IoT In Farming Market - Global Industry Size, Share, Trends, Opportunity, and Forecast, Segmented By Component (Hardware {Automation and Control Systems, Sensing and Monitoring Devices, RFID tags and readers, Drones, Navigation, Displays, Handheld Computers, LED Grow Lights, Others}, Software {On-Premise, Cloud-Based}, Services {Managed, Professional}), By Application (Precision Farming {Yield Monitoring, Field Mapping, Crop Scouting, Weather Tracking & Forecasting, Variable Rate Technology, Inventory Management, Financial Management, Others}, Smart Greenhouse {Ambient Environmental Monitoring, Yield Monitoring, Water & Nutrient Management}, Livestock Monitoring {Feeding Management, Breeding Management, Others}, Smart Irrigation, Others), By Region and Competition, 2020-2030F

Market Overview

The Global IoT In Farming Market, valued at USD 12.04 Billion in 2024, is projected to experience a CAGR of 8.63% to reach USD 19.78 Billion by 2030. The Internet of Things (IoT) in farming encompasses the integration of interconnected devices, sensors, and software into agricultural operations for real-time monitoring, management, and automation of various processes. This market's growth is primarily supported by the escalating global demand for food, the critical need for enhanced resource optimization including water and fertilizers, and the imperative to improve operational efficiency across agricultural practices. These factors drive the adoption of data-driven decision-making tools and smart devices. According to the 2025 Agricultural Weather Challenges Report from the Association of Equipment Manufacturers (AEM), on-site weather monitoring adoption increased 7% year-over-year in 2024, indicating growing integration of IoT technologies.

Nevertheless, a significant challenge impeding market expansion is the substantial initial capital investment required for IoT technology acquisition and implementation. This considerable upfront cost can represent a notable barrier, particularly for small and medium-sized agricultural enterprises, potentially limiting broader market penetration.

Key Market Drivers

The global IoT in farming market is significantly propelled by the increasing demand for precision agriculture and sustainable practices. Farmers are increasingly adopting IoT solutions to optimize resource utilization, reduce environmental impact, and enhance long-term farm viability. These technologies enable precise monitoring of soil conditions, crop health, and localized weather patterns, facilitating targeted application of water, fertilizers, and pesticides. This data-driven approach minimizes waste, improves yields, and supports eco-friendly farming methods. For instance, according to the U. S. Department of Agriculture Economic Research Service, in December 2024, "America's Farms and Ranches at a Glance", 68% of large-scale crop-producing farms in the United States utilized precision agriculture technologies in 2023, demonstrating a substantial commitment to advanced farming methods. Such integration allows for efficient land management and healthier ecosystems.

Furthermore, the enhancement of operational efficiency and productivity serves as another core driver for market expansion. IoT devices and platforms provide farmers with real-time insights and automation capabilities, streamlining complex agricultural tasks. This reduces labor requirements, optimizes equipment usage, and minimizes operational costs, directly contributing to improved profitability. For example, according to Japan's Ministry of Agriculture, Forestry, and Fisheries, in February 2024, its Smart Agriculture Program improved crop yield predictions by 30% and reduced water usage by 25% in pilot regions. These advancements empower farmers to make informed decisions swiftly, responding effectively to changing field conditions and market demands. The tangible benefits derived from these efficiency gains underscore the strategic importance of IoT in modern agricultural operations. Reflecting this market trajectory, according to AGCO Corporation, in December 2024, the company announced at its Analyst Meeting a target to deliver precision agriculture net sales of $2.0 billion by 2029.

Download Free Sample Report

Key Market Challenges

A significant challenge impeding the expansion of the Global IoT in Farming Market is the substantial initial capital investment required for acquiring and implementing IoT technologies. This considerable upfront cost creates a notable barrier, particularly for small and medium-sized agricultural enterprises that often possess limited capital. Consequently, many farms are unable to adopt advanced IoT solutions, which directly restricts the broader market penetration of these innovations.

