The Global Digital Agriculture Market size is expected to reach $38.16 billion by 2031, rising at a market growth of 9.9% CAGR during the forecast period.
Early technological adoption, a well-established agricultural infrastructure, and significant investments in precision farming and smart agriculture solutions drive the North America segment. Farmers in the U.S. and Canada leverage advanced technologies such as IoT, AI, drones, and automation to enhance productivity, reduce costs, and meet sustainability goals. Thus, the North America segment procured 35% revenue share in the market in 2023. Government initiatives and subsidies encouraging the adoption of digital farming practices, with widespread access to high-speed internet connectivity and strong research and development (R&D) capabilities, have further accelerated market growth in this region.
The major strategies followed by the market participants are product launches as the key developmental strategy to keep pace with the changing demands of end users. For instance, In 2025, February, BASF SE unveiled three farming solutions, including Xarvio Field Manager for Fruits and Veggies, a digital crop optimization platform. BASF integrates seeds, crop protection, and digital intelligence to enhance yield and efficiency. The company aims to expand its support for fruit and vegetable growers worldwide. Additionally, In December, 2024, Bayer AG unveiled FieldView in Mexico, expanding its digital agriculture platform to optimize crop management. Used in 27+ countries, FieldView helps farmers analyze real-time data, improve efficiency, and enhance sustainability. Bayer aims to strengthen Mexican agriculture by maximizing resources and supporting informed decision-making.
Market Growth Factors
Precision farming, also known as precision agriculture, leverages advanced technologies such as Global Positioning System (GPS), Internet of Things (IoT), and Artificial Intelligence (AI) to enhance agricultural practices. Precision farming allows for the optimization of inputs such as water and fertilizers in accordance with specific field conditions through the use of GPS-guided machinery and data analytics. Higher crop yields and more effective use of resources are the outcomes of this. Hence, the benefits of precision farming are augmenting the demand for digital agriculture solutions.
Additionally, by formulating supportive policies, governments can encourage the integration of advanced technologies into agriculture, leading to increased efficiency and sustainability. For instance, a study highlighted that repurposing a small portion of government agricultural spending towards targeted expenditures on research and development (R&D) and incentives for innovation adoption could reduce poverty, lower the cost of healthy diets, and decrease the land required for agriculture. Thus, these factors are supporting the growth of the market.
Market Restraining Factors
The adoption of digital agriculture technologies comes with a significant financial burden, particularly for small and medium-scale farmers. Precision farming tools, IoT-enabled sensors, drones, satellite imaging, and automated irrigation systems are key innovations transforming the agricultural sector. However, these technologies require substantial upfront investments, including hardware, software, installation, and training costs. Unlike traditional farming practices that involve minimal technological infrastructure, digital agriculture demands a shift towards capital-intensive operations, which many farmers find difficult to afford. Hence, the high initial investment cost remains one of the most critical factors hampering the large-scale implementation of digital agriculture technologies.
Component Outlook
Based on component, the market is classified into hardware, software, and service. The hardware segment garnered 41% revenue share in the market in 2023. Equipment such as sensors, drones, automated irrigation systems, and GPS-guided machinery allow farmers to efficiently manage resources, reduce waste, and improve crop yields.
Application Outlook
On the basis of application, the market is divided into precision farming & farm management, livestock monitoring, supply chain management, financial management, and others. The precision farming & farm management segment acquired 29% revenue share in the market in 2023. With growing concerns over food security and sustainability, farmers are adopting precision farming tools to optimize input usage such as water, fertilizers, and pesticides, thereby reducing operational costs and environmental impact.
Technology Outlook
By technology, the market is segmented into AI, drones, IoT, automation, and others. The automation segment garnered 19% revenue share in the market in 2023. Automated machinery, including self-driving tractors, robotic harvesters, and automated irrigation systems, helps farmers perform repetitive tasks more precisely and consistently. Automation reduces operational costs, increases scalability, and enhances efficiency in large-scale farming operations.
Regional Outlook
Region-wise, the market is analyzed across North America, Europe, Asia Pacific, and LAMEA. The Europe segment acquired 30% revenue share in the market in 2023. The Europe segment is primarily driven by stringent regulations on sustainable farming, environmental conservation, and food safety, which encourage the adoption of digital agriculture technologies. The European Union's policies, including the Common Agricultural Policy (CAP) and the European Green Deal, promote precision farming, data-driven solutions, and eco-friendly agricultural practices.
