Geospatial Analytics Market

Advancements in big data analytics is driving the market growth

The rise of big data analytics has been one of the most significant changes for businesses in recent years. 162 zettabytes of digital data will be generated by 2025, according to the International Data Corporation (IDC). Businesses across a wide range of industries are constantly searching for new ways to use a rising amount of data to their advantage. Better decision-making is made possible by big data analytics, saving these organizations time as well as funds.

The rapid use of geospatial technologies by numerous businesses, along with the emergence of new technologies like cloud services, embedded sensors, and social media, have made data mapping and analysis extremely difficult.

However, Numerous industries, including retail, mining, transportation, construction, and urban planning, heavily rely on location-based services. Location-based services that are connected with Geographic Information System (GIS) technology are widely utilized by companies and government organizations for a wide range of applications, including asset tracking, geospatial modeling, and route optimization. For tasks like building condition assessment, space utilization optimization, and route mapping, facility managers, for instance, use GIS technology to support a variety of business processes and information systems. Beyond their traditional applications, GIS and Global Positioning System (GPS) technologies are expanding to incorporate a wide range of consumer-focused, location-based applications.

Geospatial and mapping technology will be among the top 5 technologies, and 78% of respondents, according to a survey by Information and Communications Technology for Development (ICT4D), Catholic Relief Services (CRS), and Devex, believe that the technology will have a progressive impact on the global digital transformation.

Strategic moves by well-known technological companies are anticipated to drive up market competitiveness across all sectors. For instance, in Jan 2020, As a part of GIS technology and OSI's operational technology (OT) platform, Esri, a leader in location technology, has teamed with Open Systems International, Inc. (OSI) to offer utility businesses ArcGIS Utility Network Management. Such efforts by major companies to bring in new clients are anticipated to fuel market expansion in the near future. Geospatial technologies are rapidly developing, and location-based data services in particular are likely to stimulate the global industry.

In addition, it is anticipated that increased use of cloud-based GIS platforms will accelerate market expansion over the coming years. Due to the complexity involved in managing and storing location-based data, businesses now prefer cloud-based geographic information systems in order to save costs, boost productivity, and implement efficient data management processes. Thus driving the geospatial analytics market revenue.

The Global Geospatial Analytics Market Industry is projected to experience substantial growth over the next decade. With a market value of 89.2 USD Billion in 2024, the industry is anticipated to expand significantly, reaching 289.1 USD Billion by 2035. This growth is underpinned by a compound annual growth rate of 11.28% from 2025 to 2035. Various factors, including technological advancements, increasing demand for location-based services, and government investments, are likely to contribute to this upward trajectory. As organizations continue to recognize the value of geospatial analytics, the market is expected to evolve, offering new opportunities and challenges.

Technological advancements play a pivotal role in shaping the Global Geospatial Analytics Market Industry. Innovations in satellite imagery, remote sensing, and Geographic Information Systems (GIS) are enhancing the accuracy and accessibility of geospatial data. For example, the integration of artificial intelligence and machine learning into geospatial analytics allows for more sophisticated data analysis and predictive modeling. These advancements not only improve decision-making processes but also drive efficiency across various industries. As technology continues to evolve, the market is projected to grow significantly, potentially reaching 289.1 USD Billion by 2035.

Government initiatives and investments in geospatial infrastructure are crucial drivers of the Global Geospatial Analytics Market Industry. Many governments are recognizing the importance of geospatial data for effective urban planning, disaster management, and resource allocation. For instance, national mapping agencies are investing in high-resolution satellite imagery and GIS technologies to enhance public services. These initiatives not only improve governmental operations but also stimulate private sector growth in geospatial analytics. As a result, the market is likely to witness a compound annual growth rate of 11.28% from 2025 to 2035, reflecting the increasing reliance on geospatial data.

The rise of smart city initiatives globally is significantly influencing the Global Geospatial Analytics Market Industry. Cities are increasingly adopting geospatial analytics to improve urban infrastructure, enhance public safety, and promote sustainability. For example, cities utilize geospatial data to optimize traffic management systems and monitor environmental conditions. This trend is expected to drive demand for geospatial solutions, as municipalities seek to leverage data for better governance and resource management. The integration of geospatial analytics into smart city frameworks is anticipated to contribute to the market's growth trajectory, aligning with the projected market value of 89.2 USD Billion in 2024.

The Global Geospatial Analytics Market Industry experiences a surge in demand for location-based services across various sectors, including retail, transportation, and urban planning. Businesses are increasingly leveraging geospatial data to enhance customer experiences and optimize operations. For instance, retailers utilize geospatial analytics to identify optimal store locations based on demographic data and consumer behavior. This trend is expected to contribute to the market's growth, with projections indicating a market value of 89.2 USD Billion in 2024. As organizations recognize the value of location intelligence, the Global Geospatial Analytics Market Industry is poised for substantial expansion.

