Geographic Information System (GIS) Market: Growth, Segments and Outlook to 2031

The Geographic Information System (GIS) Market is experiencing rapid expansion driven by the increasing integration of spatial data into core business operations, urban planning, disaster management, and infrastructure development.

According to The Insight Partners, The geographic information system (GIS) market size is expected to reach US$ 19.30 billion by 2031 from US$ 10.27 billion in 2023. The market is estimated to record a CAGR of 8.2% from 2023 to 2031. The launch of AI, Gen AI, and augmented reality-based GIS solutions is likely to bring new trends to the market in the coming years

Key Growth Drivers

Forecasting and managing natural disasters

Disaster forecasting is one of the strongest demand drivers. GIS supplies the spatial data, imagery and analysis needed to predict storms, hurricanes and heavy rainfall and to limit their impact. The report cites USAFacts figures showing more than 65,000 natural disasters recorded each year in the United States. Between 1980 and 2023, the country sustained over 400 weather and climate-related disasters, with total damage above US$ 2.78 trillion. In November 2024 alone, about 24 confirmed weather-related events each caused more than US$ 1 billion in losses.

Real-time location services in logistics, transportation and infrastructure

Logistics and transportation form the largest end-user segment. The report notes that the global logistics industry was worth roughly US$ 9.4 trillion in 2023 and is expected to reach US$ 9.9 trillion in 2024, a growth rate of 5.3%. GIS supports live traffic monitoring and real-time vehicle tracking by showing the exact position of monitored vehicles on a map. It is also widely used to plan new railways, roadways and other transport routes.

Smart city development

The report also names rapid growth in smart city projects as a driver. In the United States and Canada, smart city programs depend on GIS to manage utilities, traffic systems and public services. Smart grid investment strengthens the case further. In September 2022, the US Department of Energy committed US$ 10.5 billion to smart grid and related upgrades. Natural Resources Canada renewed its Smart Grid Program in 2023. GIS supports these grids through better monitoring, accurate modeling, data integration and strategic planning.

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Emerging Opportunity: Precision Agriculture

Agriculture is highlighted as a major opportunity. Farmers use GIS to map field data and to monitor and analyze crops remotely. Combined with GPS, it can capture real-time information such as crop yield and water requirements. It also helps farmers analyze crop varieties, field boundaries, elevation and irrigation systems, and use resources more efficiently.

Vendors are responding with new products:

Ecopia AI launched agricultural land use data in July 2024, built on vector data extending its 3D Nationwide Land dataset. The layers help government agencies analyze land development, water usage, runoff and tax assessment.
Agribazaar introduced an AI-based GIS Command Centre in March 2024 for farmers in Uttar Pradesh, India. It visualizes agricultural data for 57,000 Gram Panchayats across 75 districts.
CHC Navigation launched MapCloud in May 2024. It is a GIS solution for data capture and mapping on Android devices, aimed at engineers, surveyors, farmers and GIS professionals.

Segment Analysis

By component: Software led in 2023 with a 50.7% share. Within software, desktop GIS was the largest sub-segment at 54.4%. Within hardware, LIDAR is expected to grow fastest, at a CAGR of 8.2%.

By function: Mapping was the dominant function in 2023. Telematics and navigation is forecast to be the fastest-growing, at a CAGR of 10.3%. This reflects rising demand for connected vehicles, fleet management and live routing.

By end user: Transportation and logistics held the largest share in 2023, at 23.2%. Agriculture, oil and gas, construction, mining, and energy and utilities make up the rest of the demand base.

Regional Outlook

North America led the market in 2023 with a 34.7% share, followed by Europe and Asia Pacific. The report credits smart city initiatives, technological advancement and wide industrial adoption. The US market is projected to grow at a CAGR of 7.7% through the forecast period.

Asia Pacific is expected to be the fastest-growing region, with a CAGR of 9.7%. Rapid urbanization, infrastructure construction and digital agriculture programs support this outlook. The region’s coverage includes China, India, Japan and Australia. India’s state-level digital agriculture projects, such as the Uttar Pradesh command centre above, show how governments are adopting GIS.

Technology Trends: AI, Generative AI and Augmented Reality

The report names AI, generative AI and augmented reality-based GIS solutions as the main trend that will shape the market in the coming years. AI can automate feature extraction from imagery, detect changes in land cover and improve predictive modeling. Generative AI could make spatial analysis accessible through natural-language queries rather than specialist software. Augmented reality can overlay underground utilities or planned structures on a live view of the field, which would help construction and surveying crews. These capabilities should widen GIS use beyond trained analysts.

Competitive Landscape

Autodesk, Inc.
Topcon Positioning Systems, Inc.
Caliper Corporation
SuperMap Software Co., Ltd.
Hexagon AB
Hi-Target
Pitney Bowes Inc.
Maxar Technologies
AmigoCloud, Inc.
Trimble Inc.
Bentley Systems, Incorporated
Cadcorp Limited
Spatialworks Sdn Bhd.
Environmental Systems Research Institute, Inc.
Blue Marble Geographics

Recent activity points to a partnership-driven market. In July 2024, GEO Jobe GIS Consulting announced a reseller partnership with AerialSphere to extend Oriented Imagery software to more GIS users. In October 2024, Esri and Autodesk announced they were deepening their strategic alliance. The Esri and Autodesk move links GIS with building information modeling (BIM) for the architecture, engineering, construction and operations industry. Together these deals suggest vendors are trying to connect spatial data with design, construction and asset management workflows.

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Strategic Implications

For technology vendors, software is the largest revenue pool, but growth is faster in telematics and navigation and in LIDAR hardware. Companies that combine sensing, analytics and cloud delivery are well placed. Partnerships with design and engineering platforms can open further doors.

For governments and utilities, disaster resilience, smart grid modernization and transport planning make GIS spending easier to justify. These programs rely on timely spatial data and analysis.

For agriculture and resource industries, GIS-enabled precision farming and remote monitoring offer a way to raise productivity while using water and inputs more efficiently. Asia Pacific, with its large farming base and expanding digital programs, may offer the most room for growth.

For investors and new entrants, the 8.2% CAGR points to steady expansion. The more distinctive opportunities lie in AI-enabled analytics, mobile data collection and industry-specific solutions rather than in generic mapping tools.

Future Outlook

The Insight Partners projects that the GIS market will nearly double between 2023 and 2031, rising from US$ 10.27 billion to US$ 19.30 billion. Natural disaster forecasting, real-time logistics services, infrastructure investment, smart cities and precision agriculture are driving demand. North America remains the largest market, while Asia Pacific is growing fastest. Software leads by revenue, while telematics and navigation and LIDAR are expanding faster. As AI, generative AI and augmented reality mature, GIS is likely to become a routine layer in business and public-sector decisions.

About The Insight Partners

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