The Business Research Company’s Digital Circular Economy Global Market Report 2025 – Market Size, Trends, And Forecast 2025-2034

LONDON, GREATER LONDON, UNITED KINGDOM, December 19, 2025 /EINPresswire.com/ -- Digital Circular Economy Market to Surpass $9 billion in 2029. Within the broader Information Technology industry, which is expected to be $12,711 billion by 2029, the Digital Circular Economy market is estimated to account for nearly 0.07% of the total market value.

Which Will Be the Biggest Region in the Digital Circular Economy Market in 2029
Asia Pacific will be the largest region in the digital circular economy market in 2029, valued at $2,735 million. The market is expected to grow from $729 million in 2024 at a compound annual growth rate (CAGR) of 30%. The exponential growth can be attributed to the increased economic growth in the region due to the rising digital transformation and increasing partnership.

Which Will Be The Largest Country In The Global Digital Circular Economy Market In 2029?
The USA will be the largest country in the digital circular economy market in 2029, valued at $2,011 million. The market is expected to grow from $808 million in 2024 at a compound annual growth rate (CAGR) of 20%. The rapid growth can be attributed to the expansion of strategic partnerships and increasing investments in circular economy startups.

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What will be Largest Segment in the Digital Circular Economy Market in 2029?
The digital circular economy market is segmented by offering into software and services. The software market will be the largest segment of the digital circular economy market segmented by offering, accounting for 70% or $6,288 million of the total in 2029. The software market will be supported by the increasing adoption of circularity-focused platforms for material traceability, the rising integration of AI-powered solutions for resource optimization, the growing demand for blockchain-based tools ensuring transparent and secure supply chains, the expansion of cloud-based solutions enabling real-time monitoring of circular processes, the increasing use of digital twins for product lifecycle simulation, the development of data analytics platforms to track and enhance resource efficiency and the rising investment in product lifecycle management (PLM) software to extend product longevity.

The digital circular economy market is segmented by technology into blockchain and distributed ledger technology, internet of things (IOT), artificial intelligence (AI) and machine learning (ML), virtual reality (VR) and augmented reality (AR), virtual reality (VR)-based training, cloud computing and other technologies. The artificial intelligence (AI) and machine learning (ML) market will be the largest segment of the digital circular economy market segmented by technology, accounting for 28% or $2,550 million of the total in 2029. The artificial intelligence (AI) and machine learning (ML) market will be supported by the increasing use of AI for predictive maintenance, growing deployment of ML algorithms for resource optimization, rising application of AI-powered image recognition for automated waste sorting, the expanding use of AI in material flow analysis, increasing demand for ML-based demand forecasting to prevent overproduction, the use of AI-driven platforms for circular supply chain optimization and growing implementation of ML models for product lifecycle analysis.

The digital circular economy market is segmented by application into supply chain and material tracking, resource optimization and efficiency, digital resale and reuse, reverse logistics and remanufacturing, circular economy reporting and compliance, circular waste management and recycling, smart material selection and testing and other applications. The digital resale and reuse market will be the largest segment of the digital circular economy market segmented by application, accounting for 28% or $2,533 million of the total in 2029. The digital resale and reuse market will be supported by the increasing use of online platforms for second-hand product resale, growing adoption of digital solutions for reverse logistics tracking, rising deployment of AI-powered sorting systems for remanufacturing processes, expanding use of blockchain to verify reused product authenticity, increasing demand for digital marketplaces to facilitate refurbished product sales, the growing implementation of IoT in returnable asset management and the adoption of automated systems to streamline remanufacturing workflows.

The digital circular economy market is segmented by end-user into consumer electronics, information technology (IT) and telecom, automotive, manufacturing, construction and building and other end users. The information technology (IT) and telecom market will be the largest segment of the digital circular economy market segmented by end-user, accounting for 26% or $2,345 million of the total in 2029. The information technology (IT) and telecom market will be supported by the growing implementation of cloud-based circular IT infrastructure, increasing adoption of asset recovery and refurbishment programs for IT hardware, rising use of blockchain for telecom equipment traceability, expanding demand for sustainable data centre solutions, growing deployment of AI-powered network optimization tools for resource efficiency, increasing emphasis on lifecycle extension of telecom devices and rising adoption of circular procurement practices by IT service providers.

What is the expected CAGR for the Digital Circular Economy Market leading up to 2029?
The expected CAGR for the digital circular economy market leading up to 2029 is 24%.

What Will Be The Growth Driving Factors In The Global Digital Circular Economy Market In The Forecast Period?
The rapid growth of the global digital circular economy market leading up to 2029 will be driven by the following key factors that are expected to reshape industrial asset management, operational efficiency, and sustainability practices worldwide.

Increase In Demand For Sustainable Products - The increasing emphasis on demand for sustainable products will become a key driver of growth in the digital circular economy market by 2029. As demand for sustainable products continues to grow, businesses are increasingly adopting digital tools to enhance resource management. These digital solutions enable organizations to optimize raw material usage, minimize waste and track supply chains, focusing on reducing environmental impact. As a result, the growing deployment of demand for sustainable products is anticipated to contributing to a 2.0% annual growth in the market.

Rise In Digital Transformation Across Industries - The growing focus on digital transformation across industries will emerge as a major factor driving the expansion of the digital circular economy market by 2029. Digital tools enable organizations to more accurately track and report their sustainability initiatives. Increasing regulatory pressures and corporate sustainability commitments are driving the adoption of digital platforms for tracking materials and optimizing circular supply chains. As industries prioritize digital solutions for resource efficiency, the demand for digital circular economy initiatives will continue to grow. Consequently, the accelerating adoption of digital transformation across industries capabilities is projected to contributing to a 1.50% annual growth in the market.

Surge In E-Waste Awareness - The expanding integration of e-waste awareness processes will serve as a key growth catalyst for the digital circular economy market by 2029. The growing awareness of e-waste is driving the digital circular economy by fostering recycling, sustainable production practices and responsible consumption. As environmental impact awareness increases, the demand for solutions that align with circular economy principles is expected to continue to grow. Therefore, this growing integration of e-waste awareness operations is projected to supporting to a 1.0% annual growth in the market.

Increasing Adoption Of AI, IoT And Blockchain - The increasing emphasis on AI, IoT And blockchain will become a significant driver contributing to the growth of the digital circular economy market by 2029. The growing integration of AI, IoT and blockchain is significantly driving the expansion of the digital circular economy by improving resource management efficiency, enabling real-time data monitoring and enhancing transparency within supply chains. AI and IoT work to streamline operations, while blockchain facilitates secure and decentralized transactions, promoting the reuse, recycling and sustainable utilization of resources. Collectively, these technologies are fostering more sustainable business models and accelerating the transition to a circular economy. Consequently, the rising adoption of AI, IoT And blockchain strategies is projected to contributing to a 0.50% annual growth in the market.

What Are The Key Growth Opportunities In The Digital Circular Economy Market in 2029?
The most significant growth opportunities are anticipated in the digital circular economy software market, the AI-driven digital circular economy market, the digital circular resale and reuse economy market and the digital circular economy for IT and telecom market. Collectively, these segments are projected to contribute over $10 billion in market value by 2029, driven by advances in AI-enabled resource optimization, smart asset lifecycle management, and data-driven sustainability solutions. This surge reflects the accelerating integration of digital circular models within IT and telecom infrastructures, enabling efficient material recovery, reduced e-waste, and enhanced operational transparency, thereby fueling transformative growth within the broader digital circular economy ecosystem.

The digital circular economy software market is projected to grow by $4,412 million, the AI-driven digital circular economy market by $2,013 million, the digital circular resale and reuse economy market by $1,963 million, the digital circular economy for IT and telecom market by $1,720 million over the next five years from 2024 to 2029.

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