The global geographic information system (GIS) market size is anticipated to witness consistent growth. This growth is attributed mainly to the rising use of location-based services across the industrial landscape.
Organizations across myriad industries are becoming increasingly dependent on geographical information, in order to make sound decisions pertaining to resource allocations, market segment targeting, distribution network planning and emergency responses, among others.
GIS technology is used predominantly for storage, management and analysis of data referenced spatially to the Earth. It is essentially a geographic method of spatial data analysis, designed to connect data with comprehensive information and enable enterprises to study maps and unveil hidden geographical patterns more easily.
Geospatial technology is establishing itself as an essential tool for organizations to collate different maps and remote sensing data and generate location-specific business models. The real estate sector, for instance, benefits greatly from GIS platforms, which can give potential homebuyers gain deeper insight into the area they are interested in. since these platforms involve several map layers, users can access details like distances to and from various amenities, school districts, and other area-specific information.
Based on a Global Market Insights, Inc. report, the geographic information system (GIS) market size is poised to exceed $9 billion by 2024.
The four major trends the market is going to witness are as follows:
Trend 1: Widespread applicability and advancements in location-based technologies
Location-based services are used extensively across a wide range of applications, including disaster management, mining, transportation, construction and urban planning, among others. For example, GIS technology is used extensively by facility managers to support a range of business processes and information systems for functions like building condition assessment, space use optimization and route mapping.
Rapid progress in geospatial technologies, including location-based data services, is anticipated to add impetus to geographic information system (GIS) industry dynamics over the estimated timeline. Moreover, the mounting use of cloud-based GIS platform is likely to further boost market growth in the years ahead. Cloud-based geographic information systems have gained traction among organizations mainly due to the complexities associated with the storage and management of location-based data, in order to achieve cost reduction, better productivity and efficient data management.
Trend 2: Penetration of GNSS systems in precision applications
With regards to component, the geographic information system (GIS) market from the GNSS (Global Navigation Satellite System) antenna segment is projected to depict a commendable 10% CAGR through 2024. This is attributed largely to the novel frequencies and signals emerging in modern GNSS platforms, which will position the products as crucial components in GNSS receiver functioning.
Professionals in the GIS sector are growing more accustomed to using handheld and geodetic receiver antennas in fixed-site and high-precision applications which require great positional accuracy. The penetration of GNSS technology in applications such as precision agriculture, construction, surveying, and marine, therefore is anticipated to augment GIS market trends over the coming years.
Trend 3: Strategic initiatives by prominent GIS industry players
The competitive landscape of the GIS industry is characterized by the emergence of numerous innovations in geospatial technology. Furthermore, strategic initiatives such as partnerships and product development are also likely to intensify competition in the overall business landscape.
To illustrate, U.S-based GIS & GPS software firm TerraGo inked a collaboration with CompassTools in January 2017, in order to provide advanced solutions for GPS & GIS data collection. The deal involved the deployment of TerraGo’s mobile data collection platform facilitated by CompassTools, featuring integrated support for software and hardware platforms such as Esri and Trimble.
Likewise, in 2020, Esri entered into a strategic partnership with OSI (Open Systems International, Inc.), to combine the benefits of both ArcGIS Utility Network Management by Esri and the monarch OT (operational technology) platform by OSI in order to deliver sophisticated real-time monitoring and GIS capabilities to various utilities.
Trend 4: Burgeoning development of sophisticated sat-nav technologies in North America
On the regional front, the North America geographic information system (GIS) market is anticipated to hold more than 35% market share by 2024. This growth is ascribed mainly to the rapid growth of geospatial technology, including the introduction of novel satellite navigation systems.
A notable example of this is NASA’s launch of next-gen weather satellites for NOAA (National Oceanic and Atmospheric Administration) in 2018. This development was initiated in an effort to enhance the accuracy of the GOES-S (Geostationary Operational Environmental Satellite-S) of NOAA, which provides detailed information regarding lighting, coastal fog, wildfires, storm systems and other hazards affecting the western U.S region.
In addition to these advancements, the presence of major entities such as Autodesk and Esri is also anticipated to stimulate GIS market trends over the estimated timeline.
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