Agriculture IoT Market Size, Share & Trends Analysis Report By Component, By Application, By Farm Size, By Region And Segment Forecasts 2026 – 2035

Agriculture IoT Market Size, Share and Trends 2026 to 2035

According to MarketnReports, the global Agriculture IoT Market size was estimated at USD 17.78 billion in 2025 and is expected to reach USD 43.6 billion by 2035, growing at a CAGR of 9.4% from 2026 to 2035. Agriculture IoT Market is driven by the increasing adoption of advanced technologies to enhance agricultural productivity and efficiency.

What are the Key Insights for Agriculture IoT Market?

• The global Agriculture IoT Market was valued at USD 17.78 billion in 2025 and is projected to reach USD 43.6 billion by 2035.
• The market is expected to grow at a CAGR of 9.4% during the forecast period from 2026 to 2035.
• The market is driven by rising demand for precision farming solutions, technological advancements in sensors and connectivity, and government initiatives promoting sustainable agriculture.
• In the component segment, hardware dominates with a 60% share due to its essential role in data collection through devices like sensors and drones, enabling foundational IoT functionality in real-time monitoring and automation.
• In the application segment, precision farming holds the largest share of 45% because it optimizes resource usage, reduces operational costs, and improves crop yields through data-driven insights, making it critical for addressing food production challenges.
• In the farm size segment, large farms dominate with a 50% share owing to their ability to invest in scalable IoT solutions that deliver measurable ROI through efficiency gains and labor optimization.
• Asia Pacific dominates the regional market with a 44% share, driven by agrarian economies, rapid population growth, and supportive government policies for farm digitization in countries like China and India.

What is the Industry Overview for Agriculture IoT Market?

The Agriculture IoT Market encompasses the integration of Internet of Things (IoT) technologies into agricultural practices to optimize farming operations, improve resource efficiency, and boost overall productivity. This market involves the deployment of connected devices, sensors, and software platforms that enable real-time data collection and analysis for informed decision-making in areas such as crop management, livestock monitoring, and environmental tracking. Market definition refers to the ecosystem of hardware, software, and services that facilitate smart farming by connecting physical agricultural assets to digital networks, allowing farmers to monitor soil conditions, weather patterns, animal health, and equipment performance remotely. This convergence of IoT with agriculture addresses global challenges like food security, sustainability, and resource scarcity by enabling precision techniques that minimize waste and maximize yields. As farming evolves from traditional methods to data-driven approaches, the market supports a shift toward automated and intelligent systems that integrate with AI, big data, and cloud computing to create resilient agricultural value chains.

What are the Market Dynamics in Agriculture IoT Market?

Growth Drivers

The growth drivers in the Agriculture IoT Market are propelled by the urgent need to enhance food production amid a growing global population and diminishing arable land. Advancements in IoT technologies, such as affordable sensors and improved connectivity, enable farmers to gather precise data on soil health, weather conditions, and crop performance, leading to optimized resource allocation and reduced waste. Government subsidies and initiatives worldwide promote the adoption of smart farming practices, particularly in developing regions, to achieve sustainability goals and improve yield efficiency. Integration with AI and machine learning further amplifies these benefits by providing predictive analytics for pest detection and irrigation management, fostering a shift toward proactive farming strategies that minimize environmental impact while maximizing profitability.

Restraints

Restraints in the Agriculture IoT Market primarily stem from high initial implementation costs, which pose significant barriers for small and mid-sized farmers who may lack access to financing or technical expertise. Limited digital infrastructure in rural areas, including unreliable internet connectivity and power supply, hinders the effective deployment of IoT devices, leading to fragmented adoption. Additionally, concerns over data privacy and cybersecurity risks deter widespread use, as farmers worry about sensitive information being compromised without robust regulatory frameworks. The lack of standardized interoperability among devices from different manufacturers also complicates integration, resulting in higher maintenance costs and reduced efficiency for end-users.

Opportunities

Opportunities in the Agriculture IoT Market arise from the expanding integration of emerging technologies like 5G and edge computing, which promise faster data transmission and real-time processing for remote farming operations. Emerging markets in Asia and Africa offer untapped potential due to increasing smartphone penetration and government-backed digitization programs, allowing for scalable solutions tailored to local needs. The rising focus on sustainable practices opens avenues for IoT applications in carbon footprint tracking and eco-friendly resource management, attracting investments from environmentally conscious stakeholders. Partnerships between tech firms and agricultural cooperatives can drive innovation in customized solutions, such as AI-enhanced livestock monitoring, to address specific challenges like disease prevention and supply chain transparency.

