Digital agriculture market set to reach $68.42 billion by 2035

The digital agriculture market is projected to rise from $26.15 billion in 2025 to $68.42 billion by 2035, driven by faster adoption of AI, IoT, drones and farm analytics. The forecast points to deeper automation in farming as producers face rising food demand, climate volatility and labor and resource pressures. Why it matters: - Digital farming tools are moving agriculture from manual decision-making to real-time, data-driven operations. - The shift matters for productivity, water use, crop yields and sustainability as farms face rising demand and tighter resource constraints. - Growth in smart agriculture also creates room for software, hardware and services vendors across the farm economy. What happened: - The digital agriculture market reached $26.15 billion in 2025. - The market is forecast to start at $28.94 billion in 2026 and climb to $68.42 billion by 2035. - The projected compound annual growth rate is 11.28% from 2026 to 2035. - The report was released June 18, 2026 by Market Research Future. - A sample report is available here . - The full report is available here . The details: - Precision farming, IoT and sensors, AI and machine learning, big data analytics and blockchain are the key technology segments. - Yield monitoring, irrigation management, soil monitoring, crop scouting and weather tracking are the main application areas. - Hardware, software and services make up the core component categories. - Farmers, agribusiness companies, agricultural cooperatives and government organizations are the main end users. - North America currently dominates the market because of advanced farming technology adoption and a strong presence of major vendors. - The United States leads in AI-driven agriculture systems and large-scale farm automation. - Europe is a major market, supported by environmental rules and public backing for sustainable agriculture. - Germany, France and the Netherlands are leading adopters in Europe. - Asia-Pacific is expected to post the fastest growth during the forecast period. - India and China are key growth markets in Asia-Pacific. - Latin America and the Middle East & Africa are emerging markets with strong potential in large-scale and export-oriented farming. - The report identifies Deere & Company, Trimble Inc., Bayer AG (Climate Corporation), AGCO Corporation, Corteva Agriscience, IBM Corporation (IBM Watson Agriculture Solutions), Raven Industries Inc., Syngenta AG, Topcon Positioning Systems and Oracle Corporation (Agriculture Cloud Solutions) among the leading companies. - These companies are investing in smart irrigation, autonomous tractors, drone-based crop monitoring and predictive analytics. Between the lines: - The market’s growth is being driven by a basic mismatch: food demand is rising while arable land, weather stability and farm labor are under pressure. - Falling costs for IoT devices and cloud platforms are widening access beyond large commercial operations. - AI and machine learning are becoming the differentiator because they turn raw field data into recommendations for planting, irrigation, pest control and yield forecasting. - Rural connectivity remains a bottleneck, which means adoption will likely vary sharply by region and farm size. - High upfront costs and weak digital literacy could slow uptake even where the technology is available. - Data privacy, cybersecurity and interoperability are becoming more important as farms connect more equipment and platforms. What’s next: - AI-powered farm advisory platforms are likely to expand as farmers seek more personalized recommendations based on soil, weather and crop conditions. - Faster 5G deployment could improve real-time data transfer and rural automation. - Blockchain-based traceability tools may gain traction in agricultural supply chains. - Autonomous equipment such as self-driving tractors and robotic harvesters is expected to open new revenue streams. - Carbon farming and sustainability programs could increase demand for digital monitoring tools that track environmental impact and carbon credits. The bottom line: - Digital agriculture is shifting from a niche technology play to a core operating layer for modern farming, and the next decade of growth will likely depend on whether the industry can solve connectivity, cost and adoption barriers.