Artificial Intelligence in Agriculture Market Analysis

Component Segment Analysis

The software segment is predicted to command 54% of the market share during the forecast period, driven by rising demand for AI-based analytics platforms, machine learning algorithms, and data management systems. Software solutions provide the foundation for processing agricultural data, developing predictive analytics, and enabling automated decision-making for different farming applications. Advanced software platforms integrate various data streams, including satellite data, sensor networks, and weather data, to deliver comprehensive end-to-end farm management. For instance, AGCO Corporation integrated artificial intelligence-based weed and crop recognition in November 2023 using a modular design, enabling easy tuning to different farming conditions and crops. The company's sustainability report focused on precision agriculture solutions, providing targeted solutions at each stage of the crop cycle to enable farmers to reduce fertilizers, pesticides, and other inputs while maintaining healthy fields and achieving maximum yields.

Technology Segment Analysis

The Machine Learning & Deep Learning segment is projected to account for a 45% market share owing to the crucial role that strong algorithms play in breaking down complex agriculture data and producing actionable insights. These technologies enable more sophisticated pattern recognition, predictive analysis, and automated decision-making capabilities, transforming traditional farming practices into data-driven operations. Machine learning models learn to improve over time through data processing and feedback loops and continuously offer increasingly accurate recommendations for crop management and resource optimization. Trimble Inc. transformed crop protection with AI and plant-level spraying technology acquired from Paris-based startup Bilberry in October 2023. The technology demonstrates the significant control of machine learning algorithms over optimizing the application of inputs for agriculture, while also enhancing crop protection effectiveness.

Application Segment Analysis

The precision farming area is anticipated to hold a 38% market share by 2035, driven by the widespread application of site-specific crop management methods that optimize resource utilization and returns. Precision agriculture solutions utilize AI technology to translate field variability and provide tailored advice on fertilization, irrigation, and pest management based on precise crop and soil conditions. Microsoft Corporation, in March 2023, emphasized the role of AI in supporting farmers to stay up to speed with sustainable food production by developing their capabilities and intelligence through data and AI, enabling them to make informed decisions that maximize production with minimal resource U.S.ge, such as water and fertilizer. The company's vision is to remove guesswork and replace it with data and AI, recognizing that despite farmers possessing unique knowledge developed over decades or generations, much of the decision-making around whether and where to fertilize still relies on crude estimates.

Our in-depth analysis of the artificial intelligence in agriculture market includes the following segments: