Key Trends and Insights into the Digital Farming Software Market: Growth Rate and Opportunities to 2034
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How has the digital farming software market grown in recent years?
The digital farming software market has experienced rapid growth in recent years. It will increase from $7.02 billion in 2024 to $8.2 billion in 2025, at a CAGR of 16.9%. This growth can be attributed to the increasing demand for food security, the need for sustainable agriculture, pressures from climate change, and the need for more food production.
How is the digital farming software market size expected to evolve during the forecast period?
The digital farming software market is set to grow rapidly, reaching $15.09 billion by 2029 with a CAGR of 16.5%. The growth is driven by government initiatives, cost efficiency, the expansion of agritech businesses, sustainability concerns, and the need for global food security. Trends include the use of cloud platforms, AI and machine learning for farm optimization, mobile apps, big data analytics, and sensor technologies.
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Which key drivers are propelling the digital farming software market’s growth?
The rising demand for sustainable agriculture is expected to boost the digital farming software market in the future. Sustainable agriculture includes practices like organic farming, which avoid synthetic inputs to maintain environmental health and biodiversity. Factors driving this demand include increasing awareness of environmental impact, consumer preferences for healthy, ethically produced food, and the need to address climate change and conserve natural resources. Digital farming software supports sustainable agriculture by enhancing resource optimization, crop and soil health monitoring, and enabling precision farming techniques, such as targeted irrigation and fertilizer application. For example, in February 2024, the Research Institute of Organic Agriculture reported that Africa had over 2.7 million hectares of certified organic agricultural land in 2022, marking a growth of 4.9% from the previous year. Hence, the growing need for sustainable farming drives the digital farming software market.
What are the market segments in the digital farming software industry?
The digital farming software market covered in this report is segmented –
1) By Components: Software, Services
2) By Technology: Remote Sensing, Guidance Technology, Variable Rate Technology, Machine Learning, Wireless Connectivity, Other Technologies
3) By Applications: Drone Analytics, Precision Farming, Agriculture Robots, Livestock Monitoring, Greenhouse Management, Supply Chain Management, Financial Management, Other Applications
Subsegments:
1) By Software: Farm Management Software, Precision Agriculture Software, Livestock Management Software, Irrigation Management Software, Crop Monitoring And Forecasting Software
2) By Services: Consulting Services, Installation And Integration Services, Training And Support Services, Data Analytics And Cloud Services
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Which leading companies are shaping the growth of the digital farming software market?
Major companies operating in the digital farming software market are Bayer AG, Deere & Company, Yara International ASA, Granular Inc., AGCO Corporation, CropX Inc., Trimble Inc., Topcon Positioning Systems Inc., Raven Industries Inc., Iteris Inc., Ag Leader Technology Inc., Taranis Visual Ltd., FarmWise Labs Inc., Farmers Edge Inc., Agworld Pty Ltd, FieldIn Ltd., Agrian Inc., Farmobile LLC, FarmLogs Inc., AgJunction Inc., AgriWebb Pty Ltd., Prospera Technologies Ltd., SST Software, Arable labs Inc., Gamaya SA, VanderSat B.V., Farmwave LLC, CropIn Technology Solutions Pvt Ltd., FluroSat Pty Ltd
What key trends are currently impacting the digital farming software market’s development?
Companies in the digital farming software market are developing AI-powered agri-intelligence solutions to optimize agricultural productivity and precision farming. These technologies provide data-driven insights to improve farming practices. For instance, in June 2022, Cropin launched Cropin Cloud, a cloud platform that integrates AI-powered agri-intelligence with accessible data sources. It supports scalable solutions for agribusinesses and governments, enhancing decision-making through clean data and machine learning models, driving digital transformation in the agriculture industry.
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Which geographic areas are influencing the growth of the digital farming software market?
North America was the largest region in the digital farming software market in 2023. The regions covered in the digital farming software market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
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