Global Agriculture IoT Market Size, Share & Trends Analysis Report By Deployment (On-premise and Cloud), By Component (Hardware, Software, and Services), By Connectivity, By Application, By Farm Type, By Regional Outlook and Forecast, 2024 - 2031

Global Agriculture IoT Market Size, Share & Trends Analysis Report By Deployment (On-premise and Cloud), By Component (Hardware, Software, and Services), By Connectivity, By Application, By Farm Type, By Regional Outlook and Forecast, 2024 - 2031

The Global Agriculture IoT Market size is expected to reach $58.95 billion by 2031, rising at a market growth of 10.1% CAGR during the forecast period.

Farmers in the United States and Canada leverage precision farming, automated machinery, and real-time analytics to enhance efficiency and sustainability. The presence of leading IoT technology providers and strong investments in research and development have spurred innovation in the sector. Therefore, the North America segment witnessed 30% revenue share in the market in 2023. Additionally, the region's focus on environmental sustainability and compliance with regulatory standards has encouraged the adoption of IoT-driven solutions for resource optimization and waste reduction. These factors, combined with a high level of awareness and access to cutting-edge technologies, contribute to North America’s significant revenue share in the market.

This resource efficiency is particularly important for smallholder farmers, as it helps reduce costs while boosting productivity. Targeted application of fertilizers and pesticides minimizes chemical usage and mitigates environmental impact, promoting sustainability. Moreover, IoT-driven precision farming techniques enable small-scale farmers to monitor their fields and respond quickly to potential pests or nutrient deficiencies, ensuring healthier crops and higher yields. Additionally, this growing reliance on IoT in vertical and urban farming is a testament to the technology's ability to overcome the challenges of traditional agriculture, such as land scarcity and climate variability. Furthermore, these advancements enhance the accessibility of sustainable agriculture in densely populated regions, thereby addressing concerns related to food security and mitigating the carbon footprint associated with the long-distance transportation of food. Therefore, as global food demand rises, and as urbanization continues to expand, the integration of IoT into vertical and urban farming practices is likely to play a pivotal role in reshaping the future of agriculture.

However, the ongoing maintenance and operational requirements of IoT devices pose significant challenges. These devices often need regular upkeep to ensure reliable performance, but maintenance can be burdensome, particularly for small-scale farmers. Environmental factors, including pollution, humidity, and severe weather conditions, can result in deterioration, consequently leading to recurrent malfunctions. Moreover, troubleshooting these advanced systems typically requires skilled technicians, whose services may not be available in rural or remote areas. This lack of access to technical expertise increases operational costs and can discourage farmers from fully utilizing IoT solutions. Hence, these factors may hamper the growth of the market.

Component Outlook

Based on component, the market is classified into hardware, software, and services. The services segment procured 12% revenue share in the market in 2023. As IoT technologies become more complex, farmers rely on service providers to guide selecting, deploying, and optimizing their systems. Maintenance and technical support services ensure the smooth functioning of IoT devices, minimizing downtime and maximizing returns on investment. Moreover, training initiatives designed to inform farmers about the utilization and advantages of IoT technologies have markedly facilitated the expansion of this sector, especially in areas characterized by limited technological awareness.

Deployment Outlook

On the basis of deployment, the market is bifurcated into on-premise and cloud. The on-premise segment acquired 52% revenue share in the market in 2023. On-premise solutions allow farmers and agribusinesses to store and manage data within their infrastructure, ensuring privacy and eliminating concerns about unauthorized access or data breaches. This approach is particularly beneficial for large-scale farms with extensive operations requiring reliable and consistent data management without depending on external internet connectivity. Additionally, on-premise systems offer better customization to meet specific agricultural needs, making them a preferred choice for farms in regions with limited or unreliable internet infrastructure.

Connectivity Outlook

By connectivity, the market is divided into Wi-Fi, Bluetooth, cellular, and others. The Wi-Fi segment witnessed 47% revenue share in the market in 2023. Key drivers of the segments’ growth include the increasing reliance on high-speed internet for video streaming, remote work, online education, and smart home devices. The evolution of Wi-Fi standards, such as Wi-Fi 6 and Wi-Fi 6E, has improved speed, capacity, and efficiency, making it suitable for dense environments like offices and public venues.

