AI market in agriculture is expected to attain a size of $465.6 million by 2023.
The market is expected to witness high growth due to high penetration of internet of things (IoT) in agriculture industry and increasing number of IoT device installations in agriculture. The decreasing price of sensors and increasing adoption of cattle facial recognition are facilitating the market growth. Increasing government support for the development of new farming techniques, and surge in global awareness regarding the benefits of AI in agriculture over the years, are expected to boost the growth of the AI market in agriculture during the forecast period.
Among all solutions, crop monitoring is the largest market throughout the period of analysis, and AI-guided drone will be the fastest growing segment during the forecast period. Hardware based products are growing at higher pace than software in the AI market in agriculture. Due to surge in the adoption of AI based agricultural products, installation is the largest service category throughout the period of analysis. Owing to a rising number of agriculture-based startups in Asia-Pacific, the region is expected to witness the fastest growth during the forecast period.
Geographically, North America is the largest region in the AI market in agriculture with the U.S. alone contributing more than 30% of the revenue to the global market in 2016. The country is also expected to lead the global market during the forecast period. Speech recognition, natural language processing (NLP), and animal facial recognition are some of the applications on which the companies in the U.S. AI industry are focusing.
AI in agriculture industry has been thriving on account of growing need for high volumes of agricultural produce. According to United Nations Food and Agriculture Organization (UNFAO), the world will need to produce nearly 70% more food in 2050 than it did in 2006, to feed the growing population. To meet this emerging demand, agricultural companies and farmers are rapidly turning to the benefits of IoT for crop analytics and greater production capabilities.
The inclusion of IoT sensors in agriculture practices are capable of providing farmers with critical information about rainfall, crop yields, soil nutrition, and pest infestation. Such information is valuable to overall farm production and offers the most precise data to be used for improving farming techniques, thereby boosting the growth of the market. With smart agriculture and precision farming already taking off high, greater use of IoT in farming is propelling the growth of the AI market in agriculture globally.
IBM and Robert Bosch GmbH are the top companies operating in the AI market in agriculture. The other key players in the industry include Intel Corporation, NVIDIA Corporation, Climate Corporation, and Microsoft Inc. There has been an increased number of product launches from these players in the recent past. For instance, in October 2017, Climate Corporation announced the launch of the Climate FieldView digital agriculture platform in western Canada for the 2018 growing season. Through the new launch's analytics-based digital tools, Canadian farmers will now be able to harness their data in one connected platform.
Key Topics Covered:
1. Research Background 1.1 Research Objectives 1.2 Market Definition 1.3 Research Scope 1.4 Key Stakeholders
2. Research Methodology 2.1 Secondary Research 2.2 Primary Research 2.3 Market Size Estimation 2.4 Data Triangulation 2.5 Assumptions for the Study
3. Executive Summary
4. Introduction 4.1 Definition of Market Segments 4.1.1 by Solution 18.104.22.168 Robotics 22.214.171.124 Crop monitoring 126.96.36.199 Automated irrigation 188.8.131.52 AI-Guided drone 184.108.40.206 Others 4.1.2 by Type 220.127.116.11 Product 18.104.22.168.1 Hardware 22.214.171.124.2 Software 126.96.36.199 Service 188.8.131.52.1 Installation 184.108.40.206.2 Training 220.127.116.11.3 Support & maintenance 4.2 Value Chain Analysis 4.3 Market Dynamics 4.3.1 Trends 18.104.22.168 Increasing adoption of robotics in agriculture 22.214.171.124 Rise in adoption of smart sensors and precision agriculture 4.3.2 Drivers 126.96.36.199 High penetration of IOT in agriculture industry 188.8.131.52 Increasing number of IOT device installation in agriculture 184.108.40.206 Decreasing price of sensors 220.127.116.11 Increase in adoption of cattle facial recognition 18.104.22.168 Impact analysis of drivers on market forecast 4.3.3 Restraints 22.214.171.124 High cost of AI solutions and lack of understanding 126.96.36.199 Impact analysis of restraints on market forecast 4.3.4 Opportunities 188.8.131.52 Rise in agriculture related data 184.108.40.206 AI powered chatbots or automated intelligent agents 4.4 Porter's Five Forces Analysis 4.4.1 Bargaining Power of Buyers 4.4.2 Bargaining Power of Suppliers 4.4.3 Threat of New Entrants 4.4.4 Intensity of Rivalry 4.4.5 Threat of Substitutes
5. Global Market Size and Forecast 5.1 by Solution 5.2 by Type 5.2.1 Global AI Product Market in Agriculture, by Type 5.2.2 Global AI Service Market in Agriculture, by Type 5.3 by Region
6. North America Market Size and Forecast 6.1 by Solution 6.2 by Type 6.2.1 AI Product Market in Agriculture, by Type 6.2.2 AI Service Market in Agriculture, by Type 6.3 AI Market in Agriculture by Country
7. Asia-Pacific Market Size and Forecast
8. Europe Market Size and Forecast
9. RoW Market Size and Forecast 9.1 AI Market in Agriculture, by Solution 9.2 AI Market in Agriculture, by Type 9.2.1 AI Product Market in Agriculture, by Type 9.2.2 AI Service Market in Agriculture, by Type 9.3 AI Market in Agriculture, by Country
10. Competitive Landscape 10.1 Competitive Analysis of Key Players 10.2 Global Strategic Developments of Key Players 10.2.1 Product Launch 10.2.2 Partnership 10.2.3 Merger and Acquisition