Cellular M2M connections and services: Key market research findings
- EMEA dominates the market geographically
- Consumer electronics account for a majority share of the market’s revenue
- Key vendors – AT&T, China Telecom, EE, Sprint, and Verizon Communications
Technavio’s market research analysts predict the global cellular M2M connections and services market to reach around $920 million by 2020. The market’s growth can be accredited to the rise in the adoption of embedded SIMs in various applications. Embedded SIMs enable operators to provide a user subscription profile, reducing operational and logistics costs. They also eliminate the need for replacing SIM cards throughout the lifetime of M2M products and provide over-the-air (OTA) support for M2M systems such as connected cars and smart meters to deliver reliable and secure connectivity to users. EMEA dominated the global cellular M2M connections and services market with a revenue of almost $7 million in 2015. The increasing use of M2M devices and services in the energy and utilities, retail, security, and transportation sectors coupled with government regulations will drive growth in the cellular M2M connections and services in EMEA during the forecast period.
The new market research report from Technavio presents a breakdown and analysis of the cellular M2M connections and services segments based on the industry.
“Currently, the M2M platform consolidation in the market is on a rise. M2M platform consolidation solutions provide a single and intuitive management platform for all M2M services and solutions. Besides, these solutions help monitor each service closely and consistently to improve the integration between solutions. M2M platform consolidation solutions also accelerate the development of new M2M solutions,” says Rakesh Panda, Lead Analyst, ICT, Technavio Research.
By 2020, the consumer electronics segment will continue its market dominance as the primary revenue generator in the cellular M2M connections and services market globally with a revenue of more than $19 million. M2M technology is incorporated in intelligent consumer electronic devices, such as cameras, gaming consoles, health monitors, personal trackers, and eReaders, as this technology improves functionality and has a positive effect on the overall consumer experience. An increase in the adoption of cellular broadband networks in households and smart connected devices among consumers is the driving force behind growth in this segment.
The prominent vendors in the market include AT&T, China Telecom, EE, Sprint, and Verizon Communications. The M2M industry is highly fragmented and has several providers under various categories. The leading vendors and the new players are focusing on M2M services in different sectors due to the high adoption of POS terminals, ATMs, vending machines, and smart meters by government agencies, retailers, financial institutions, and enterprises. Competition in this market is expected to intensify due to the entry of new players who are offering innovative M2M and cloud-based platforms.
A more detailed analysis is available in the Technavio report, Global Cellular M2M Connections and Services Market 2016-2020.
We can customize reports by other regions and specific segments upon request.
Other related reports:
