Global Green Technology and Sustainability Market

Global Green Technology and Sustainability Market Size (2024 to 2029)

The size of the global green technology and sustainability market was worth USD 16.44 billion in 2023 and is expected to grow at a promising CAGR of 26.12% from 2024 to 2029 and reach USD 20.73 billion in 2024 and USD 66.16 billion by 2029.

Current Scenario of the Global Green Technology and Sustainability Market

The global green technology and sustainability market has had prominent growth in recent years and is estimated to accelerate further during the forecast period. Green technologies are more than merely disparate technologies. The world is witnessing several severe problems, such as critical food shortages, extensive ecological pollution, worldwide effects of various diseases, depletion of energy and other resources, and extreme weather changes, which demand the requirement of different cross-disciplinary sustainability technologies. Moreover, green technologies include components such as composting, electric cars, vertical farming, wind power, LED lighting, and solar energy. Because of improved environmental awareness, governmental assistance and technological developments, the green technology and sustainability market is moving forward at a rapid pace. According to a study, in comparison to 2022, overall, more customers have been accepting a sustainable way of living. Also, for major consumers, accepting a more ecology sustainability begins at home, recycling goods or lowering waste. About 76% of composted or recycled family waste in the past 12 months.

MARKET DRIVERS

The rising influx of investment to develop tailored services and solutions drives the market growth.

Certain key trends encompass the application of recycled substances and methods for the management of waste in an environmentally friendly way along with substitute sources of energy like solar or wind. Also, public and private corporations are implementing modern green technologies and sustainability services and solutions. The emphasis that companies place on sustainability is resulting in sophisticated technologies that accelerate power saving and simultaneously reduce carbon emissions.

The rising sustainable or ethical buying decisions are boosting the global market growth.

In 2023, over various categories, there was a greater proportion of customers not purchasing some brands or goods due to sustainability or ethical-related issues. As per the research, 1 in 3 buyers, i.e., 30%, discontinued buying some items or brands owing to ethical or sustainability-based problems. Also, when measured against a year ago a larger percentage of customers prevented making purchases, especially in hospitality, beauty and grocery as a result of these worries. Additionally, one of the key factors pushing the market forward is the active participation and financial support from global authorities and agencies. Furthermore, the surging popularity of circularity is also assisting in market expansion.

MARKET RESTRAINTS

The rising cost of living hampers the growth of green technology and sustainability market.

The economic pressure on households is affecting how customers are shifting to a greater sustainable living culture, with behaviors that help to spend less, which is the biggest surge this year. According to a study, approximately 55% of people choose to repair a product against purchasing a whole new equivalent piece, 44% procured a second-hand product and 42% spent more for longer-lasting items. Besides this, since the technology is in its early stages, the related training and development expenditures are believed to be greater than those with current technologies. Exorbitant initial implementation expenses are expected to hinder the acceptance of green technologies among companies.

MARKET OPPORTUNITIES

The green technology and sustainability market is slated to thrive further with the adoption of modern technologies such as big data, the Internet of Things (IoT) and artificial intelligence (AI) throughout sectors. Industries like IT & communication, healthcare, and manufacturing are progressively implementing sophisticated technologies, including artificial intelligence, IoT, and big data, which support them in measuring the carbon discharge by their respective company departments and taking suitable steps on the same. As per the research, utilizing AI could lower GHG releases globally by 4 percent in 2030, a quantity equal to 2.4 gigatons of the same (GTCO2e) of carbon dioxide (CO2) discharges similar to the 2030 yearly releases of Japan, Canada, and Australia joint. Further, ecologically centered AI applications are expected to hold a large GHG reduction ability for nearly all areas worldwide, with East Asia and North America possibly lowering their GHG releases by 1.6 percent to 6.1 percent and 2.7 percent to 4.8 percent in 2030, respectively. In the logistics and transportation sector, IoT systems were utilized to supervise path optimization, resulting in fuel conservation. Therefore, accepting modern technologies is likely to present avenues for green technology and sustainability solutions for market players in the coming years.

MARKET CHALLENGES

Handling data or information is one of the biggest sustainability issues companies are dealing with, affecting the global market growth. This is evident even within those who have been on the course of sustainability for a certain time. Moreover, this constraint is primarily propelled by the inherent complications that encircle the information needed for sustainability management, as most of the data required originates from their rather obscure or unclear and intricate logistics or delivery networks. Considering this pattern, it is only organic for industry players to commence handling sustainability from a supply network lens. Therefore, this problem is challenging the growth of the green technology and sustainability market.

