Digital Farming
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Digital Farming Market Size Valuation Forecast: What Will the Market Be Worth by 2025?
In recent times, there has been a swift expansion in the size of the digital farming market. The forecast predicts an increase from $15.74 billion in 2024 to $17.83 billion in 2025, showcasing a compound annual growth rate (CAGR) of 13.3%. Factors such as the adoption of precision agriculture, advancement in sensor technologies, application of big data analytics in farming, governmental support, and enhanced internet access in rural regions have contributed to the growth experienced in the historic period.
Digital Farming Market Size Forecast: What’s the Projected Valuation by 2029?
In the upcoming years, the size of the digital farming market is predicted to undergo fast expansion. It is projected to rise to $30.21 billion in 2029 with a compound annual growth rate (CAGR) of 14.1%. Factors contributing to growth during this forecast period include the integration of AI and machine learning, the use of blockchain for supply chain transparency, implementation of 5G technology, a rise in food demand, and the application of digital twin technology. Key trends expected during the forecast period consist of the incorporation of 5G technology, the use of robotic farming systems, the adoption of digital twin technology, the application of climate-smart agricultural solutions, and collaboration among agtech companies.
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What Are the Drivers Transforming the Digital Farming Market?
The surge in food demand is anticipated to bolster the expansion of the digital farming market. Food, mostly composed of protein, carbohydrates, fat, and other nutrients, is used by any organism to promote growth, maintain crucial functions, and generate energy. Digital farming or agriculture is a method utilized by farmers to enhance agricultural productivity by relying on technological solutions for reliable farm management and supervision. Given the escalating food demand, techniques of digital farming are being adopted more and more to accommodate this need. For example, The Food and Agriculture Organization, a Canada-based United Nations entity that provides access to food and agriculture data, published a report stating that global food production needs to soar by 70% to cater to the food requirements of the global population projected to hit 9 plus billion by 2050. The forecasted volume of food demand is approximately 10,094 million tons in 2030 and 14,886 million tons in 2050. Consequently, the burgeoning demand for food is fuelling the need for the digital farming market.
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What Long-Term Trends Will Define the Future of the Digital Farming Market?
The trend of technological advancements is becoming increasingly prominent in the digital farming market. Leading firms in this sector are putting their emphasis on technological innovation to maintain their market dominance. To illustrate, CropX Technologies, an ag-analytics company from Israel that develops cloud-based applications designed to save water and energy, introduced a new feature in August 2022, which continually tracks salt and nitrogen shifts in the soil. By observing and reducing the impact of nitrogen leaching on the environment, farmers can boost productivity and enhance the wellbeing of their plants and soil. Using information from soil sensors on soil wetness, temperature, and electric conductivity (EC) in real-time, combined with in-house agronomist-developed and lab-tested algorithms, CropX technology offers data. The accumulated data is then showcased on the CropX farm management system’s dashboard for easy viewing and reporting.
Which Segments in the Digital Farming Market Offer the Most Profit Potential?
The digital farming market covered in this report is segmented –
1) By Component: Hardware, Software, Other Components
2) By Technology: AI Or ML Or NLP, IoT, Blockchain, Big Data And Analytics
3) By Infrastructure: Sensing And Monitoring, Communication Technology, Cloud And Data Processing, Telematics Or Positioning, End-Use Components
4) By Application: Yield Monitoring, Field Mapping, Crop Monitoring, Livestock Monitoring, Real Time Safety Testing, Soil Monitoring, Precision Farming
Subsegments:
1) By Hardware: Sensors And IoT Devices, Drones And UAVs, Automated Machinery, GPS And Mapping Tools,
2) By Software: Farm Management Software (FMS), Data Analytics Platforms, Crop Monitoring And Forecasting Software, Precision Agriculture Software
3) By Other Components: Communication Technologies, Data Storage Solutions, Integration Platforms
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Which Firms Dominate the Digital Farming Market by Market Share and Revenue in 2025?
Major companies operating in the digital farming market are Bayer AG, Syngenta AG, BASF SE, John Deere, Trimble Inc., AGCO Corporation, Raven Industries, Farmers Edge, Taranis, Climate Corporation, Granular, Ag Leader Technology, Topcon Positioning Group, Hexagon Agriculture, Corteva Agriscience, Kubota Corporation, Yara International, CNH Industrial N.V., Monsanto Company, SST Software, AgJunction Inc., Prospera Technologies, FieldView, CropX, PrecisionHawk, FarmLogs, Agroptima, Sentera, Xarvio, Planet Labs
Which Regions Offer the Highest Growth Potential in the Digital Farming Market?
North America was the largest region in the digital farming market share in 2024. The regions covered in the digital farming market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
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