Recent Strategies Deployed in the Market
- Feb-2025: BASF SE unveiled three farming solutions, including Xarvio Field Manager for Fruits and Veggies, a digital crop optimization platform. BASF integrates seeds, crop protection, and digital intelligence to enhance yield and efficiency. The company aims to expand its support for fruit and vegetable growers worldwide.
- Dec-2024: Bayer AG unveiled FieldView in Mexico, expanding its digital agriculture platform to optimize crop management. Used in 27+ countries, FieldView helps farmers analyze real-time data, improve efficiency, and enhance sustainability. Bayer aims to strengthen Mexican agriculture by maximizing resources and supporting informed decision-making.
- Dec-2024: IBM Corporation in partnership with Texas A&M AgriLife launched SWAT VEXA, an AI-powered virtual assistant for sustainable agriculture. Using Deep Search AI and SWAT modeling, it provides free access to 7,000+ studies and soil-water data, enabling smarter, faster decisions to enhance productivity, resilience, and climate adaptation.
- Nov-2024: Indigo Ag, Inc. teamed up with Truterra to streamline and expand ag sustainability solutions. They aim to create standardized frameworks, enhance farmer engagement, and simplify program selection. This will focus on carbon credits and Scope 3 programs, ensuring consistency and value for farmers, businesses, and the environment.
- Apr-2024: AGCO Corporation unveiled PTx, a new precision ag brand integrating Precision Planting and PTx Trimble. PTx offers retrofit and factory-fit solutions for farmers and OEMs, enhancing efficiency and connectivity. Led by Seth Crawford, it promises seamless, farmer-centric technologies to optimize yields, reduce waste, and advance AGCO's tech-driven agricultural transformation.
- Mar-2024: Bayer AG unveiled a pilot for a GenAI system aimed at enhancing agricultural decision-making. Trained on Bayer's proprietary data and insights, it provides quick, expert answers to complex agronomy and farm management questions. Developed with Microsoft and EY, it aims to democratize agronomic advice, benefiting smallholder farmers globally.
- Nov-2022: AGCO Corporation unveiled Geo-Bird, a brand-new online application designed to assist farmers worldwide in autonomously designing and refining their machine guiding lines for the Global Navigation Satellite System (GNSS).
List of Key Companies Profiled
- Microsoft Corporation
- BASF SE
- Indigo Ag, Inc.
- AGCO Corporation
- Wipro Limited
- Yara International ASA
- Bayer AG
- IBM Corporation
- Trimble, Inc.
- Deere & Company
Global Digital Agriculture Market Report Segmentation
By Application
- Precision Farming & Farm Management
- Livestock Monitoring
- Supply Chain Management
- Financial Management
- Other Application
By Technology
- IoT
- Automation
- AI
- Drones
- Other Technology
By Component
- Hardware
- Software
- Service
By Geography
- North America
- US
- Canada
- Mexico
- Rest of North America
- Europe
- Germany
- UK
- France
- Russia
- Spain
- Netherlands
- Rest of Europe
- Asia Pacific
- China
- Japan
- India
- South Korea
- Australia
- Malaysia
- Rest of Asia Pacific
- LAMEA
- Brazil
- Argentina
- UAE
- Saudi Arabia
- South Africa
- Nigeria
- Rest of LAMEA
Table of Contents
Chapter 1. Market Scope & Methodology
- 1.1 Market Definition
- 1.2 Objectives
- 1.3 Market Scope
- 1.4 Segmentation
- 1.4.1 Global Digital Agriculture Market, by Application
