Global Agriculture Technology-as-a-Service Market Research Report: Forecast (2023-2028)
Market Definition
The agriculture technologies-as-a-service market includes agriculture-related technologies such as robots, temperature & moisture sensors, aerial images, and GPS technology that use the minimum quantities required & target specific areas in the field. These advanced devices & precision agriculture & robotic systems allow businesses to be more profitable, efficient, safer, and environmentally friendly.
These technologies provide higher crop productivity & decreased use of water, fertilizer, and pesticides, which helps to keep food prices down. It aims to address the challenges faced by the agricultural industry, such as increasing food demand, limited natural resources, climate change, labor shortages, and the need for more sustainable farming practices across the globe.
Market Insights & Analysis: Global Agriculture Technology-as-a-Service Market (2023-28):
The Global Agriculture Technology-as-a-Service Market is anticipated to grow at a CAGR of around 23.12% during the forecast period, i.e., 2023-28, cites MarkNtel Advisors. The market growth attributes primarily to the consistently growing need for agricultural products across the world. The increasing human population, changes in dietary patterns, and improving farmers’ income are the main reasons for the requirement for optimum agricultural produce through the integration of state-of-the-art technologies. The introduction of new analytical & predictive software & its features like crop monitoring, crop protection, farm management, etc., assists the farmers in efficiently managing their planted crops, nutrients in the soil, water level, etc.
With the increasing demand for fresh produce in urban areas & limited arable land, indoor & vertical farming technologies have gained prominence in recent years. These technologies utilize controlled environments, hydroponics, aquaponics, and artificial lighting to grow crops efficiently in vertical stacks or indoor settings allowing for year-round production & reducing reliance on traditional agricultural practices. The introduction of smart irrigation systems, owing to the rising water scarcity across the globe has also gained momentum among the individuals of the agricultural sector. These systems employ sensor-based technologies & data analytics to optimize water usage, hence reducing water waste & improving crop water efficiency.
| Report Coverage | Details |
|---|---|
| Study Period | Historical Data: 2018-21 |
| Base Year: 2022 | |
| Forecast Period: 2023-28 | |
| CAGR (2023-2028) | 23.12% |
| Regions Covered | North America: USA, Canada, Mexico |
| Europe: Germany, The UK, France, Spain, Italy | |
| Asia-Pacific: China, India, Japan, Australia | |
| South America: Brazil, and Argentina | |
| Middle East & Africa: Israel, South Africa | |
| Key Companies Profiled | Deere & Company, Trimble Inc., AGCO Corporation, Accenture plc, CNH Industrial N.V., Airbus S.A.S., Raven Industries, AT&T Inc., Topcon Corporation, Intertek plc, SGS S.A., Taranis, Naio Technologies, PrecisionHawk, Microsoft Corporation, and IBM Corporation, etc. |
| Unit Denominations | USD Million/Billion |
Moreover, the surging need to adopt advanced technologies such as tools for planning, monitoring, and optimizing farm operations. These technologies include farm management software, remote sensing technologies, and data analytics platforms that allow farmers to make data-driven decisions, track crop health, manage resources efficiently, and improve overall farm productivity.
Thus, increasing adoption of advanced technologies among farmers along with the introduction of favorable initiatives & policies by governments in countries such as the US, Canada, the UK, Germany, France, Australia, India, and China, are further presumed to drive the Global Agriculture Technology-as-a-Service Market growth in the forthcoming years.
Global Agriculture Technology-as-a-Service Market Driver:
Sustainable Agriculture Solutions Meeting the Growing Need for Environmentally Friendly Farming – The increasing global population is contributing to escalating the demand for sustainable food around the globe. According to the World Bank, the population is presumed to reach around 9.7 billion by 2050, which positively generates the demand for food. Thus, sustainable agriculture solutions help to meet this demand while reducing the environmental effect of agriculture.
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The rising impact of agriculture on the environment, including soil degradation, water pollution, and greenhouse gas emissions, has become a major concern. Sustainable farming practices, such as aquaponics & vertical farming, can help to mitigate these impacts. Henceforth, the surging demand for sustainable food production across the globe is driving the growth of the Global Agriculture Technology-as-a-Service Market as farmers seek out new & innovative ways to produce food that is environmentally friendly, healthy, and economically viable.
Moreover, environmental concerns & limited natural resources have led to a growing emphasis on sustainable farming practices around the world. Agriculture technology offers solutions for resource management, water conservation, soil health monitoring, and precision application of fertilizers & pesticides. These technologies enable farmers to minimize the environmental impact of agriculture while maintaining productivity.
Hence, the market would experience considerable growth in the forthcoming years, owing to the soaring global population & emphasis on sustainable farming practices driven by environmental concerns & limited natural resources.
Global Agriculture Technology-as-a-Service Market Opportunity:
Implementation of Government Schemes to Boost Global Agriculture Technology-as-a-Service Market – The Governments of several developing & developed nations have implemented schemes to facilitate the incorporation of agriculture & technology to boost the cultivation of crops & plants. As agriculture contributes to the GDP of several countries, including Germany, Turkey, India, etc., the government implemented various programs to encourage farmers to use technology-as-a-service to improve crop production. For instance:
Consequently, these government-led programs would simulate the amalgamation of technology, such as data monitoring, web portals for farmer’s databases, and others with standard agricultural practices. This, in turn, would alleviate the farmers to cultivate crops with greater efficiency owing to the consistent monitoring of crops at every stage. These government programs would escalate the Global Agriculture Technology-as-a-service Market since these programs would encourage the farmers to utilize the technological advancements for greater crop production even with the less labor workforce availability.