This financial hurdle fundamentally hampers widespread market growth. For instance, according to the U. S. Department of Agriculture, in 2023, only 27% of farmers had embraced precision agriculture technologies, including IoT. Such low adoption rates are directly attributable to the high expenditure associated with establishing comprehensive IoT infrastructure, encompassing sensors, devices, connectivity, and data management systems. This limitation prevents a large segment of the agricultural sector from leveraging the benefits of IoT, thereby constraining overall market development.

Key Market Trends

The IoT in farming market is experiencing significant transformation, driven by innovative technological advancements. Two prominent and distinct trends shaping this market are the increasing adoption of AI-Powered Predictive Analytics in Agriculture and the emergence of Blockchain for Agricultural Supply Chain Traceability.

AI-Powered Predictive Analytics in Agriculture represents a pivotal shift towards proactive farm management, moving beyond reactive responses to real-time data. This trend leverages artificial intelligence to analyze vast datasets encompassing weather patterns, soil conditions, crop health, and historical yield data, enabling farmers to forecast potential issues and optimize decision-making for planting, irrigation, fertilization, and pest control. Such analytical capabilities directly contribute to improved resource utilization and enhanced productivity. For instance, according to the American Farm Bureau Federation, approximately 2.4 million farm jobs need to be filled annually, underscoring a significant labor challenge that AI-powered automation and predictive insights can help mitigate. Further emphasizing this strategic direction, AGCO, a major agricultural machinery company, finalized a monumental $2 billion investment in AI and automation in the first half of 2024, signaling a definitive shift towards a technologically advanced and data-driven future for farming. This trend enables cultivators to achieve higher yields with less input, thereby boosting profitability and fostering sustainable practices.

Another crucial trend transforming the Global IoT In Farming Market is the emergence of Blockchain for Agricultural Supply Chain Traceability. This technology offers an immutable and transparent ledger system, recording every transaction and movement of agricultural products from farm to fork. Blockchain addresses critical industry challenges such as food fraud, product recalls, and ensuring consumer trust by providing verifiable information on origin, quality, and ethical sourcing. This enhanced transparency not only builds confidence among consumers but also streamlines supply chain logistics and compliance. In 2024, members of the American Farm Bureau Federation sent 34,000 messages to Congress, demonstrating active engagement on various agricultural policy issues, including those related to supply chain integrity and transparency. Furthermore, Dubai is positioned as a leader in blockchain adoption for agri-food systems, with its agribusinesses effectively minimizing logistics inefficiencies and mislabeling while ensuring real-time monitoring of perishable goods, as reported by Farmonaut in October 2025. This fosters accountability across all stakeholders and promotes more efficient and secure agricultural trade globally.

Segmental Insights

The Software segment is currently the fastest-growing component within the Global IoT in Farming Market, primarily due to its critical function in transforming extensive sensor-generated data into actionable intelligence. This rapid growth stems from software's ability to seamlessly integrate and manage various hardware devices, including environmental and yield monitoring sensors, thereby offering comprehensive control over diverse agricultural processes. Moreover, the incorporation of advanced analytics and artificial intelligence within agricultural software is crucial for optimizing resource allocation, enabling precision farming, and facilitating data-driven decisions that enhance crop productivity and livestock health management. The increasing reliance on cloud-based platforms further solidifies software's pivotal role in enabling remote oversight and automation, consequently boosting operational efficiency and promoting sustainable agricultural practices.

Regional Insights

North America leads the global IoT in farming market due to a combination of supportive governmental policies and robust technological integration within its agricultural sector. The region benefits from proactive government initiatives, including subsidies and grants, that actively encourage the adoption of advanced agricultural technologies and sustainable farming practices. This environment fosters significant investment in agri-tech innovation, facilitating widespread implementation of Internet of Things solutions for precision agriculture. Farmers leverage these technologies, such as advanced sensors and data analytics, to optimize resource use, enhance operational efficiency, and improve overall yield management. Furthermore, the presence of well-established agritech companies and a sophisticated agricultural infrastructure contribute to North America's dominance in driving the evolution of smart farming.