- 1.4.2 Global Digital Agriculture Market, by Technology
- 1.4.3 Global Digital Agriculture Market, by Component
- 1.4.4 Global Digital Agriculture Market, by Geography
- 1.5 Methodology for the research
Chapter 2. Market at a Glance
Chapter 3. Market Overview
- 3.1 Introduction
- 3.1.1 Overview
- 3.1.1.1 Market Composition and Scenario
- 3.2 Key Factors Impacting the Market
- 3.2.1 Market Drivers
- 3.2.2 Market Restraints
- 3.2.3 Market Opportunities
- 3.2.4 Market Challenges
Chapter 4. Competition Analysis - Global
- 4.1 KBV Cardinal Matrix
- 4.2 Recent Industry Wide Strategic Developments
- 4.2.1 Partnerships, Collaborations and Agreements
- 4.2.2 Product Launches and Product Expansions
- 4.2.3 Acquisition and Mergers
- 4.3 Market Share Analysis, 2023
- 4.4 Top Winning Strategies
- 4.4.1 Key Leading Strategies: Percentage Distribution (2020-2024)
- 4.4.2 Key Strategic Move: (Product Launches and Product Expansions: 2022, Oct - 2025, Feb) Leading Players
- 4.5 Porter Five Forces Analysis
Chapter 5. Global Digital Agriculture Market by Application
- 5.1 Global Precision Farming & Farm Management Market by Region
- 5.2 Global Livestock Monitoring Market by Region
- 5.3 Global Supply Chain Management Market by Region
- 5.4 Global Financial Management Market by Region
- 5.5 Global Other Application Market by Region
Chapter 6. Global Digital Agriculture Market by Technology
- 6.1 Global IoT Market by Region
- 6.2 Global Automation Market by Region
- 6.3 Global AI Market by Region
- 6.4 Global Drones Market by Region
- 6.5 Global Other Technology Market by Region
Chapter 7. Global Digital Agriculture Market by Component
- 7.1 Global Hardware Market by Region
- 7.2 Global Software Market by Region
- 7.3 Global Service Market by Region
Chapter 8. Global Digital Agriculture Market by Region
- 8.1 North America Digital Agriculture Market
- 8.1.1 North America Digital Agriculture Market by Application
- 8.1.1.1 North America Precision Farming & Farm Management Market by Region
- 8.1.1.2 North America Livestock Monitoring Market by Region
- 8.1.1.3 North America Supply Chain Management Market by Region
- 8.1.1.4 North America Financial Management Market by Region
- 8.1.1.5 North America Other Application Market by Region
- 8.1.2 North America Digital Agriculture Market by Technology
- 8.1.2.1 North America IoT Market by Country
- 8.1.2.2 North America Automation Market by Country
- 8.1.2.3 North America AI Market by Country
- 8.1.2.4 North America Drones Market by Country
- 8.1.2.5 North America Other Technology Market by Country
- 8.1.3 North America Digital Agriculture Market by Component
- 8.1.3.1 North America Hardware Market by Country
- 8.1.3.2 North America Software Market by Country
- 8.1.3.3 North America Service Market by Country
- 8.1.4 North America Digital Agriculture Market by Country
- 8.1.4.1 US Digital Agriculture Market
- 8.1.4.1.1 US Digital Agriculture Market by Application
- 8.1.4.1.2 US Digital Agriculture Market by Technology
- 8.1.4.1.3 US Digital Agriculture Market by Component
- 8.1.4.2 Canada Digital Agriculture Market
- 8.1.4.2.1 Canada Digital Agriculture Market by Application
- 8.1.4.2.2 Canada Digital Agriculture Market by Technology
- 8.1.4.2.3 Canada Digital Agriculture Market by Component
- 8.1.4.3 Mexico Digital Agriculture Market
- 8.1.4.3.1 Mexico Digital Agriculture Market by Application
- 8.1.4.3.2 Mexico Digital Agriculture Market by Technology
- 8.1.4.3.3 Mexico Digital Agriculture Market by Component