REPORT COVERAGE

SEGMENTAL INSIGHTS

By Component Analysis

The solutions segment accounted for the leading share of the global green technology and sustainability market in 2023 and is expected to register a healthy CAGR during the forecast period. The domination of the solutions segment is primarily driven by the rise in the need for clean technologies and sustainability products and services. This increase in requirements is because of customers' shift to becoming more ecologically aware. The segmental expansion is also primarily fuelled by governmental support toward encouraging green technologies.

The services segment is foreseen to expand at a faster speed due to the progressive transition of market players to invest in industry-associated service providers.

By Deployment Analysis

The cloud segment held a significant share of the green technology and sustainability market and is predicted to continue to hold a substantial share of the worldwide market during the forecast period. The growth of the cloud segment is majorly attributed to its escalating adoption owing to improving productivity and mitigating ecological effects. In addition, cloud-enabled services provide remote partnerships and exchange of data, lowering the requirements for comprehensive physical and travel infrastructure. This adds to reduced greenhouse gas discharge related to conventional business activities. However, the on-premises segment is predicted to rise at a persistent rate, though duller than the cloud category. The demand for on-premises clean technology offerings is growing as they create fewer environmental effects and CO2 releases.

By Technology Analysis

The AI & ML segment is the most prevailing category of the green technology and sustainability market and had the leading share of the global market in 2023. AI and ML technologies have been propelling innovation and productivity in several industries. In the energy management domain, AI maximizes power usage and grid activities and improves renewable energy incorporation, optimizing total productivity. Moreover, ML algorithms examine or study massive datasets to enhance proactive maintenance, eliminating resource wastage and downtime and in sustainable facilities.

By Application Analysis

The energy & utilities segment holds the major share of the global market over the forecast period. The segment’s market share is continuously rising because of the acceptance of renewable energy resources, intelligent grid technologies, power productivity and sustainable conveyance are some of the main elements adding to the expansion of the energy and utility segment of the Green Technology and Sustainability Market.

REGIONAL ANALYSIS

North America led the green technology and sustainability market in 2023.

North America had the largest share of the Green Technology and Sustainability Market in 2023 and is expected to continue to be the top-performing regional segment in the global market throughout the forecast period. The breakthroughs in legal measures, efficient sustainability targets by key players in North America, and rising awareness of technology among consumers are fuelling the regional market expansion. In addition, the regional governments are forming various projects to attain these area-wise sustainability objectives in the upcoming years.

Europe is another lucrative regional segment in the worldwide market.

Europe hangs back the American industry owing to the absence of investments associated with the Green Technology and Sustainability Market. For example, in February 2024, The Parliament and Council of the continent passed the Net-Zero Industry Act. Moreover, this Act plans to boost domestic clean technology. However, it falls behind the United States, which infuses money through 369 billion dollars in the market’s dynamics.

KEY PLAYERS IN THE GREEN TECHNOLOGY AND SUSTAINABILITY MARKET

Companies playing the leading role in the global green technology and sustainability market include General Electric Company (U.S.), IBM Corporation (U.S.), Schneider Electric (France), Sensus (Xylem Inc.) (U.S.), Oracle Corporation (U.S.), Microsoft Corporation (U.S.), CropX Inc. (Israel), ENGIE Impact (France), Cority (Canada) and Taranis Visual Ltd. (U.S.).

RECENT HAPPENINGS IN THE GLOBAL MARKET

• In August 2024, China published the latest guidelines to boost measures in the green transformation of companies and sectors, services and other social operations to attain the nation's pre-defined clean, low-carbon emission targets.

DETAILED SEGMENTATION OF THE GLOBAL GREEN TECHNOLOGY AND SUSTAINABILITY MARKET INCLUDED IN THIS REPORT

This research report on the global green technology and sustainability market has been segmented and sub-segmented based on component, deployment, technology, application and region.

By Component

• Solutions
• Services

By Deployment

• Cloud
• On-Premises

By Technology

• Internet of Things
• AI & ML
• Digital Twins
• Cloud Computing
• Blockchain
• Edge Computing
• Cybersecurity

By Application

• Air and Water Pollution Monitoring
• Carbon Footprint Management
• Crop Monitoring
• Fire Detection
• Forest Monitoring
• Green Building
• Soil Condition/Moisture Monitoring
• Sustainable Mining and Exploration
• Water Management
• Weather Monitoring and Forecasting
• Energy & Utilities
• Others

By Region

• North America
• Europe
• Asia Pacific
• Latin America
• Middle East & Africa