The growing importance of environmental monitoring is a key driver for the Global Geospatial Analytics Market Industry. Organizations and governments are increasingly utilizing geospatial analytics to track environmental changes, assess natural resources, and manage land use. For instance, geospatial data is employed to monitor deforestation, water quality, and climate change impacts. This heightened awareness of environmental issues is driving demand for geospatial solutions that provide actionable insights. As sustainability becomes a priority for various sectors, the market is expected to expand, potentially reaching 289.1 USD Billion by 2035.

By Region, the study provides the market insights into North America, Europe, Asia-Pacific and Rest of the World. The North American geopatial analytics market area will dominate this market, due to the region's extensive presence of major industry companies who provide geospatial analytics software and solutions. One of the key factors fueling the growth of the market in North America is the region's increased adoption of emerging technologies like big data analysis, cloud computing, IoT, AI, and other business intelligence tools.

The abundance of remote sensing satellites, the accessibility of high-speed internet and communication network infrastructure, and the widespread use of UAV technology for gathering geospatial data are all anticipated to further fuel market expansion.

Further, the major countries studied in the market report are The U.S., Canada, German, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.

Figure 3: GLOBAL GEOPATIAL ANALYTICS MARKET SHARE BY REGION 2022 (%)

Source: Secondary Research, Primary Research, Market Research Future Database and Analyst Review

Europe geospatial analytics market accounts for the second-largest market share. The market in this area will benefit from the development of mobile GIS technology, which is anticipated to increase demand for location-based services and real-time information. Further, the German geospatial analytics market held the largest market share, and the UK geospatial analytics market was the fastest growing market in the European region

The Asia-Pacific Geospatial Analytics Market is expected to grow at the fastest CAGR from 2023 to 2032. The number of people living in cities has significantly increased as a result of the region's rising economies, including those of India, China, and Indonesia. This expansion has increased demand for smart cities, smart infrastructure, and well-planned urban landscapes. Leading the way in the development of 5G and IoT infrastructure are China, South Korea, and India. Moreover, China’s geospatial analytics market held the largest market share, and the Indian geospatial analytics market was the fastest growing market in the Asia-Pacific region.

Leading market players are investing heavily in research and development in order to expand their product lines, which will help the geospatial analytics market, grow even more. Market participants are also undertaking a variety of strategic activities to expand their global 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, geospatial analytics industry must offer cost-effective items.

Solution and services provider are investing in technological advancement is one of the key business tactics used by service provider in the global geospatial analytics industry to benefit clients and increase the market sector. In recent years, the geospatial analytics industry has offered some of the most significant advantages. Major players in the geospatial analytics market, including ESRI (U.S.), Hexagon AB (Sweden), Harris Corporation (U.S.) and others, are attempting to increase market demand by investing in research and development operations.

ESRI is a privately held company headquartered in Redlands, California, USA. It was founded in 1969 by Jack and Laura Dangermond and is dedicated to providing innovative GIS (Geographic Information System) solutions that enable its customers to create, manage, analyze, and visualize geospatial data.  ESRI is considered the world leader in GIS technology, with customers in industries ranging from government and defense, natural resources, utilities, transportation, and many others. ESRI's software products are used by millions of people worldwide, and the company has a global network of distributors and partners that help deliver its solutions.

For instance, in Jan. 2021, Esri, a leader in geospatial analytics and location intelligence technology, introduced ArcGIS Platform for analysts and developers who want to incorporate location intelligence services into their business models. Using their preferred web frameworks and APIs, developers may directly use the robust location services provided by Esri with ArcGIS, a geospatial platform as a service (PaaS).

Hexagon AB is a global technology company headquartered in Stockholm, Sweden. It was founded in 1992 and operates in over 50 countries, with approximately 21,000 employees. Hexagon's mission is to create innovative solutions that enable customers to design, measure, and position objects in the physical world. Hexagon has several business areas, including Geospatial, Manufacturing Intelligence, and PPM (Process, Power & Marine). The Geospatial division provides geospatial software solutions for surveying, mapping, and other spatial data applications. The Manufacturing Intelligence division offers products and services for quality control and metrology in manufacturing processes.

The PPM division provides software solutions for the design and construction of industrial plants, offshore facilities, and ships.

For instance, in May 2022, The Oracle Cloud Marketplace now offers Intergraph G/Technology, an advanced geographic information system from Hexagon AB. Running G/Technology on Oracle Cloud Infrastructure accelerated performance, automated scalability, availability, and cybersecurity protection, and simplified initial system implementation. Additionally, it made sure the system was always updated with the newest additions and improvements.