Weather Forecasting Services Market Size & Share Analysis - Growth Trends & Forecasts (2025 - 2030)

The Weather Forecasting Services Market size is estimated at USD 3.47 billion in 2025, and is expected to reach USD 4.90 billion by 2030, at a CAGR of 7.17% during the forecast period (2025-2030).

With the increasing impact of climate change on the frequency and intensity of extreme weather events, industries such as agriculture, aviation, disaster management, and consumer applications are placing greater reliance on accurate and timely weather forecasting. Organizations, governments, and individuals are leveraging these services to mitigate risks and make data-driven decisions. This rising demand is driven by advancements in technology, data analytics, and artificial intelligence, which have significantly enhanced the precision and dependability of weather predictions.

Key Highlights

  • Climate change has intensified weather volatility, leading to a rise in severe natural disasters, including hurricanes, heatwaves, floods, droughts, and wildfires. In response, governments, enterprises, and individuals are increasingly leveraging weather forecasting solutions to manage risks associated with these extremes. Accurate weather predictions and early warning systems are essential for disaster preparedness, enabling authorities to evacuate high-risk areas, optimize resource allocation, and mitigate economic losses.
  • For instance, the increasing frequency of hurricanes in coastal regions underscores the critical need for real-time weather monitoring to safeguard lives and assets. This growing focus on climate-related disasters has significantly driven demand for advanced meteorological solutions.
  • Weather patterns have always been a critical factor in agriculture, directly impacting crop yields and farm productivity. However, the agricultural sector's reliance on accurate weather forecasting has significantly intensified with increasing climate variability and mounting food security concerns.
  • As climate change disrupts traditional farming cycles, accurate weather forecasting has become essential. Unpredictable events such as erratic rainfall, prolonged droughts, and unexpected frosts can cause substantial crop losses if not anticipated. Modern forecasting tools empower farmers to predict these challenges and implement mitigation strategies, ensuring minimal losses and maximum productivity. Governments, research institutions, and private meteorological service providers are investing significantly in advanced forecasting technologies to address agricultural requirements. This growing focus on climate-resilient farming drives demand for sophisticated weather forecasting services.
  • Weather forecasting is a critical service impacting various industries, including agriculture, aviation, disaster management, and daily operations. Despite significant advancements in meteorology, the inherently dynamic nature of atmospheric conditions makes forecasting a complex process. This complexity in weather models presents a major challenge, limiting the ability to deliver accurate, timely, and accessible predictions.
  • As global economies expand and urban centers grow, the demand for accurate and timely weather information has shifted from being a luxury to a business imperative. This shift highlights the critical connection between economic growth, urbanization, and the increasing reliance on advanced weather forecasting services.

Weather Forecasting Services Market Trends

Government and Defense End-user Segment is Expected to Hold Significant Market Share

