Press release
Connected Agriculture Market Set for Explosive Growth to USD 16.61 Billion by 2031, Led by North America's 37% Market Share | DataM Intelligence
Connected Agriculture Market
Market growth is driven by increasing global food demand, adoption of IoT and precision farming technologies, and the need for sustainable agricultural practices amid climate challenges. Advancements in AI-driven analytics, expanding use of drones and sensors, government subsidies for smart farming, and rising investments in agri-tech startups are further accelerating market expansion.
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United States: Key Industry Developments
✅ November 2025: John Deere launched an advanced IoT-enabled precision farming platform integrating AI-driven crop monitoring and automated tractor guidance, enhancing yield optimization for US corn and soybean farmers amid rising input costs.
✅ September 2025: Trimble Agriculture introduced a new connected sensor network for real-time soil health analytics, deployed across Midwest states to reduce water usage by up to 30% through smart irrigation controls.
✅ July 2025: Farmers Edge expanded its digital agronomy services with a cloud-based Connected Agriculture suite, partnering with USDA programs to provide satellite imagery and predictive analytics for drought-prone regions.
Asia Pacific / Japan: Key Industry Developments
✅ October 2025: Kubota Corporation unveiled a Japan-first autonomous rice planting drone system with 5G connectivity, tested in Hokkaido to boost planting efficiency and minimize labor shortages in aging rural communities.
✅ August 2025: NEC Corporation rolled out an AI-powered livestock monitoring platform across APAC farms, using edge computing for real-time health alerts and feed optimization in Australia and India.
✅ June 2025: The Indian government initiated a nationwide Connected Agriculture pilot under Digital India, deploying IoT devices for precision fertilizer application in rice fields, aiming to cut wastage by 25%.
Key Mergers and Acquisitions:
✅ Leading players in the Connected Agriculture Market pursued strategic acquisitions throughout 2025 to enhance IoT integration and precision farming capabilities, driving technological synergies across global operations.
✅ Major agtech firms expanded their digital platforms via bolt-on mergers in late 2025, focusing on AI-driven analytics and supply chain optimization to capture rising market demand in North America and Europe.
✅ Early 2026 saw continued consolidation with high-value deals emphasizing regenerative tech and smart sensor networks, bolstering resilience against climate variability and boosting overall sector growth at 16.8% CAGR.
Market Segmentation Analysis:
-By Component: Solutions Lead with Robust Integration
Solutions dominate at 45% market share in 2025, providing hardware like sensors, IoT devices, and automation tools for real-time farm monitoring and precision input application.
Platforms hold 30%, offering cloud-based analytics and data dashboards for farm-wide decision-making and scalability.
Services capture 25%, encompassing consulting, implementation, and maintenance to ensure seamless adoption across diverse farm sizes.
-By Application: In-Production Planning and Management Tops for Real-Time Optimization
In-production planning and management leads at 50% share, enabling live crop monitoring, irrigation control, and yield optimization during active farming phases.
Pre-production planning and management takes 30%, focusing on soil analysis, seed selection, and predictive modeling for planting prep.
Post-production planning and management accounts for 20%, streamlining harvest logistics, storage, and supply chain tracking.
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Why is the Connected Agriculture Market Growing?
The rapid expansion of the Connected Agriculture market in 2026 is fueled by several critical factors:
-Rising Food Demand and Yield Optimization: Escalating global population growth and food security challenges are pushing farmers toward IoT-enabled precision farming for higher yields and resource efficiency.
-Technological Advancements in IoT and AI: Integration of sensors, drones, AI analytics, and automation in crop monitoring, irrigation, and livestock management is enhancing farm productivity and reducing waste.
-Sustainability and Climate Resilience: Growing emphasis on water conservation, reduced pesticide use, and climate-adaptive practices through data-driven insights is accelerating adoption worldwide.
-Government Support and Regional Investments: Increased funding for digital infrastructure, especially in Asia-Pacific and emerging economies, is enabling scalable connected solutions for smallholder farmers.
Regional Insights:
-North America leads the Connected Agriculture Market with the highest regional share, holding approximately 37% of the global market in 2023 according to recent analyses, driven by advanced IoT infrastructure, high-speed internet in rural areas, and strong adoption of precision farming technologies by major players like Deere & Company and Trimble Inc.
-Asia Pacific follows as the second-largest and fastest-growing region, projected to expand at a CAGR of around 18% through the forecast period, fueled by massive population-driven food demand, resource optimization needs in countries like China and India, and increasing exports in the global food chain.
-Europe ranks third in market share, benefiting from robust agricultural tech integration and policy support for sustainability, though specific percentages trail behind North America and Asia Pacific amid a focus on applications like automated farm management.
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Key Players:
John Deere | Trimble Inc. | Raven Industries | Cisco Systems | IBM | Microsoft
Key Highlights (Top 5 Key Players) for Connected Agriculture Market:
-John Deere develops precision farming technologies including autonomous tractors, AI-driven analytics, and IoT sensors for real-time crop monitoring and yield optimization.
-Trimble Inc. provides GNSS guidance systems, farm management software, and Connected Climate Exchange platforms to enable data-driven decisions and carbon credit tracking for sustainable practices.
-Raven Industries offers advanced sprayer controls, slurry systems, and field computers that integrate connectivity for precise application of inputs like fertilizers and pesticides.
-Cisco Systems delivers networking infrastructure and IoT platforms tailored for agriculture, connecting sensors, machinery, and cloud analytics to support smart farm operations and supply chain visibility.
-IBM supplies hybrid cloud solutions and AI-powered platforms like Watson Decision Platform for Agriculture, helping farmers with predictive insights on weather, soil health, and pest management.
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