Automated Weather Station Market

Market Overview

The global automated weather station market size was valued at USD 403.6 billion in 2023. It is estimated to reach USD 806.7 billion by 2032, growing at a CAGR of 8.0% during the forecast period (2024–2032). An Automated Weather Station (AWS) is a complex device that automatically collects and transmits meteorological data. These stations are outfitted with various sensors that monitor weather-related variables such as temperature, humidity, wind speed and direction, air pressure, precipitation, sun radiation, etc. The information obtained by these stations is critical for weather forecasting, climate research, agriculture, aviation, environmental monitoring, and various other purposes.

Automated weather stations market growth is due to factors such as rising demand for distributed user data collection, a growing need for automation and standardization of strategy, centralization of the control system and risks, democratic accountability and data quality, the need for transparency and communication, and notable features such as suspicious activity reporting and a comprehensive authentication process.

Market Dynamics

Global Automated Weather Station Market Drivers

Growing Demand for Real-Time Weather Data

Accurate and precise weather information is essential for many businesses' decision-making, risk management, and operational efficiency. Real-time weather data enables businesses and organizations to respond quickly to changing conditions, streamline processes, and reduce potential hazards. In agriculture, real-time weather data is essential for making informed decisions about planting, irrigation, pest management, and harvesting. Farmers utilize AWS data to track temperature, humidity, precipitation, and wind patterns to maximize agricultural yields and reduce hazards. For example, As of March 2023, the Maharashtra state government had established 2,127 automatic weather stations (AWS) throughout the state. The stations measure severe rainfall and assist in determining compensation for flood victims. In 2017, Maharashtra's Chief Minister said that 2,065 AWS would be deployed around the state, with 1,000 completed by June. In 2023, the state agricultural minister said that 10,000 more AWS would be deployed to supply farmers with real-time meteorological data.

Similarly, real-time weather data is essential for flight planning, route optimization, and passenger safety in the aviation business. Pilots and air traffic controllers rely on AWS data to monitor weather conditions at airports and along flight paths, reducing the dangers associated with bad weather. The India Meteorological Department (IMD), the Airports Authority of India, and the Defence Research and Development Organisation (DRDO) operate stationary Automatic Weather Stations (AWS) throughout India. These stations collect meteorological data for both scientific and operational uses. As of August 2022, India had 795 AWS, 1,376 Automatic Rain gauge Stations (ARG), and 200 Agro AWS. 

In addition, in 2023, the Japan Meteorological Agency (JMA) will start using a new supercomputer. The system is built around the "FUJITSU Supercomputer PRIMEHPC FX1000" hardware, which uses the same A64FX CPU as the "Fugaku" supercomputer. The JMA's Automated Meteorological Data Acquisition System (AMeDAS) automatically transmits measurement data from around 1,300 stations. As industries continue to rely on weather data for decision-making, the global Automated Weather Station Market trend is projected to continue in the future years.

Global Automated Weather Station Market Restraints

High Initial and Maintenance Cost

The deployment of automated weather stations incurs large upfront expenses, including acquiring high-quality sensors, data recorders, telemetry systems, power supply equipment, and installation infrastructure. This might be a significant investment for corporations, governments, or research institutions that want to create or improve their meteorological monitoring capacity. According to the World Bank, the initial cost of an autonomous weather station (AWS) can range between USD 56,000 and USD 2.5-4 million. The initial cost of AWS setup, installation, and maintenance is a significant barrier to industry expansion. A basic AWS setup can cost between a few thousand dollars and USD 10,000. 

Aside from the initial setup, continuous operational and maintenance expenditures must be considered. Sensor calibration, software updates, and troubleshooting all demand trained staff and resources. These recurring charges add to the overall cost of ownership and may provide issues for businesses with limited resources. According to the World Bank, the running expenses for automated weather stations (AWS) range between USD 6,200 to USD 200,000. These costs do not include labor. Some manufacturers give service contracts or extended warranties to reduce operating risks and provide clients with predictable maintenance expenses over the station's life cycle. However, these additional services may require more upfront costs.

Global Automated Weather Station Market Opportunity

Technological Advancement

Modern automated weather stations are outfitted with current sensors that provide greater accuracy and precision in measuring meteorological factors. For example, temperature, humidity, and wind speed sensors have improved sensitivity and dependability over time. Advanced sensors help to more accurate and precise weather data collection. Some automated weather stations use remote sensing technology, such as satellite data and ground-based remote sensing sensors, to improve their observational capabilities. This combination enables a more thorough understanding of weather patterns and improves forecasting. 