  • Defense forces rely heavily on weather forecasting, using it as a pivotal tool to enhance the safety and efficiency of their operations. By predicting weather conditions, these forces can fine-tune troop movements, aircraft operations, and the performance of weapon systems. This foresight shapes their battlefield strategies, especially when confronting challenges like storms, fog, or extreme temperatures. Such vigilance not only boosts the odds of mission success but also underscores the safety of personnel, offering a distinct strategic edge.
  • On the other hand, governments harness weather forecasting to inform critical decisions across diverse sectors. Whether it's agriculture, aviation, or public health, timely alerts about severe weather - be it storms, floods, or heatwaves - empower proactive measures to safeguard lives and assets.
  • Both government and defense sectors are channeling substantial investments into weather research, embracing cutting-edge technologies like artificial intelligence (AI), machine learning (ML), and advanced satellites. For instance, in January 2025, a team from Penn State College of Information Sciences and Technology (IST) clinched a two-year, USD 1.23 million grant from NASA. Their project seeks to bolster atmospheric and oceanic forecasts by weaving AI and satellite data into current forecasting models. This endeavor will harness a variety of data sources, including satellite imagery, building on past efforts that employed transformer-based AI algorithms and machine learning techniques.
  • In a parallel move, in May 2024, Tomorrow.io, a Boston-based weather intelligence firm, secured a USD 10.2 million contract from the Department of Defense. The contract mandates Tomorrow.io to craft and launch two satellites, outfitted with microwave sounders, tailored for military weather forecasting.
  • Previously, Tomorrow.io garnered attention under the Pentagon's Accelerate the Procurement and Fielding of Innovative Technologies (APFIT) program, a Congressional-backed initiative to fund small businesses with groundbreaking technologies. With a one-year timeline, Tomorrow.io is set to produce and deliver the microwave sounders by May 2025. These instruments, pivotal for gauging atmospheric temperature and moisture, will feed essential data into the Air Force’s Weather Systems Branch prediction models.
  • The Aerospace Corporation, a national nonprofit and federally funded research and development center for the space sector, forged a strategic alliance with Google Public Sector in January 2025. This partnership aims to harness artificial intelligence (AI) and high-performance computing for weather forecasting. Their goal is to provide timely and precise predictions of geomagnetic storms days ahead of their occurrence. The implications of this initiative are vast, promising value across multiple industries and bolstering national security. Enhanced satellite communication reliability ensures uninterrupted global connectivity and data flow, benefiting numerous sectors.
  • Moreover, it fortifies Global Positioning System (GPS) navigation—vital for transportation, logistics, and emergency services—and bolsters power grid resilience, mitigating the threat of widespread outages from geomagnetic storms.

Asia Pacific is Expected to Hold Significant Market Share

  • Coastal nations in the Asia Pacific, significantly impacted by climate change, are increasingly facing typhoons, floods, droughts, and extreme temperatures. With these threats, the ability to accurately forecast monsoons, cyclones, and heatwaves is becoming critical for optimizing agricultural productivity and ensuring food security. These forecasts also enable industries to implement effective planning and risk mitigation strategies. For instance, Japan experienced a nationwide decline in rice harvests in 2023 due to exceptionally high temperatures.
  • According to the U.S. Department of Agriculture's Foreign Agricultural Service, drought conditions negatively impacted milling yields. As a result, private sector rice stocks dropped sharply by 21% in June 2024 compared to the previous year, reaching 1.56 million MT, the lowest level since 1999. Rising temperatures not only disrupt the growth cycle and yield of rice but also degrade the quality of the grain.
  • In response, the demand for advanced weather forecasting solutions is increasing, particularly in agriculture and disaster management. Governments are making substantial investments in cutting-edge technologies, including supercomputers, artificial intelligence, and advanced geospatial satellites, to enhance forecasting capabilities.
  • For example, in January 2025, the Japan Meteorological Agency (JMA) initiated the development of the Himawari-10 geostationary meteorological satellite. This satellite incorporates advanced baseline imager technology for high-resolution weather imagery and a hyperspectral infrared sounder for precise three-dimensional atmospheric measurements. By collecting detailed data on temperature and humidity across atmospheric layers, the satellite significantly improves the accuracy of extreme weather forecasts. A notable feature of this system is its ability to deliver highly accurate atmospheric temperature and humidity data.
  • Similarly, in February 2024, the Indian Space Research Organization (ISRO) launched INSAT-3DS, a next-generation satellite designed to enhance meteorological observations and provide timely disaster alerts. This satellite offers improved capabilities over its predecessors, INSAT-3D and INSAT-3DR.
  • Countries are increasingly leveraging artificial intelligence to enhance the precision of weather forecasts by harnessing vast data from diverse sources and employing advanced machine learning models, and we aim to enhance prediction accuracy, especially for severe weather events, through real-time data processing and pattern recognition.
  • In November 2024, South Korea's National Institute of Meteorological Sciences (NIMS) announced plans to implement AI-driven weather forecasting during the disaster prevention period from May 15 to October 15, 2025. NIMS's AI model utilizes advanced transformer technology, similar to that powering OpenAI’s ChatGPT, to analyze precipitation patterns. By processing seven years of radar imagery and ground data, the system generates forecasts up to six hours in advance, segmented into 10-minute intervals, with public forecasts focusing on predictions up to two hours.
  • Additionally, the rapid deployment of 5G technology across the Asia Pacific is further enhancing the delivery of accurate weather forecasts. According to GSMA's "The Mobile Economy Asia Pacific 2024," 5G penetration in the region is expected to grow from 10% in 2023 to 45% by 2030, with developed markets projected to achieve 95% connectivity by 2030. Beyond its applications in communication and entertainment, 5G networks are transforming weather forecasting by enabling near-instant transmission of data to mobile devices. This advancement is particularly beneficial for farmers, who increasingly rely on smartphones for real-time weather updates and decision-making.

