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With an innovative partnership with Starlink, Elon Musk, John Deere promises to transform Brazilian agribusiness by bringing high-speed internet to rural areas. The initiative aims to integrate machines, optimize resources and consolidate Brazil as a reference in agricultural innovations.
Imagine a future where the most remote fields in Brazil are fully connected to the internet, allowing farmers to monitor their crops in real time, use cutting-edge automation technologies and make decisions based on accurate data.
This scenario, which previously seemed distant, is about to become reality.
John Deere, a global agricultural machinery giant, has entered into a strategic partnership with Starlink, by Elon Musk, to transform the Brazilian agricultural sector through connectivity.
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The partnership, according to the website Buy Rural, will begin operating in January 2025 and its main objective is to bring high-speed internet to remote regions of the country.
According to Jahmy Hindman, senior vice president and chief technology officer at John Deere, the project is a milestone for tropical agriculture.
"It will be a terminal that can be applied to any of our agricultural production equipment.”, said Hindman, highlighting that the technology will allow automation and communication between machines, revolutionizing production in the field.
A partnership that promises to change agriculture
The collaboration between John Deere and Starlink isn’t just about connectivity.
The project provides solutions to overcome one of the biggest challenges facing the Brazilian agricultural sector: the lack of technological infrastructure in rural areas.
Through Starlink's low-orbit satellites, farmers will be able to access high-speed networks even in regions where traditional internet is non-existent.
This technology will allow data integration between machines, optimizing the use of resources such as water, seeds and fertilizers.
With this, Brazil consolidates itself as one of the main laboratories for agricultural innovations in the world.
Robust investment in Brazil
John Deere's commitment to the country goes beyond the partnership with Starlink.
According to Bloomberg Línea, the company invested R$180 million in a new Research and Development (R&D) Center in Indaiatuba, São Paulo.
The center, recently opened, is the company's first in Brazil focused exclusively on tropical agriculture.
The site will initially have 150 professionals dedicated to developing technological solutions to meet the specific needs of Brazilian agribusiness.
According to Hindman, “the technology developed in Brazil can also be exported to other markets”, reinforcing the country's strategic position.
The center's proximity to other John Deere factories and renowned institutions, such as Unicamp, was one of the determining factors in choosing Indaiatuba.
This strategic location facilitates collaboration with universities and the attraction of specialized talent.
Expansion of agricultural credit
Another area of activity for John Deere in Brazil is expanding access to credit for rural producers.
To this end, the company entered into a joint venture with Bradesco.
According to Cristiano Correa, Vice President of Production Systems for Latin America, “The expectation is that this partnership will provide greater access to different lines of credit for Brazilian producers.”
The timing is right, despite the economic and climate challenges facing the sector in 2024.
With this initiative, John Deere seeks to strengthen agribusiness and prepare the market for a new cycle of growth.
Challenges and opportunities
Despite advances, the agricultural market faces significant challenges.
In 2024, John Deere's global net income fell to $7,1 billion, down from $10,166 billion the previous year.
However, the results exceeded analysts' expectations, boosting the company's shares.
In Brazil, John Deere depositary receipts (BDRs) rose 37% on the stock exchange, reflecting investor confidence in the potential of the local market.
Antonio Carrere, Vice President of Sales and Marketing for Latin America, highlighted the sector’s resilience, stating that “agriculture will return to its golden years, despite the challenges.”
A connected and sustainable future
With robust investments, strategic partnerships and a clear focus on innovation, John Deere is redesigning the future of Brazilian agribusiness.
The combination of advanced machinery, high-speed internet and access to credit promises to transform the reality of the countryside and boost the growth of the sector.
Starting in January 2025, with the start of operations in the partnership with Starlink, Brazil will take an important step towards more efficient, connected and sustainable agriculture.
Do you believe that connectivity could be the key factor for the future of agriculture in the country? Leave your opinion in the comments!
It could be invested in and be a partnership with a Brazilian internet provider, but there always has to be a foreigner to end up taking the credit and money from Brazilians.
Or even invest in the long term in the creation of our own agricultural machinery companies. It solves two problems: It generates quality jobs for these young people who are graduating in engineering and still maintains wealth in the national territory. Not to mention the possibilities of earning by selling machinery to other Mercosur countries, which are already predominantly agrarian.
BRAZIL has ALWAYS been a colony, which is why those with advanced knowledge leave our country and look for opportunities abroad.
They are better used there.