- 8.1.4.4 Rest of North America Digital Agriculture Market
- 8.1.4.4.1 Rest of North America Digital Agriculture Market by Application
- 8.1.4.4.2 Rest of North America Digital Agriculture Market by Technology
- 8.1.4.4.3 Rest of North America Digital Agriculture Market by Component
- 8.2 Europe Digital Agriculture Market
- 8.2.1 Europe Digital Agriculture Market by Application
- 8.2.1.1 Europe Precision Farming & Farm Management Market by Country
- 8.2.1.2 Europe Livestock Monitoring Market by Country
- 8.2.1.3 Europe Supply Chain Management Market by Country
- 8.2.1.4 Europe Financial Management Market by Country
- 8.2.1.5 Europe Other Application Market by Country
- 8.2.2 Europe Digital Agriculture Market by Technology
- 8.2.2.1 Europe IoT Market by Country
- 8.2.2.2 Europe Automation Market by Country
- 8.2.2.3 Europe AI Market by Country
- 8.2.2.4 Europe Drones Market by Country
- 8.2.2.5 Europe Other Technology Market by Country
- 8.2.3 Europe Digital Agriculture Market by Component
- 8.2.3.1 Europe Hardware Market by Country
- 8.2.3.2 Europe Software Market by Country
- 8.2.3.3 Europe Service Market by Country
- 8.2.4 Europe Digital Agriculture Market by Country
- 8.2.4.1 Germany Digital Agriculture Market
- 8.2.4.1.1 Germany Digital Agriculture Market by Application
- 8.2.4.1.2 Germany Digital Agriculture Market by Technology
- 8.2.4.1.3 Germany Digital Agriculture Market by Component
- 8.2.4.2 UK Digital Agriculture Market
- 8.2.4.2.1 UK Digital Agriculture Market by Application
- 8.2.4.2.2 UK Digital Agriculture Market by Technology
- 8.2.4.2.3 UK Digital Agriculture Market by Component
- 8.2.4.3 France Digital Agriculture Market
- 8.2.4.3.1 France Digital Agriculture Market by Application
- 8.2.4.3.2 France Digital Agriculture Market by Technology
- 8.2.4.3.3 France Digital Agriculture Market by Component
- 8.2.4.4 Russia Digital Agriculture Market
- 8.2.4.4.1 Russia Digital Agriculture Market by Application
- 8.2.4.4.2 Russia Digital Agriculture Market by Technology
- 8.2.4.4.3 Russia Digital Agriculture Market by Component
- 8.2.4.5 Spain Digital Agriculture Market
- 8.2.4.5.1 Spain Digital Agriculture Market by Application
- 8.2.4.5.2 Spain Digital Agriculture Market by Technology
- 8.2.4.5.3 Spain Digital Agriculture Market by Component
- 8.2.4.6 Netherlands Digital Agriculture Market
- 8.2.4.6.1 Netherlands Digital Agriculture Market by Application
- 8.2.4.6.2 Netherlands Digital Agriculture Market by Technology
- 8.2.4.6.3 Netherlands Digital Agriculture Market by Component
- 8.2.4.7 Rest of Europe Digital Agriculture Market
- 8.2.4.7.1 Rest of Europe Digital Agriculture Market by Application
- 8.2.4.7.2 Rest of Europe Digital Agriculture Market by Technology
- 8.2.4.7.3 Rest of Europe Digital Agriculture Market by Component
- 8.3 Asia Pacific Digital Agriculture Market
- 8.3.1 Asia Pacific Digital Agriculture Market by Application
- 8.3.1.1 Asia Pacific Precision Farming & Farm Management Market by Country
- 8.3.1.2 Asia Pacific Livestock Monitoring Market by Country
- 8.3.1.3 Asia Pacific Supply Chain Management Market by Country
- 8.3.1.4 Asia Pacific Financial Management Market by Country
- 8.3.1.5 Asia Pacific Other Application Market by Country
- 8.3.2 Asia Pacific Digital Agriculture Market by Technology
- 8.3.2.1 Asia Pacific IoT Market by Country
- 8.3.2.2 Asia Pacific Automation Market by Country
- 8.3.2.3 Asia Pacific AI Market by Country