According to Equinix's latest report, "Smart Cities: Shifting Asia," UBS predicts that APAC will represent around 40% of the global addressable market evolution for innovative city projects, or USD 800 billion, by 2025. This rapid urbanization fuels IT buildout and interconnection bandwidth expansion to support APAC's growing digital market. As a result, smart city applications such as smart buildings and grids, air and water monitoring, smart waste collection, smart transportation, and disaster response are expected to broaden the market's opportunities. 

Furthermore, advancements in power management technology, including integrating solar panels, energy-efficient batteries, and power optimization algorithms, allow AWS to function autonomously for extended periods without external power sources. According to the IEA, worldwide solar PV manufacturing capacity is estimated to reach about 1,000 GW by 2024. This is sufficient to meet the annual demand under the IEA's Net Zero Emissions by 2050 scenario. As a result, the market is likely to benefit from increased opportunities throughout the forecast period.

Regional Analysis

Asia-Pacific Dominates the Global Market

The global automated weather station market analysis is conducted in North America, Europe, Asia-Pacific, the Middle East and Africa, and Latin America.

Asia-Pacific is the most significant global automated weather station market shareholder and is estimated to grow at a CAGR of 8.4% over the forecast period. Asia-Pacific is one of the most sensitive places to climate change, and the consequences are projected to worsen. It also accounts for over half of the world's carbon emissions. According to the United Nations Development Programme (UNDP), scientists anticipate that by the end of the century, sea levels will rise by 65cm (2.1ft), posing an existential danger to many countries in the region. Furthermore, this significant rise in sea levels is projected to aggravate floods and storms while degrading land due to increased salinity. According to the United Nations Development Programme, storms, floods, and landslides kill roughly 43,000 people annually throughout the Asia-Pacific. Additional issues, including heatwaves, shifting rainfall patterns, and susceptible fires, have increased the usage of automated weather stations.

Furthermore, the Asia-Pacific Adaptation Network (APAN) provides critical expertise to government officials and key players in designing climate change adaptation initiatives, obtaining financing and technology, and building capacity to incorporate climate change adaptation into national development policies. The UN Environment Programme and the Asian Development Bank (ADB) are piloting a Climate Technology Network and Finance Hub in 16 Asian and Pacific nations to accelerate the implementation and introduction of climate solutions and investments in environmentally sustainable technology. For example, In October 2023, a Chinese research team established an automated weather station in the Kunlun Mountains, 5,896 meters above sea level. This is the highest station in the Kunlun Mountains. In addition, Chinese scientists have established five automatic weather stations atop Mt. Cho Oyu at the following altitudes: 4.950 meters, 5.700 meters, 6.450 meters, 7.100 meters, and 8.201 meters. Similarly, in 2023, the Bureau of Meteorology (BoM) had around 700 automatic weather stations (AWS) spread across Australia. The BoM intends to migrate to automated observations entirely by 2027. 

North America is anticipated to exhibit a CAGR of 8.7% over the forecast period. North America is expected to experience the most rapid expansion in the automated weather stations market. Climate change is a serious problem in the United States. The aftereffects of climate change have increased dramatically. According to NASA, the summer of 2023 was the hottest ever recorded. June, July, and August were 0.41°F warmer than any previous summer and 2.1°F warmer than the 1951–1980 summer normal. August alone was 2.2°F warmer than usual. The average annual temperature in the contiguous United States in 2023 was 54.4°F, 2.4°F higher than the 20th-century average. This makes 2023 the seventh warmest year in the past 129 years. In 2023, the United States witnessed 28 separate weather and climate disasters, each costing at least $1 billion. This is the most significant number of billion-dollar disasters in a single year.

Additionally, global warming has significantly impacted the Arctic Sea, influencing the Alaskan, arctic, and global climate. Similarly, since 1948, the average temperature in Canada has increased by 1.7°C, resulting in higher rainfall, rising sea levels, warmer oceans, and ocean acidification, among other things. Furthermore, the UN Environment Programme (UNEP) has declared that air pollution is a severe issue. The UNEP established the Climate and Clean Air Coalition (CCAC), in which the United States, Canada, and other member states seek to minimize short-lived climate pollutants (SLCPs). Furthermore, initiatives are being done to support the Paris Agreement, following the previous administration's decision to withdraw, allowing states to join forces in the United States Climate Alliances, representing USD 11.7 trillion in GDP.