Global Agriculture Technology-as-a-Service Market Challenge:
Lack of Technical Awareness Amongst Farmers – The introduction of any technology necessitates a certain level of knowledge for its basic operation. Though robotics & automation in daily farming operations make tasks easier & less laborious, however, farmers lack expertise & technical knowledge on how to operate high-tech equipment efficiently, which is a challenging aspect for the market growth.
Furthermore, major economies are in the Asia-Pacific region, which has a significant population of low-income & low-skilled farmers. Low-income farmers in rural areas face barriers in accessing the necessary technology & infrastructure required for utilizing agriculture software. Hence, limited internet connectivity, lack of reliable power supply, and inadequate hardware devices (e.g., smartphones, computers) resulted in hampering the market growth.
Global Agriculture Technology-as-a-Service Market Trend:
Artificial Intelligence (AI) to Boost Crop Production Through Predictive Modeling – The agriculture industry has seen a surge due to the growing food demands. Nowadays to yield large amounts of agricultural produce farmers are relying on technologies. The rising trend of combining technology with traditional farming methods might have a positive impact on the market in the coming years as it allows farmers to produce more crops with fewer resources.
The AI-powered solutions aid in the monitoring of soil & growing conditions as well as providing regular weather updates. As a result, farmers are better able to plan their crop cultivation, boosting crop production capacity & crop quality. For instance, companies such as AmigoIq LLC provide AI-powered smart farming solutions to optimize farming processes by achieving targets based on predictive modeling, thus supporting the Global Agriculture Technology-as-a-Service Market.
Global Agriculture Technology-as-a-Service Market (2023-28): Segmentation Analysis
The Global Agriculture Technology-as-a-Service Market study of MarkNtel Advisors evaluates & highlights the major trends & influencing factors in each segment & includes predictions for the period 2023–2028 at the global, regional, and national levels. Based on the analysis, the market has been further classified as:
Based on the Service Type:
Equipment-as-a-service is expected to grow at a faster pace in the forthcoming years in the global market, as equipment companies are launching new products on a subscription model globally. This technique helps the farmers to reduce their fixed cost of purchasing machinery when it could be run at minimal operational cost.
This technology has helped farmers grow low-value crops, mainly in developing nations & quite a few in developed nations, to maximize their cash flows. Companies such as Trimble Inc., Harvest Automation, and AGCO Corporation are some of the major players in the market providing EaaS for farmlands operations across the globe. Also, the introduction of machine intelligence & the Internet of Things (IoT) is presumed to improve predictive maintenance & boost growth for the equipment-as-a-service type in the forthcoming years.
Based on Technology:
Data Analytics & Intelligence acquired the highest market share in the overall Global Agriculture Technology-as-a-Service Market during the historical period, owing to the rising demand for advanced data-driven insights & decision-making capabilities in the agriculture industry. This segment offers farmers & agricultural businesses access to powerful data analytics tools & intelligence platforms specifically designed for the agricultural sector.
These data analytics tools help in crop monitoring & disease detection by analyzing data based on crop health, nutrients in the soil, water, and air level, weather & temperature conditions, etc., for the optimum crop yield. Hence, the data analytics & intelligence segment is witnessed to grow significantly in the forthcoming years due to the continued advancements in data analytics technology & the increasing availability of agricultural data sources worldwide.
Global Agriculture Technology-as-a-Service Market Regional Projections:
Based on the Geography, the Global Agriculture Technology-as-a-Service Market expands across:
North America held a prominent market share since the historical period. In part, the growth can be credited to the inclination to integrate advanced technology in farmlands, such as control systems & automation, and to smart farming, which is gaining acceptance at a faster rate. Besides, the considerable increase in farm sizes & the rise in food demand from limited arable land are the factors expected to ensure the future growth of the Agricultural Technology-as-a-Service Market. The region has been known for its high-tech farms with notable yields.
Also, the phenomenon of the less manual labor force & more modernized equipment has been the key driver in the regional market. Thus, the rising adoption of TaaS (technology-as-a-service) has surged among small farmers as a result of the technology-as-a-service model, which is further expected to propel the market growth during 2023-28.
Global Agriculture Technology-as-a-Service Industry Recent Development:
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Frequently Asked Questions
A. The Agriculture Technology-as-a-Service market is projected to grow at a CAGR of around 23.12% during 2023-28.
A. Sustainable agriculture solutions meeting the growing need for environmentally friendly farming is expected to drive the Agriculture Technology-as-a-Service Market during 2023-28.
A. The top players in the Agriculture Technology-as-a-Service are, AGCO Corporation, CLAAS Group, CNH Industrial NV, Deere & Company, Kubota Corporation, Yanmar Co. Ltd, 365FarmNet GmBH, Agrivi, CropIn Technology Solutions Pvt Ltd, Fujitsu Ltd, IBM Corporation, Microsoft Corporation, Robert Bosch GmBH, Trimble Inc, Parrot SA, Pixhawk, Precision Hawk, Harvest Automation Inc, Naio Technologies, Small Robot Company, Topcon Corporation, Teejet Corporation, SGS SA, Raven Industries Inc, Intertek Group Plc, Airbus SAS, AT&T, Ceres Imaging Inc, Hexagon Agriculture, Nutrien AgSolutions Inc. and others.
A. Artificial intelligence (AI) to boost crop production through predictive modeling is the key trends shaping the growth of the Agriculture Technology-as-a-Service Market.
A. Equipment-as-a-service segment is one of the prominent service type in the Agriculture Technology-as-a-Service Market during 2023-28.
A. Implementation of government schemes to boost the Agriculture Technology as-a-Service Market is the emerging opportunity.
Global Agriculture Technology-as-a-Service Market Research Report (2023-2028) - Table of Contents