- 8.3.2.4 Asia Pacific Drones Market by Country
- 8.3.2.5 Asia Pacific Other Technology Market by Country
- 8.3.3 Asia Pacific Digital Agriculture Market by Component
- 8.3.3.1 Asia Pacific Hardware Market by Country
- 8.3.3.2 Asia Pacific Software Market by Country
- 8.3.3.3 Asia Pacific Service Market by Country
- 8.3.4 Asia Pacific Digital Agriculture Market by Country
- 8.3.4.1 China Digital Agriculture Market
- 8.3.4.1.1 China Digital Agriculture Market by Application
- 8.3.4.1.2 China Digital Agriculture Market by Technology
- 8.3.4.1.3 China Digital Agriculture Market by Component
- 8.3.4.2 Japan Digital Agriculture Market
- 8.3.4.2.1 Japan Digital Agriculture Market by Application
- 8.3.4.2.2 Japan Digital Agriculture Market by Technology
- 8.3.4.2.3 Japan Digital Agriculture Market by Component
- 8.3.4.3 India Digital Agriculture Market
- 8.3.4.3.1 India Digital Agriculture Market by Application
- 8.3.4.3.2 India Digital Agriculture Market by Technology
- 8.3.4.3.3 India Digital Agriculture Market by Component
- 8.3.4.4 South Korea Digital Agriculture Market
- 8.3.4.4.1 South Korea Digital Agriculture Market by Application
- 8.3.4.4.2 South Korea Digital Agriculture Market by Technology
- 8.3.4.4.3 South Korea Digital Agriculture Market by Component
- 8.3.4.5 Australia Digital Agriculture Market
- 8.3.4.5.1 Australia Digital Agriculture Market by Application
- 8.3.4.5.2 Australia Digital Agriculture Market by Technology
- 8.3.4.5.3 Australia Digital Agriculture Market by Component
- 8.3.4.6 Malaysia Digital Agriculture Market
- 8.3.4.6.1 Malaysia Digital Agriculture Market by Application
- 8.3.4.6.2 Malaysia Digital Agriculture Market by Technology
- 8.3.4.6.3 Malaysia Digital Agriculture Market by Component
- 8.3.4.7 Rest of Asia Pacific Digital Agriculture Market
- 8.3.4.7.1 Rest of Asia Pacific Digital Agriculture Market by Application
- 8.3.4.7.2 Rest of Asia Pacific Digital Agriculture Market by Technology
- 8.3.4.7.3 Rest of Asia Pacific Digital Agriculture Market by Component
- 8.4 LAMEA Digital Agriculture Market
- 8.4.1 LAMEA Digital Agriculture Market by Application
- 8.4.1.1 LAMEA Precision Farming & Farm Management Market by Country
- 8.4.1.2 LAMEA Livestock Monitoring Market by Country
- 8.4.1.3 LAMEA Supply Chain Management Market by Country
- 8.4.1.4 LAMEA Financial Management Market by Country
- 8.4.1.5 LAMEA Other Application Market by Country
- 8.4.2 LAMEA Digital Agriculture Market by Technology
- 8.4.2.1 LAMEA IoT Market by Country
- 8.4.2.2 LAMEA Automation Market by Country
- 8.4.2.3 LAMEA AI Market by Country
- 8.4.2.4 LAMEA Drones Market by Country
- 8.4.2.5 LAMEA Other Technology Market by Country
- 8.4.3 LAMEA Digital Agriculture Market by Component
- 8.4.3.1 LAMEA Hardware Market by Country
- 8.4.3.2 LAMEA Software Market by Country
- 8.4.3.3 LAMEA Service Market by Country
- 8.4.4 LAMEA Digital Agriculture Market by Country
- 8.4.4.1 Brazil Digital Agriculture Market
- 8.4.4.1.1 Brazil Digital Agriculture Market by Application
- 8.4.4.1.2 Brazil Digital Agriculture Market by Technology
- 8.4.4.1.3 Brazil Digital Agriculture Market by Component
- 8.4.4.2 Argentina Digital Agriculture Market
- 8.4.4.2.1 Argentina Digital Agriculture Market by Application
- 8.4.4.2.2 Argentina Digital Agriculture Market by Technology
- 8.4.4.2.3 Argentina Digital Agriculture Market by Component
- 8.4.4.3 UAE Digital Agriculture Market
- 8.4.4.3.1 UAE Digital Agriculture Market by Application
