5G Smart Farming Market Size was valued at USD 15.5 Billion in 2022. The 5G Smart Farming Market industry is projected to grow from USD 18.2 Billion in 2023 to USD 66.17 Billion by 2032, exhibiting a compound annual growth rate (CAGR) of 17.50% during the forecast period (2023 - 2032). Factors like the availability of technology, modernized farm management, automation of activities, and the increasing adoption of IoT technologies are expected to be significant market drivers for the 5G Smart Farming Market.
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
Market CAGR for 5G Smart Farming is being driven by the Improving Accuracy and Efficiency of Remote Sensing as well as government efforts to modernize infrastructure. The implementation of 5G-enabled technology is poised to revolutionize the agricultural sector by facilitating precision agriculture, optimizing the utilization of crops and livestock resources, and achieving cost efficiency through automation, data analytics, remote sensing, and disruptive innovations. 5G's accelerated data transfer capabilities enable centralized machine control and real-time data transmission, enhancing plant lifespan and overall yield. Additionally, 5G is expected to significantly impact remote sensing, where agricultural machines and drones assess field and crop conditions, utilizing high-resolution image data efficiently. The high-speed data transmission of 5G allows for quick collection and analysis of field images, enabling rapid evaluation of crop growth and improving fertilizer distribution by prioritizing areas with suboptimal growth.
Key industry players, including corporate firms, government organizations, and various stakeholders, are actively supporting the growth of the 5G Smart Farming Market. Notably, Microsoft introduced the Agricultural Connectivity Platform (ACP) in 2020, leveraging 5G technology to connect farmers to the cloud, facilitating remote data management of machinery-generated data. John Deere has recently unveiled a new line of 5G-powered tractors compatible with its existing farm monitoring systems. Additionally, Apple Inc. is exploring 5G-enabled agriculture use cases for its iPhones, showcasing the widespread industry recognition and adoption of 5G technology in the agricultural landscape. As a result, it is anticipated that throughout the projection period, demand for the 5G Smart Farming Market will increase due to the Improving Accuracy and Efficiency of Remote Sensing as well as government efforts to modernize infrastructure. Thus, driving the 5G Smart Farming Market revenue.
The 5G Smart Farming Market segmentation, based on components includes Hardware, Software, and Services. The services segment dominated the market, accounting for 58% of market revenue (8.9 Billion). As 5G technology advances, farmers may actively secomponentsek expert consultancy to strategically harness its potential for their specific crops and agricultural practices. Consulting services offer valuable insights into the latest technological advancements, regulatory compliance considerations, and optimal strategies for leveraging 5G in agriculture.
Figure 1: 5G Smart Farming Market, by Component, 2022 & 2032 (USD Billion)
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
The 5G Smart Farming Market segmentation, based on Application includes Precision Farming, Irrigation and Water Management, Plant Health, Soil Moisture, Water Supply Control, and Smart Greenhouse. The irrigation and water management segment dominated the market, accounting for 58% of market revenue (8.9 Billion). In large-scale agricultural operations, the remote monitoring and control capabilities provided by 5G connectivity offer substantial benefits. Particularly advantageous where manual oversight is challenging, this technology enables farmers to remotely adjust irrigation parameters based on real-time data. This capability not only contributes to water conservation but also enhances overall crop yields through optimized and responsive irrigation management.
The 5G Smart Farming Market segmentation, based on Farm Size includes Large Farms, and Small & Medium Farms. The small & medium farms segment dominated the market, accounting for 60% of market revenue (8.9 Billion). The precision agriculture capabilities afforded by 5G present substantial benefits for small and medium-sized farms. Real-time monitoring and control features enable precise allocation of resources, including water, fertilizers, and pesticides. This results in heightened efficiency in resource utilization and overall farm management. Moreover, the data analytics capabilities inherent in 5G empower farmers to make informed decisions. Real-time data on weather conditions, soil health, and crop status can be scrutinized for optimized planting schedules, irrigation practices, and harvest timing. This data-driven methodology enhances productivity while mitigating the risk of resource wastage.