Weather Forecasting Services Industry Overview

The market comprises a mix of traditional meteorological service providers, technology-driven startups, and large tech companies that have diversified into weather forecasting. This wide array of players increases competitive rivalry. Some of the major market players are AccuWeather Inc., Weather (Vaisala Oyj), Climavision, DTN LLC, and ENAV S.p.A, among others.

Continuous innovation in AI, machine learning, big data analytics, and sensor technologies forces companies to consistently upgrade their capabilities. This pace of innovation fuels rivalry as firms strive to outdo each other in forecasting accuracy and service delivery.

The formation of alliances with governments, research institutions, and private enterprises adds another layer of competitive dynamics. Firms not only compete on product features but also on the strength and exclusivity of these collaborations.

Established firms with strong reputations and long histories in meteorology tend to have a competitive advantage. New entrants and smaller players must work harder to build trust, leading to increased rivalry as incumbents leverage their established brands.

Although high-quality forecasting services command premium pricing, there is competitive pressure to offer cost-effective solutions, especially to large-scale industrial clients. This dynamic pushes companies to balance competitive pricing with high service standards, further intensifying rivalry.

Overall, the weather forecasting services market experiences a high degree of competitive rivalry.

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1 INTRODUCTION
1.1 Study Assumptions and Market Definition
1.2 Scope of the Study
2 RESEARCH METHODOLOGY
3 EXECUTIVE SUMMARY
4 MARKET INSIGHTS
4.1 Market Overview
4.2 Industry Attractiveness - Porter's Five Forces Analysis
4.2.1 Bargaining Power of Suppliers
4.2.2 Bargaining Power of Consumers
4.2.3 Threat of New Entrants
4.2.4 Threat of Substitutes
4.2.5 Intensity of Competitive Rivalry
4.3 Assessment of Macroeconomic trends on the Industry
5 MARKET DYNAMICS
5.1 Market Drivers
5.1.1 Changing Weather Patterns Resulting in Unpredictability of Rainfall
5.1.2 Increasing Penetration of Advanced Technologies in Weather Forecasting Services
5.2 Market Restrains
5.2.1 Complexity Associated with Weather Forecasting Models
6 MARKET SEGMENTATION
6.1 By Forecasting Type
6.1.1 Short-range Forecasting
6.1.2 Medium-range Forecasting
6.1.3 Long-range Forecasting
6.2 By End User
6.2.1 Transportation & Logistics
6.2.2 Government and Defense
6.2.3 Energy, Utilities, and Mining
6.2.4 Banking, Financial Services and Insurance (BFSI)
6.2.5 Agriculture & Forestry
6.2.6 Other End Users
6.3 By Geography***
6.3.1 North America
6.3.2 Europe
6.3.3 Asia
6.3.4 Australia and New Zealand
6.3.5 Latin America
6.3.6 Middle East and Africa
7 COMPETITIVE LANDSCAPE
7.1 Company Profiles
7.1.1 AccuWeather Inc.
7.1.2 Weather (Vaisala Oyj)
7.1.3 Climavision
7.1.4 DTN LLC
7.1.5 ENAV S.p.A
7.1.6 Fugro
7.1.7 The Weather Company LLC
7.1.8 Met Office
7.1.9 Precision Weather Services
7.1.10 StormGeo (Alfa Laval AB)
7.1.11 AEM
7.1.12 Pelmorex Corp.
7.1.13 Foreca Ltd
7.1.14 The Tomorrow Companies Inc.
7.1.15 Spire Global Inc.
8 INVESTMENT ANALYSIS
9 MARKET OPPORTUNITIES AND FUTURE TRENDS

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