Challenges

Challenges in the Agriculture IoT Market include the skills gap among farmers, who often require training to effectively utilize complex IoT systems, leading to underutilization and suboptimal outcomes. Environmental factors, such as harsh weather conditions, can damage devices and disrupt connectivity, affecting reliability in outdoor settings. Regulatory hurdles related to data ownership and cross-border standards vary by region, creating compliance complexities for global players. Moreover, the rapid pace of technological evolution demands continuous updates, straining resources for both providers and users in maintaining compatible and secure systems.

Agriculture IoT Market: Report Scope

Report Attributes	Report Details
Report Name	Agriculture IoT Market
Market Size 2025	USD 17.78 Billion
Market Forecast 2035	USD 43.6 Billion
Growth Rate	CAGR of 9.4%
Report Pages	220
Key Companies Covered	Deere & Company, Trimble Inc., AGCO Corporation, and Others.
Segments Covered	By Component, By Application, By Farm Size, and By Region.
Regions Covered	North America, Europe, Asia Pacific (APAC), Latin America, and The Middle East and Africa (MEA)
Base Year	2025
Historical Year	2020 - 2024
Forecast Year	2026 - 2035
Customization Scope	Avail customized purchase options to meet your exact research needs.

What is the Market Segmentation for Agriculture IoT Market?

The Agriculture IoT Market is segmented by component, application, farm size, and region.

By Component Segment, the market is divided into hardware, software, and connectivity & services. Hardware emerges as the most dominant segment, followed by software as the second most dominant. Hardware's dominance stems from its critical function as the backbone of IoT systems, providing essential devices like sensors and drones for real-time data acquisition, which is fundamental to enabling precision agriculture and operational efficiency; this drives the market by facilitating scalable deployments that reduce manual intervention and enhance decision-making accuracy, ultimately contributing to higher yields and cost savings across farming operations.

By Application Segment, the market includes precision farming, precision livestock, precision aquaculture, precision forestry, smart greenhouses, and others. Precision farming is the most dominant, with precision livestock as the second most dominant. Precision farming leads due to its comprehensive approach in optimizing crop management through data analytics on soil, weather, and growth patterns, addressing key issues like resource scarcity and yield maximization; it propels market growth by integrating IoT with AI for predictive insights, reducing waste, and supporting sustainable practices that align with global food security demands.

By Farm Size Segment, the market covers small farms, mid-sized farms, large farms, and others. Large farms are the most dominant, followed by mid-sized farms as the second most dominant. Large farms dominate because their scale allows for substantial investments in IoT infrastructure, yielding high ROI through automation and data-driven efficiencies that manage vast operations effectively; this segment drives the market by demonstrating proven benefits in productivity gains and labor optimization, encouraging broader adoption and innovation in tailored solutions for extensive agricultural enterprises.

What are the Recent Developments in Agriculture IoT Market?

• In June 2025, Deere & Company launched the F8 and F9 Series forage harvesters, featuring powerful engines and precision agriculture integration with the StarFire 7500 receiver, aimed at improving forage quality and automation for enhanced operator comfort and efficiency.
• In June 2025, Professor Jayashankar Telangana Agricultural University established the Agri Robotics IoT Solutions for Agriculture Lab in partnership with BITS Pilani and IIT Hyderabad, funded at Rs 12 crore to advance IoT applications in farming.
• In May 2025, Deere & Company acquired Sentera, incorporating high-resolution drone imagery and analytics software into its John Deere Operations Center to bolster precision agriculture capabilities.
• In February 2025, Thailand introduced the "HandySense B-Farm" smart farming platform, utilizing sensors, AI, and IoT to optimize farm management and boost operational efficiency.
• In June 2025, Kubota Corporation partnered with Agtonomy to develop smart solutions for specialty crops, focusing on data platforms and automation systems.

What is the Regional Analysis for Agriculture IoT Market?

Asia Pacific to dominate the global market

Asia Pacific holds the largest market share, driven by its agrarian economies and rapid adoption of IoT for food security amid population growth. Dominating countries like China and India lead due to government subsidies for smart irrigation and sensors, enabling small and mid-sized farms to enhance yields through data analytics and resource optimization, supported by increasing smartphone usage and policy initiatives for sustainable farming.