Europe is predicted to increase moderately due to the high level of investment in advanced technology-based systems, according to automated weather station market insights. In June 2023, the Meteorological Office invested in two more AWS, bringing the total number of stations on the Maltese Islands to ten. In addition, Vaisala will exhibit the AWS810 Solar Edition PV-powered weather station at Intersolar Europe in Munich, Germany, in June 2023. The station records weather data such as wind speed, direction, temperature, precipitation, humidity, and air pressure. Furthermore, the European Common Automatic Weather Station (EUCAWS) is a new station developed for ships, boosting the market during the projected period.

Segmental Analysis

The global automated weather station market is segmented based on solution, verticals, and region.

The market is further segmented by solutions into Software and hardware.

Hardware accounts for the largest share of the market

Hardware

The hardware category accounts for approximately 78% of the market share. The hardware part of automated weather station (AWS) systems includes the physical components and equipment that comprise the station's infrastructure. This consists of sensors, data loggers, communication devices, power supply systems, mounting structures, and enclosures. High-quality sensors measure various meteorological characteristics, including temperature, humidity, wind speed, and precipitation. Data loggers capture and store data, and communication devices send it to central servers. Power supply systems, sometimes including solar panels and batteries, ensure the AWS runs continuously. Mounting structures and enclosures shield the equipment from environmental hazards. The hardware is the actual, functional component of the AWS, laying the groundwork for precise and dependable meteorological data collection.

Software

The software element of AWS solutions consists of programs, apps, and algorithms that handle and analyze data generated by physical components. This encompasses data processing software, analytical tools, and user interfaces. Data processing software cleans, organizes, and interprets raw sensor data. Machine learning algorithms can be used in analytics systems to anticipate outcomes, find trends, and provide insights. User interfaces allow stakeholders to engage with and comprehend weather data. In addition, Software is critical for integrating AWS into more extensive weather forecasting systems and networks. The software component improves AWS performance and usefulness by converting raw data into helpful information for agriculture, aviation, and environmental monitoring industries.

The market can be further bifurcated by verticals into Agriculture, Aviation, Transportation and Logistics, Oil and Gas, Renewable Energy, Military, Meteorology, and Weather service providers.

Aviation influenced the market growth.

Aviation

The aviation category accounts for the largest share of the market. In the aviation industry, AWS helps with weather monitoring and forecasting, assuring the safety and efficiency of air travel. Real-time data on wind speed, visibility, and atmospheric conditions are critical for flight planning, route optimization, and airport operations to reduce the dangers associated with inclement weather. Automated Weather Observing Systems (AWOS) are airport weather systems that give real-time weather updates and reports. Aviation service providers are responsible for the primary operation, maintenance, and control of AWOS systems. 

Agriculture

Automated weather stations (AWS) play an essential role in agriculture by providing timely and accurate meteorological data. Farmers use this data to make accurate decisions about crop management, irrigation timing, and pest control. AWS aids precision agriculture by improving resource usage and agricultural production. AgWeatherNet was the first and largest agricultural weather network in the United States. Washington State University runs it in the Pacific Northwest. As of 2018, around 175 sensors recorded air temperature and relative humidity every five seconds. 

Impact of covid-19

With the COVID-19 pandemic, the AWS market is expected to note a moderate downturn in growth prospects, with import-export restrictions making the cross-border trade of weather station components difficult. Lockdown restrictions and norms emphasize only essential commodities.  As weather forecast operations and meteorological services are not considered essential, operations in the sector have been disrupted, creating a pessimistic scenario for customers.

The COVID-19 outbreak has also affected data gathering frequency, which has decreased the accuracy of observational data, making weather forecast and meteorological operations challenging and less reliable. On the other hand, many countries vulnerable to natural calamities seek to gain more insight into weather forecasts to anticipate and prepare for cyclones and rainstorms, which is expected to bolster the AWS market’s growth during the forecast period.

Recent Developments

• August 2023- Francisco Partners acquired The Weather Company assets from IBM.
• June 2023- Campbell Scientific's TempVue™10 analog temperature sensor set a new standard for air temperature measurement by exceeding all applicable World Meteorological Organization (WMO) recommendations.
• September 2023- The National Disaster Management Authority constructed two solar-powered twin-camera automated weather stations on two high-risk glacial lakes, South Lhonak and Shako Cho, in Sikkim (<15-16,000 feet).
• January 2024- Vaisala launched Xweather Insight, a weather confidence platform that improves short-term forecast accuracy by up to 50%.