By region, the study provides market insights into North America, Europe, Asia-Pacific, and the Rest of the World. The anticipated expansion of the 5G Smart Farming market in North America can be attributed to several key factors. Government initiatives and backing aimed at modernizing agriculture have the potential to fuel the expansion of the 5G Smart Farming market. Incentives, subsidies, and regulatory frameworks designed to promote the uptake of advanced technologies may play a significant role in fostering market growth in North America. As an illustration, in May 2022, the Canadian government disclosed an investment of USD 441,917.5 to advance the development of an integrated system for precision fruit tree farming. This investment was also directed at acquiring sustainable solutions to address emerging challenges in Canada's apple industry.
Further, the major countries studied in the market report are the US, Canada, Germany, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.
Figure 2: 5G SMART FARMING MARKET SHARE BY REGION 2022 (USD Billion)
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
Europe's 5G Smart Farming Market accounts for the second-largest market share as Government backing and favorable policies play a crucial role in shaping the trajectory of the 5G Smart Farming market. Under Horizon 2020, an allocation exceeding €200 million was earmarked for Research and Innovation (R&I) dedicated to advancing digital technologies in agriculture. Notably, substantial investments were directed toward robotics and the Internet of Things (IoT)/digital platforms. In the realm of robotics, over €75 million was committed to support the establishment of a Robotics Digital Innovation Hub (DIH), the implementation of three large-scale pilots, and additional R&I projects. Agriculture stands as a key priority within the robotics program of Horizon 2020, recognized as the world's largest civil funding initiative for robotics. Various European countries may also feature subsidies, incentives, and regulatory frameworks geared toward fostering the widespread adoption of advanced agricultural technologies. Further, the German 5G Smart Farming Market held the largest market share, and the UK 5G Smart Farming Market was the fastest-growing market in the European region
The Asia-Pacific 5G Smart Farming Market is expected to grow at the fastest CAGR from 2023 to 2032. Several nations in the Asia-Pacific region are recognized for their swift integration of emerging technologies. In 2022, the Government of India outlined plans to introduce Kisan Drones, focusing on crop assessment, land records digitization, and the application of insecticides and nutrients. According to data from IBEF, India's agricultural and processed food product exports achieved a noteworthy growth, reaching USD 9,598 million in FY23 (April-July 2022), marking a substantial 30% year-on-year increase. Notably, both governmental bodies and enterprises in these countries are progressively channeling investments into agricultural technology and innovation, fostering an environment conducive to the flourishing expansion of the 5G Smart Farming market. Moreover, China’s 5G Smart Farming Market held the largest market share, and the Indian 5G Smart Farming Market was the fastest-growing market in the Asia-Pacific region.
Leading market players are investing heavily in research and development to expand their product lines, which will help the 5G Smart Farming market, grow even more. Market participants are also undertaking a variety of strategic activities to expand their footprint, with important market developments including new product launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. To expand and survive in a more competitive and rising market climate, the 5G Smart Farming industry must offer cost-effective items.
Manufacturing locally to minimize operational costs is one of the key business tactics used by manufacturers in the 5G Smart Farming industry to benefit clients and increase the market sector. In recent years, the 5G Smart Farming industry has offered some of the most significant advantages to the agricultural sector. Major players in the 5G Smart Farming Market, including Huawei, Dronetech, Ericsson, John Deere, Indigo Ag, LumiGrow, Raven Industries, DroneDeploy, and Vodacom are attempting to increase market demand by investing in research and development operations.
Huawei, a subsidiary of Huawei Investment & Holding Co Ltd, is a prominent provider of information and communication technology (ICT) infrastructure and smart devices. The company boasts a diverse product portfolio encompassing laptops, tablets, routers, wearables, headphones, enterprise wireless products, optical transmission and access products, networking products, and cloud and computing solutions. Huawei also delivers services and software tailored for carrier networks and smart services for enterprises. Its clientele spans various industries, including education, finance, healthcare, internet services, manufacturing, oil and gas, public safety, retail, smart city, smart grid, and transportation. Huawei has established a business presence, with operations spanning the Americas, Africa, Europe, and the Asia-Pacific region. Headquartered in Shenzhen, Guangdong, China, Huawei is recognized for its comprehensive offerings. In a strategic collaboration, China Mobile Zibo has partnered with Huawei to implement the inaugural 5G site at the Hefeng Unmanned Farm in Linzi District of Zibo. Spanning approximately 33 hectares, the farm is a collaborative initiative led by Professor Lan Yubin of Shandong University of Technology and Zibo Hefeng Seed, a seed production company.
