Press release
Digital Circular Economy Market to soar US$13.84 billion by 2032, growing with a CAGR of 24.88% | Market Size, Share Analysis, Growth Trends | Key Players:-
Digital Circular Economy
The market is growing due to rising sustainability mandates, digitalization of waste and resource management, AI- and IoT-enabled tracking, corporate ESG adoption, cost optimization, regulatory pressure, and increasing demand for data-driven circular business models across industries.
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United States: Key Industry Developments:-
✅ October 2025: Dassault Systèmes launched 3D UNIV+RSES, a generative AI-powered virtual twin platform that embeds recyclability insights into product design from the concept stage, accelerating circular economy adoption in manufacturing.
✅ September 2025: The U.S. Department of Commerce expanded federal grants for digital platforms enabling material traceability via blockchain and IoT, supporting SMEs in transitioning to closed-loop supply chains for electronics and plastics.
✅ August 2025: IBM and partners piloted a national Digital Product Passport (DPP) initiative for consumer goods, using AI to track lifecycle data and boost refurbishing rates by 25% in participating states.
Japan: Key Industry Developments:-
✅ October 2025: Kao Corporation introduced an AI-driven refurbishing platform for home appliances, integrating IoT sensors for real-time condition monitoring and automated reverse logistics to extend product lifespans.
✅ September 2025: Unicharm rolled out a blockchain-based reusable packaging system for e-commerce, partnering with logistics firms to achieve 40% reduction in single-use plastics through digital deposit-return tracking.
2025 M&A Activity:-
Centric Software, a Dassault Systèmes subsidiary, acquired Contentserv for EUR 220 million (USD 235 million) in February 2025 to enhance multilingual product-experience management, enabling fashion clients to synchronize passport data with e-commerce listings for circular supply chains.
Flex acquired FreeFlow in May 2024 to strengthen reverse logistics and circular economy services, enhancing asset disposition and sustainability capabilities, though this predates 2025 it supports ongoing digital circular trends into the year
Growth Forecast Projection:
The Digital Circular Economy Market is anticipated to rise at a considerable rate during the forecast period, between 2025 and 2032. In 2024, the market is growing at a steady rate, and with the rising adoption of strategies by key players, the market is expected to rise over the projected horizon.
Research Process:
Both primary and secondary data sources have been used in the Digital Circular Economy Market research report. During the research process, a wide range of industry-affecting factors are examined, including governmental regulations, market conditions, competitive levels, historical data, market situation, technological advancements, upcoming developments, in related businesses, as well as market volatility, prospects, potential barriers, and challenges.
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The digital circular economy market is seeing significant transition as companies adapt to the rising worldwide demand for sustainability-oriented activities. Reuse, refurbishing, and recycling are both economically advantageous and improve operational efficiency. Governments and corporations are synchronizing their strategy with environmental policies to reduce ecological effect.
Technological innovation is crucial in this progression, facilitating innovative solutions that optimize the cyclical movement of products and data. Notable partnerships, shown by the collaboration between Capgemini and AWS in June 2023 to launch Lifecycle Optimization for Aerospace, demonstrate the industry's preparedness to integrate circular economy principles across sectors.
Digital Circular Economy Market Major Players
key players are SAP, Oracle, Landbell Group, Anthesis Group, IBM, iPoint-systems GmbH, Rheaply, One Click LCA Ltd., LENZING AG, KPMG International Limited.
Regional Insights:-
⇥ North America (U.S., Canada, Mexico)
⇥ Europe (U.K., Italy, Germany, Russia, France, Spain, The Netherlands and Rest of Europe)
⇥ Asia-Pacific (India, Japan, China, South Korea, Australia, Indonesia Rest of Asia Pacific)
⇥ South America (Colombia, Brazil, Argentina, Rest of South America)
⇥ Middle East & Africa (Saudi Arabia, U.A.E., South Africa, Rest of Middle East & Africa)
Adoption Drivers:-
Surveys indicate 68% of healthcare consumers prefer products with digital sustainability credentials, like QR codes on analyzers for repair guides and end-of-life options, boosting loyalty in lab equipment markets. Platforms for sharing or renting underused HbA1c devices gain traction, reducing e-waste while appealing to eco-conscious professionals. Regulatory pushes, such as EU digital product passports by 2026, amplify demand for these features.
Key Behaviors:-
Younger clinicians (under 40) actively use resale apps for certified refurbished testers, prioritizing verified performance data over new purchases.
Labs adopt IoT for predictive maintenance, extending analyzer life by 30-50% and aligning with cost-saving circular models.
Patients value apps showing a device's carbon footprint, influencing procurement in point-of-care settings.
Market segmentation-
By Offering
The Digital Circular Economy Market segments by offering into software and services, with software dominating due to its role in supply chain optimization and lifecycle management. In 2025, software holds approximately 65% market share of the total USD 4.52 billion market, equating to about USD 2.94 billion, driven by intelligent platforms for waste minimization. Services capture the remaining 35% share, valued at roughly USD 1.58 billion, focusing on implementation and consulting for circular transitions.
By Technology
Segmentation by technology includes blockchain & DLT, IoT, AI/ML, AR/VR, cloud computing, big data analytics, and others, with IoT leading in 2024 and blockchain growing fastest. IoT commands around 25-30% share in 2025, valued at USD 1.13-1.36 billion, enabling real-time tracking in circular systems. AI/ML and blockchain each hold 15-20% shares (USD 0.68-0.90 billion), powering predictive analytics and secure material tracing.
By Application
By application, key segments encompass supply chain & material tracking, resource optimization, digital resale & reuse, reverse logistics & remanufacturing, and others, with circular waste management leading. Digital resale & reuse is projected for the fastest growth, holding a 20-25% share in 2025 at USD 0.90-1.13 billion amid e-commerce surges for used goods. Supply chain tracking dominates with a 30% share (USD 1.36 billion), enhancing traceability.
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FAQ's-
1. How big is the Digital Circular Economy Market?
The Digital Circular Economy Market reached US$2.34 billion in 2024 and is expected to reach US$13.84 billion by 2032
2: How fast is the Digital Circular Economy Market growing?
A: The Market is on an impressive growth trajectory, expected to expand at a CAGR of 24.88% from 2025 to 2032
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