- 8.4.4.3.2 UAE Digital Agriculture Market by Technology
- 8.4.4.3.3 UAE Digital Agriculture Market by Component
- 8.4.4.4 Saudi Arabia Digital Agriculture Market
- 8.4.4.4.1 Saudi Arabia Digital Agriculture Market by Application
- 8.4.4.4.2 Saudi Arabia Digital Agriculture Market by Technology
- 8.4.4.4.3 Saudi Arabia Digital Agriculture Market by Component
- 8.4.4.5 South Africa Digital Agriculture Market
- 8.4.4.5.1 South Africa Digital Agriculture Market by Application
- 8.4.4.5.2 South Africa Digital Agriculture Market by Technology
- 8.4.4.5.3 South Africa Digital Agriculture Market by Component
- 8.4.4.6 Nigeria Digital Agriculture Market
- 8.4.4.6.1 Nigeria Digital Agriculture Market by Application
- 8.4.4.6.2 Nigeria Digital Agriculture Market by Technology
- 8.4.4.6.3 Nigeria Digital Agriculture Market by Component
- 8.4.4.7 Rest of LAMEA Digital Agriculture Market
- 8.4.4.7.1 Rest of LAMEA Digital Agriculture Market by Application
- 8.4.4.7.2 Rest of LAMEA Digital Agriculture Market by Technology
- 8.4.4.7.3 Rest of LAMEA Digital Agriculture Market by Component
Chapter 9. Company Profiles
- 9.1 Microsoft Corporation
- 9.1.1 Company Overview
- 9.1.2 Financial Analysis
- 9.1.3 Segmental and Regional Analysis
- 9.1.4 Research & Development Expenses
- 9.1.5 SWOT Analysis
- 9.2 BASF SE
- 9.2.1 Company Overview
- 9.2.2 Financial Analysis
- 9.2.3 Segmental and Regional Analysis
- 9.2.4 Research & Development Expense
- 9.2.5 Recent strategies and developments:
- 9.2.5.1 Product Launches and Product Expansions:
- 9.2.5.2 Acquisition and Mergers:
- 9.2.6 SWOT Analysis
- 9.3 Indigo Ag, Inc.
- 9.3.1 Company Overview
- 9.3.2 Recent strategies and developments:
- 9.3.2.1 Partnerships, Collaborations, and Agreements:
- 9.4 AGCO Corporation
- 9.4.1 Company Overview
- 9.4.2 Financial Analysis
- 9.4.3 Segmental Analysis
- 9.4.4 Research & Development Expenses
- 9.4.5 Recent strategies and developments:
- 9.4.5.1 Product Launches and Product Expansions:
- 9.4.6 SWOT Analysis
- 9.5 Wipro Limited
- 9.5.1 Company Overview
- 9.5.2 Financial Analysis
- 9.5.3 Segmental and Regional Analysis
- 9.5.4 Research & Development Expenses
- 9.5.5 SWOT Analysis
- 9.6 Yara International ASA
- 9.6.1 Company Overview
- 9.6.2 Financial Analysis
- 9.6.3 Segmental and Regional Analysis
- 9.6.4 Research & Development Expenses
- 9.6.5 SWOT Analysis
- 9.7 Bayer AG
- 9.7.1 Company Overview
- 9.7.2 Financial Analysis
- 9.7.3 Segmental and Regional Analysis
- 9.7.4 Research & Development Expense
- 9.7.5 Recent strategies and developments:
- 9.7.5.1 Product Launches and Product Expansions:
- 9.7.6 SWOT Analysis
- 9.8 IBM Corporation
- 9.8.1 Company Overview
- 9.8.2 Financial Analysis
- 9.8.3 Regional & Segmental Analysis
- 9.8.4 Research & Development Expenses
- 9.8.5 Recent strategies and developments:
- 9.8.5.1 Partnerships, Collaborations, and Agreements:
- 9.8.6 SWOT Analysis
- 9.9 Trimble, Inc.
- 9.9.1 Company Overview
- 9.9.2 Financial Analysis
- 9.9.3 Segmental and Regional Analysis
- 9.9.4 Research & Development Expenses
- 9.9.5 Recent strategies and developments:
- 9.9.5.1 Partnerships, Collaborations, and Agreements:
- 9.9.5.2 Product Launches and Product Expansions:
- 9.9.6 SWOT Analysis
- 9.10. Deere & Company
- 9.10.1 Company Overview
- 9.10.2 Financial Analysis
- 9.10.3 Segmental and Regional Analysis
- 9.10.4 Research & Development Expenses
- 9.10.5 SWOT Analysis
Chapter 10. Winning Imperatives of Digital Agriculture Market