North America exhibits strong growth, fueled by advanced technological infrastructure and emphasis on precision farming. The United States dominates this region, with widespread use of drones and automation systems in large-scale operations, promoting efficiency and compliance with environmental regulations through real-time monitoring and AI integration.

Europe focuses on sustainable and regulated agricultural practices, with significant investments in IoT for livestock and crop management. Germany stands out as the dominating country, benefiting from funding in smart technologies and EU policies that encourage digitization for reduced emissions and improved traceability in supply chains.

Latin America shows moderate expansion, leveraging IoT for export-oriented agriculture amid arable land availability. Brazil is the dominating country, utilizing sensors and connectivity for precision techniques in soybean and coffee production, addressing climate challenges and boosting productivity through government-backed digital initiatives.

The Middle East and Africa (MEA) region experiences gradual adoption, driven by the need to combat water scarcity and enhance food self-sufficiency. South Africa dominates, employing IoT in vineyard and crop monitoring to optimize irrigation and pest control, supported by investments in connectivity infrastructure for rural areas.

What are the Key Market Players and Strategies in Agriculture IoT Market?

Deere & Company focuses on innovation through product launches and acquisitions, such as the F8/F9 forage harvesters and Sentera purchase in 2025, to integrate advanced precision tools and expand its Operations Center for comprehensive farm management solutions.

Trimble Inc. emphasizes connectivity and navigation technologies, partnering with agricultural entities to develop variable rate applications and guidance systems that enhance accuracy in field operations and resource usage.

AGCO Corporation pursues sustainability strategies via smart machinery integrations, including IoT-enabled tractors and harvesters, to support data-driven decisions that reduce environmental impact and improve farm profitability.

Raven Industries, Inc. specializes in automation and control systems, investing in R&D for sensors and software that enable real-time monitoring, with a focus on expanding into emerging markets through strategic alliances.

Farmers Edge Inc. adopts a data analytics approach, offering cloud-based platforms for predictive insights on crop health and yield, collaborating with farmers to customize IoT solutions for optimized input management.

CropX, Inc. concentrates on soil sensing technologies, using AI-integrated sensors to provide irrigation recommendations, aiming to minimize water usage and drive adoption in water-scarce regions through user-friendly apps.

The Climate Corporation leverages weather data and AI for risk management, developing insurance-linked IoT tools that help farmers mitigate climate uncertainties and enhance resilience.

AgJunction Inc. focuses on precision steering and guidance, enhancing GPS technologies for autonomous equipment to reduce overlaps and fuel consumption in large-scale farming.

Topcon Positioning Systems, Inc. invests in optical and positioning solutions, integrating IoT with surveying tools for accurate field mapping and variable rate applications.

DICKEY-john prioritizes monitoring devices for planting and harvesting, innovating in seed and fertilizer sensors to ensure precise application and support efficient operations.

What are the Market Trends in Agriculture IoT Market?

• Integration of AI and machine learning with IoT for predictive analytics in crop health and yield forecasting.
• Adoption of edge computing and 5G for faster real-time data processing in remote farm locations.
• Rise of autonomous robotics and drones for tasks like planting, spraying, and monitoring.
• Focus on sustainability through IoT-enabled carbon tracking and resource optimization.
• Expansion of blockchain for supply chain transparency and traceability in agricultural products.
• Growth in smart irrigation systems using sensors to reduce water wastage.
• Increasing use of satellite imagery combined with IoT for hyper-localized farm insights.
• Emphasis on data interoperability standards to facilitate seamless device integration.
• Development of Agri-TaaS (Technology-as-a-Service) models for affordable access to IoT tools.
• Incorporation of nanotechnology in sensors for enhanced precision in pest detection.

What are the Market Segments and their Subsegments Covered in the Report for Agriculture IoT Market?

By Component

• Hardware
• Software
• Connectivity & Services

By Application

• Precision Aquaculture
• Precision Farming
• Smart Greenhouses
• Precision Livestock
• Precision Forestry
• Others

By Farm Size

• Small Farms
• Mid-Sized Farms
• Large Farms
• Others

By Region

• North America
  • U.S.
  • Canada
• Europe
  • UK
  • Germany
  • France
  • Rest of Europe
• Asia Pacific
  • China
  • India
  • Japan
  • Rest of Asia Pacific
• Latin America
  • Brazil
  • Mexico
  • Rest of Latin America
• Middle East & Africa
  • UAE
  • South Africa
  • Rest of Middle East & Africa