Application Outlook

Based on application, the market is segmented into precision farming, livestock monitoring, smart greenhouse, aquaculture, and others. The livestock monitoring segment acquired 23% revenue share in the market in 2023. IoT-enabled devices, including smart collars, GPS trackers, and health sensors, allow farmers to monitor their livestock's health, behavior, and location in real-time. These technologies help detect early signs of diseases, optimize feeding schedules, and prevent losses from theft or predation. The increasing focus on traceability and compliance with animal welfare standards in the food supply chain has also spurred the adoption of IoT solutions in this segment.

Farm Type Outlook

On the basis of farm type, the market is classified into large, mid-sized, and small. The large segment recorded 51% revenue share in the market in 2023. Large agricultural enterprises possess the financial capacity to invest in IoT devices, including drones, GPS technology, and automated machinery. This investment facilitates the optimization of productivity and the efficient management of extensive land areas. The need to streamline labor management, reduce operational costs, and enhance resource utilization further motivates the adoption of IoT technologies.

Regional Outlook

Region-wise, the market is analyzed across North America, Europe, Asia Pacific, and LAMEA. The Asia Pacific segment recorded 37% revenue share in the market in 2023. Countries like China, India, and Japan are adopting IoT technologies to optimize farming practices and improve productivity. Government initiatives promoting smart farming through subsidies and technology adoption programs are crucial in this growth. The rising availability of cost-effective IoT devices for small and mid-sized farms has made smart agriculture more accessible. Investments in rural internet connectivity and infrastructure further support the widespread adoption of IoT technologies in the region, solidifying its position as the largest contributor to the market.

Recent Strategies Deployed in the Market

• Jan-2025: Deere & Company unveiled new autonomous machines for agriculture, construction, and landscaping, addressing skilled labor shortages. Featuring advanced AI, computer vision, and a second-generation autonomy kit, these machines enhance efficiency, safety, and precision.
• Nov-2024: Deere & Company teamed up with Mississippi State University to advance automated farming through the university's Agricultural Autonomy Institute. The collaboration aims to develop autonomous technologies tailored to Southern crops like cotton, addressing labor shortages and fostering research, startups, and workforce growth in agricultural autonomy across Mississippi.
• Jan-2024: Deere & Company announced the partnership with SpaceX, an Astronautics company to provide farmers with satellite-based internet via Starlink, enhancing rural connectivity for precision agriculture. This enables autonomy, real-time data sharing, remote diagnostics, and machine-to-machine communication.
• Sep-2023: Trimble, Inc. announced the partnership with AGCO Corporation, an Agricultural machinery company to enhance precision agriculture solutions for mixed fleets. The partnership aims to accelerate innovation, boost connectivity, and streamline operations, benefiting farmers globally with advanced, sustainable farming technologies.
• Nov-2020: Robert Bosch GmbH teamed up with BASF, a chemicals company to develop and market smart farming solutions, combining Bosch’s hardware and software with BASF’s cardio platform. The collaboration aims to enhance precision farming, resource efficiency, and sustainability.

List of Key Companies Profiled

• Deere & Company
• Trimble, Inc.
• Raven Industries, Inc.
• AGCO Corporation
• Valmont Industries, Inc.
• Cropin Technology Solutions Private Limited
• A.A.A Taranis Visual Ltd.
• Libelium Comunicaciones Distribuidas S.L.
• Robert Bosch GmbH
• NXP Semiconductors N.V.

Global Agriculture IoT Market Report Segmentation

By Deployment

• On-premise
• Cloud

By Component

• Hardware
• Software
• Services

By Connectivity

• Wi-Fi
• Cellular
• Bluetooth
• Other Connectivity

By Application

• Precision Farming
• Livestock Monitoring
• Smart Greenhouse
• Aquaculture
• Other Application

By Farm Type

• Large
• Mid-sized
• Small

By Geography

• North America
• US
• Canada
• Mexico
• Rest of North America
• Europe
• Germany
• UK
• France
• Russia
• Spain
• Italy
• Rest of Europe
• Asia Pacific
• China
• Japan
• India
• South Korea
• Singapore
• Malaysia
• Rest of Asia Pacific
• LAMEA
• Brazil
• Argentina
• UAE
• Saudi Arabia
• South Africa
• Nigeria
• Rest of LAMEA