Recent Developments

• In October 2025, Semtech Corporation and Skylo expanded their partnership to introduce an integrated terrestrial and satellite Internet of Things (IoT) solution for global connectivity. This development is significant for the global IoT in farming market, especially in regions with limited cellular coverage. The combined solution aims to provide seamless, end-to-end connectivity from a single provider, enabling consistent data flow from remote agricultural sensors and machinery. This enhanced connectivity supports critical applications such as real-time asset tracking, environmental monitoring, and precision agriculture initiatives, thereby improving operational efficiency and resource management for farmers worldwide.

• In November 2024, Cisgenics, a global provider of intelligent irrigation solutions, launched its new flagship product, CisgenX, at the Irrigation Show in Long Beach, California. This system integrates Internet of Things (IoT) sensors with machine learning capabilities and real-time data analytics to deliver precise water management. CisgenX is designed to optimize water distribution, leading to significant reductions in water and energy costs for agricultural operations and other sectors. The system's adaptability allows its use across diverse environments, including various agricultural settings, promoting healthier plant growth and contributing to long-term sustainability through efficient resource utilization.

• In January 2024, John Deere announced an agreement with SpaceX to utilize its Starlink satellite internet constellation, addressing rural connectivity challenges for farmers. This collaboration aims to provide reliable internet access in remote agricultural areas, which is essential for the effective operation and data transmission of Internet of Things (IoT) devices in modern farming. Improved connectivity enables real-time monitoring of equipment, crops, and livestock, supporting data-driven decision-making and enhancing the efficiency of precision agriculture technologies across vast landscapes where traditional internet infrastructure is often limited.

• In 2024, Bosch BASF Smart Farming and AGCO Corporation began commercializing their Smart Spraying technology on Fendt Rogator sprayers in the Americas and Europe. This collaboration resulted in an innovative solution designed to optimize herbicide use while maintaining effective weed control. The system leverages sophisticated sensoring, automated sensitivity thresholds, and Bosch BASF Smart Farming's weed identification technology, integrated within AGCO's application platform. Farmers are expected to benefit from integrated digital tools that convert application data into actionable insights, improving yields and overall efficiency in their crop management practices.

Key Market Players

• Deere & Company
• Trimble Inc.
• Raven Industries Inc.
• AKVA group
• DeLaval, Inc.
• Topcon Positioning Systems Inc.
• AgJunction Inc.
• Allflex USA, Inc.
• TeeJet Technologies Illinois, Inc.
• Farmers Edge, Inc.

Report Scope:

In this report, the Global IoT In Farming Market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

• IoT In Farming Market, By Component:

o   Hardware

o   Software

o   Services

• IoT In Farming Market, By Application:

o   Precision Farming

o   Smart Greenhouse

o   Livestock Monitoring

o   Smart Irrigation

o   Others

• IoT In Farming Market, By Region:

o   North America

§  United States

§  Canada

§  Mexico

o   Europe

§  France

§  United Kingdom

§  Italy

§  Germany

§  Spain

o   Asia Pacific

§  China

§  India

§  Japan

§  Australia

§  South Korea

o   South America

§  Brazil

§  Argentina

§  Colombia

o   Middle East & Africa

§  South Africa

§  Saudi Arabia

§  UAE

Competitive Landscape

Company Profiles: Detailed analysis of the major companies presents in the Global IoT In Farming Market.

Available Customizations:

Global IoT In Farming Market report with the given market data, TechSci Research offers customizations according to a company's specific needs. The following customization options are available for the report:

Company Information

• Detailed analysis and profiling of additional market players (up to five).

Global IoT In Farming Market is an upcoming report to be released soon. If you wish an early delivery of this report or want to confirm the date of release, please contact us at [email protected]