The manufacturer and distributor of agricultural equipment, AGCO Corporation (AGCO - Analyst Report), entered into a strategic partnership with Agribotix LLC to launch an integrated drone-enabled agricultural intelligence solution. The deal will allow AGCO to step into the unmanned aerial vehicle (UAV) business.Boulder-based Agribotix delivers agricultural intelligence to increase yields and profits using drone-enabled technologies. Agribotix provides the platform, service and support for the integrated solution.The deal unites Agribotix's FarmLens cloud-based data platform with the purpose-built SOLO AGCO edition quadcopter to provide customers with an efficient, reliable way to collect and analyze field data for precision agriculture applications. The SOLO AGCO edition drone is built on the 3D Robotics Solo platform while the UAV is future-ready.The use of UAV drones for precision agriculture, farming and crop management has been on the rise. Drones have the unique advantage of providing live data from a range of sensors to perform in-depth analysis of crop health and more.The use of agricultural drones was restricted by Federal Aviation Administration (FAA) in the past. However, in Feb 2015, FAA unveiled new rules allowing autonomous use of drones for commercial purpose. This will boost crop intelligence, making the farms more efficient. More importantly, companies can now test their business models and develop new revenue streams while attracting new investment. The rules have some limitations and are not official yet.The partnership of Agribotix and AGCO will provide customers a superior agricultural intelligence solution, enabled by a robust, purpose-built drone. The drones are designed for easy integration with technological upgrades and enhancements which will provide reliable information to farmers to better manage farms and in turn, increase the bottom line.Notably, the drone will capture RGB and near-infrared images. It will also enable users to search and record aerial field data across up to 60 acres in a single flight. The data collected will be uploaded to the FarmLens platform and processed to produce high-resolution field health reports to identify potential yield-limiting problems. These reports can then be used to optimize inputs and to address issues, leading to improved crop yields and increased profits for growers.AGCO’s commitment toward its strategic plans including continued investment in new product development, distribution enhancement and factory productivity improvement are likely to propel growth and profits. On Feb 19, the company announced a strategic partnership with Raven Industries Inc. to maximize returns for customers by focusing on product development and tighter integration of technology into machines.Further, AGCO opened its first Future Farm and Learning Center in Africa, near Lusaka, Zambia on May 27, 2015 to develop a sustainable food production system and to increase farm productivity by implementing modern farming techniques which will help empower local communities. Recently, AGCO and Trimble Navigation Limited entered into a partnership to deliver wireless connectivity.On Sep 2, AGCO announced its decision to launch a new solution for wireless task data transfer, the Go-Task mobile app, which will enable farmers to make superior decisions by reducing the time and effort to manage task data.Duluth, GA-based AGCO is a global leader focused on the design, manufacture and distribution of agricultural machinery. AGCO supports more productive farming through a full line of tractors, combines, hay tools, sprayers, forage equipment, tillage, implements, grain storage and protein production systems, as well as related replacement parts.AGCO currently sports a Zacks Rank #1 (Strong Buy). Titan International Inc. (TWI - Snapshot Report) and ACCO Brands Corporation (ACCO - Snapshot Report) also belong to the same sector and have a Zacks Rank #2 (Buy).Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report >>
AGCO Corporation, which manufactures and distributes agricultural equipment, has taken a step into the drone industry by entering into a strategic partnership with SOLO to launch an integrated drone-enabled agricultural intelligence solution. The Agribotix AGCO drone will combine SOLO's FarmLens cloud based data platform with a quadcopter, which will provide farmers with a way to collect and analyse field data. Drone use in agriculture has been rising since February this year, after the FAA unveiled new rules allowing autonomous use of drones for commercial purpose.