Americas Precision Farming Software Market - Growth, Trends, COVID-19 Impact, and Forecasts (2022 - 2027)

The Americas precision farming software market is expected to register a CAGR of approximately 17% during the forecast period (2021 - 2026). Current technological advances in data management coupled with a modern and sustainable agriculture environment is majorly driving the market growth in the American region.

Key Highlights

• The American region holds a prominent share in the precision farming software market. The United States is witnessing healthy growth owing to the country's dominance in the adoption of advanced technologies, such as smart agriculture activities. Also, the region is significantly adopting precision technology to boost its sustainable and efficient agriculture sector in America.
• The adoption of precision farming software in the region is boosted by various factors, such as continuous advancements in technology, reduced price of equipment, and the use of social media and online publications that help create awareness. Also, the emerging countries in the American region, such as Argentina and Mexico, are rapidly adopting smart technologies in the agriculture space.
• During the last few decades, there has been a huge shift from traditional agricultural activities to organized agricultural activities to improve agricultural activities through the application of analytics and smart devices, mainly because of the region's focus on enhancing the existing solutions. Moreover, the shortage of farm labor, along with the increasing farm size, is augmenting the need for technology adoption in the farming industry.
• Several regional companies are making strategic collaborations with other companies to enhance their market presence further. For instance, CNH Industrial plans to purchase AgDNA, a farm management information system (FMIS), to jointly enable farmers and agribusinesses to consolidate a wide range of agronomic data streams into a single platform for quicker decision making.

Key Market Trends

Cloud-based Precision Farming Software is Expected to Grow Significantly

• There has been an increasing deployment of cloud-based technology across the industries, which has stimulated the region's adoption rate of modern farming techniques. Hence, cloud-based precision farming software is expected to grow significantly during the forecast period.
• The region is viewing strategic partnerships and collaborations as a lucrative path for cloud-based solution providers to enhance their market presence. For instance, in March 2020, Sony Electronics collaborated with four ag-tech firms to create expanded farming solutions. One such company, Progeny Drone Inc., a Purdue University-affiliated startup, created Plot Phenix software that converts aerial crop photos into useful information for plant breeding, crop modeling, and precision agriculture.
• Due to the global coronavirus outbreak, several farmers and agritech startups are facing challenges. Hence, IBM is providing its weather monitoring tools for free during the strict Covid-19 lockdown. The US-based tech firm is offering a 30-day free trial of its Operations Dashboard, which was developed by its subsidiary, The Weather Company, to assist smallholders and supply chain-focused startups with decision-making.

The United States is Expected to Dominate the Market

• The United States is expected to dominate the precision farming software market in the American region, owing to the massive transformation in the agriculture sector across the country. Certain factors such as rapid digitization and automation, implementation of IoT, growth of connected devices, etc. are seamlessly finding applications in the modern and sustainable farming and agriculture.
• Farming and agriculture are embracing digital transformations in the country over the past few decades, as it is becoming more industrialized and technology-driven. Also, agtech companies across the country are attracting investors from across the world, stimulating the adoption of smart technologies in the agriculture space.
• For instance, IoT America, a US company, deploy IoT solutions across rural America and provide IoT networks for agriculture and towns across the rural US. The company designs, installs, and manages wireless connectivity and value-added solutions for precision agriculture, livestock management, etc.
• Several regional companies are making innovations and developments to create enhanced solutions in the market, thereby capturing a larger share. For instance, in 2019, a precision agriculture intelligence platform, Taranis, launched the industry's first automated crop emergence and stand count solution. The addition of an emergency solution to the company's offerings reflects its vision to become the single-most comprehensive precision agriculture intelligence platform provider.

Competitive Landscape

The competitive landscape of the American precision farming software is expected to gradually move toward fragmentation during the forecast period, owing to the emergence of several market players in the region. Also, the existing market players are making several innovations in the market to boost their market presence. The region is also witnessing significant strategic partnerships and collaborations to boost their solutions and offerings.

• January 2020 - AgWorks LLC and FieldReveal LLC partnered to jointly deliver zone-based variable rate and decision support software to retailers throughout North America. Both AgWorks and FieldReveal are firmly committed to developing software solutions for retailers and growers that lead the way toward an information-based future.
• December 2019 - An agritech analytics company CropX collaborated with FarmAgro, which is involved in the commercialization of agroforestry equipment, based in Costa Rica. The partnership is aimed to help Latin American farmers become more efficient and profitable by offering innovative agritech solutions and precision agriculture tools based on the CropX farm management platform.

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