Deere & Co, commonly known as John Deere, is a leading provider of advanced products and services, specializing in the manufacturing and distribution of agricultural, construction, and forestry equipment, along with related service parts. The company's comprehensive product portfolio encompasses agriculture and turf equipment, outdoor power products, and machinery used in construction, earthmoving, material handling, and timber harvesting. In addition to its equipment offerings, Deere & Co. provides financing solutions for sales and leases, including wholesale financing and extended equipment warranties. The company owns and operates manufacturing facilities, administrative offices, and research centers ly, supporting its widespread business operations. With a robust presence in North America, Africa, Asia-Pacific, the Middle East, and Europe, Deere & Co. strategically markets its products through an extensive network of dealers and distributors. Headquartered in Moline, Illinois, the United States, the company is recognized for its commitment to delivering cutting-edge solutions in the realms of agriculture, construction, and forestry.
Huawei
Drone tech
Ericsson
John Deere
Indigo Ag
LumiGrow
Raven Industries
DroneDeploy
Vodacom
February 2022: In February 2022, Sway AI, a developer specializing in AI technology and services, announced its collaboration with Trilogy Networks to join the Rural Cloud Initiative (RCI). This unique coalition comprises network and edge innovation partners committed to facilitating and accelerating the digital transformation of rural America. The collaboration aimed to provide farmers with a comprehensive AI-enabled precision agricultural solution.
December 2021: In December 2021, DJI introduced its latest AGRAS T20 drone as part of its crop protection series for agriculture. This advanced drone is capable of carrying a maximum payload of 20 kg and boasts a 20% improvement in spray uniformity, covering an approximate distance of seven meters.
Hardware
Software
Services
Precision Farming
Irrigation and Water Management
Plant Health
Soil Moisture
Water Supply Control
Smart Greenhouse
Large Farms
Small & Medium Farms
US
Canada
Germany
France
UK
Italy
Spain
Rest of Europe
China
Japan
India
Australia
South Korea
Australia
Rest of Asia-Pacific
Middle East
Africa
Latin America
| Report Attribute/Metric | Details |
| Market Size 2022 | USD 15.5 Billion |
| Market Size 2023 | USD 18.2 Billion |
| Market Size 2032 | USD 66.17 Billion |
| Compound Annual Growth Rate (CAGR) | 17.50% (2023-2032) |
| Base Year | 2022 |
| Market Forecast Period | 2023-2032 |
| Historical Data | 2018- 2022 |
| Market Forecast Units | Value (USD Billion) |
| Report Coverage | Revenue Forecast, Market Competitive Landscape, Growth Factors, and Trends |
| Segments Covered | Component, application, farm size, and Region |
| Geographies Covered | North America, Europe, Asia Pacific, and the Rest of the World |
| Countries Covered | The US, Canada, Germany, France, UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil |
| Key Companies Profiled | Huawei, Dronetech, Ericsson, John Deere, Indigo Ag, LumiGrow, Raven Industries, DroneDeploy, and Vodacom |
| Key Market Opportunities | Acceleration in Digital Transformation |
| Key Market Dynamics | The increased demand for modern farm equipment |
Frequently Asked Questions (FAQ) :
The 5G Smart Farming Market size was valued at USD 15.5 Billion in 2022.
The 5G Smart Farming Market is projected to grow at a CAGR of 17.50% during the forecast period, 2023-2032.
North America had the largest share of the market
The key players in the market are Huawei, Dronetech, Ericsson, John Deere, Indigo Ag, LumiGrow, Raven Industries, DroneDeploy, and Vodacom
The Service segment dominated the market in 2022.
The Irrigation and Water Management segment had the largest share in the market.
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