporation
- Iteris Inc.
- Trimble Inc.
- SMAG (France)
- Ag Leader Technology
- Decisive Farming
- Gamaya
- SatSure
In this report, the profile of each market player provides following information:
- Market Share Analysis
- Company Overview and Product Portfolio
- Key Developments
- Financial Overview
- Strategies
- Company SWOT Analysis
- Introduction
- Research Objectives and Assumptions
- Research Methodology
- Abbreviations
- Market Definition & Study Scope
- Executive Summary
- Market Snapshot, By Component
- Market Snapshot, By Deployment
- Market Snapshot, By Application
- Market Snapshot, By Region
- Connected Agriculture Market Forces
- Drivers, Restraints and Opportunities
- Drivers
- Government Initiatives and Subsidies
- Growing Awareness of Sustainable Farming
- Increased Penetration of Mobile and Internet Services
- Restraints
- Lack of Technical Expertise
- Infrastructure Limitations in Rural Areas
- Organizational resistance to technological change
- Opportunities
- Development of Smart Farming Solutions
- Enhanced Data Analytics and Insights
- Collaboration with Tech Companies
- Drivers
- PEST Analysis
- Political Analysis
- Economic Analysis
- Social Analysis
- Technological Analysis
- Porter's Analysis
- Bargaining Power of Suppliers
- Bargaining Power of Buyers
- Threat of Substitutes
- Threat of New Entrants
- Competitive Rivalry
- Drivers, Restraints and Opportunities
- Market Segmentation
- Connected Agriculture Market, By Component, 2021 - 2031 (USD Million)
- Solution
- Services
- Connected Agriculture Market, By Deployment, 2021 - 2031 (USD Million)
- Cloud
- On-Premises
- Connected Agriculture Market, By Application, 2021 - 2031 (USD Million)
- Livestock Monitoring
- Precision Farming
- Supply Chain Management
- Others
- Connected Agriculture Market, By Geography, 2021- 2031(USD Million)
- North America
- United States
- Canada
- Europe
- Germany
- United Kingdom
- France
- Italy
- Spain
- Nordic
- Benelux
- Rest of Europe
- Asia Pacific
- Japan
- China
- India
- Australia & New Zealand
- South Korea
- ASEAN (Association of South East Asian Countries)
- Rest of Asia Pacific
- Middle East & Africa
- GCC
- Israel
- South Africa
- Rest of Middle East & Africa
- Latin America
- Brazil
- Mexico
- Argentina
- Rest of Latin America
- North America
- Connected Agriculture Market, By Component, 2021 - 2031 (USD Million)
- Competitive Landscape
- Company Profiles
- IBM Corporation
- Microsoft Corporation
- AT&T Inc.
- Deere & Company
- SAP SE
- Accenture plc
- Cisco Systems Inc.
- Oracle Corporation
- Iteris Inc.
- Trimble Inc.
- SMAG (France)
- Ag Leader Technology
- Decisive Farming
- Gamaya
- SatSure
- Company Profiles
- Analyst Views
- Future Outlook of the Market

