Geospatial Analytics Market Size, Share, Growth Analysis, By Offering(Solution and Services), By Technology(Remote Sensing and Global Positioning Systems), By Vertical(BFSI and Energy & Utility), By Region - Industry Forecast 2024-2031

Drivers 

Rapid Advancements in IoT 

• Rapid advancements in IoT have brought enormous changes in everyday life, embedding technology in mundane objects and environments. Along with the interconnections of devices, IoT can develop different facets of an intelligent home, efficient pollution control systems, smart cities, and advanced solutions for energy-saving. IoT deployment with smart sensors and GPS trackers can generate highly extensible data, with high accuracy on several parameters such as temperature, humidity, noise, and position. It can also be integrated seamlessly with geospatial analytics to derive more profound insight into complex queries for better decision making and more efficient management of resources and environments. 

Adoption of AI and ML 

• Increase in the adoption of AI and ML is expected to propel the market forward. AI and ML are contributing their share to revolutionizing the geospatial analytics market by enabling higher levels of analysis. That would also enable interpretation of satellite imagery, mapping roads and wetlands as such with changes in those features accurately, all enabled by AI-driven technologies, especially in image recognition. These enable detailed analysis for informed urban planning, environmental monitoring, and resource management. By applying AI and ML, organizations could extract more accurate and valuable insights from location-based data while making better-informed decisions and realizing operational efficiencies across several industries. 

Restraints 

Lack of Standardization Coupled with Shortage of Skilled Workforce to Limit Market Growth 

• Geospatial data analytics has witnessed remarkable growth in the last couple of years. However, the lack of standardization coupled with shortage of skilled workforce is expected to hinder the growth of geospatial analytics market. The lack of standardization in storing geospatial data makes GIS specialists spend most of their time cleaning the data before analysis. There are very loose color conventions of geographic information, and low variety in how the elements are defined on the map, creating standardization issues. Another important factor that is predicted to restrain the growth of the market is the shortage of skilled manpower. In a Geospatial World Annual Readership Survey, approximately 84% of 2,000 industry professionals surveyed admitted that a skill gap existed between what the industry required and the availability of the workforce. 

Security and Privacy Concern 

• Urbanization is an enabler to utilize the software solutions of GIS. Furthermore, there is also an increasing public apprehension about privacy. Government restrictions and regulations related to collecting, storing, disseminating information, and the use of location-based data. Several data privacy acts and laws, such as the General Data Protection Regulation, govern sensitive personal data or information of the users that must be adhered to by the companies while collecting user location data. User location data availability is one of the key limiting factors that will decide whether enterprises will adopt these analytical tools. Concerns about privacy and the high cost of final expenditure on the services could limit market growth.