Cellular M2M Connections to Triple by 2014
Cellular M2M connections – which enable wireless data calls between machines – will approximately triple their current number of about 75 million by 2014, according to a new study from ABI Research. These connections are split almost equally between telemetry and telematics applications, with the former growing at a slightly faster rate.
An expanding subscriber base
“Unlike the cellular M2M module market, which has been hit hard by the global recession, cellular connectivity is characterized by ongoing subscriptions that, once deployed, tend not to churn or change that much,” comments M2M research practice director Sam Lucero. “So it’s an expanding installed base, and the effect of the economic crisis has just been to slow the overall growth-rate of that base to a certain extent.”
Help from Partnerships
Deploying innovative M2M connectivity platforms early is an important contributor to mobile network operators’ success in this market, says Lucero. “Many MNOs should explore opportunities to partner with (or acquire) technology enablers that are developing robust connected device platforms.”
A good deal of such partnership activity is already taking place. Lucero points to:
· The partnership between AT&T and Jasper Wireless
· The nPhase joint venture involving Verizon Wireless and Qualcomm
· A recently-announced partnership between Sprint and new MVNO M2M DataSmart
· The partnership in Germany between T-Mobile and Sierra Wireless to develop packaged or standardized applications for certain sub-segments of the market
Lucero advises, “These developments help large operators that have resources, brand position and customer relationships to speed up their M2M activities by bringing in the business talent, technical expertise, and development work that exists already in these smaller ‘enabler’ shops.”
An expanding subscriber base
“Unlike the cellular M2M module market, which has been hit hard by the global recession, cellular connectivity is characterized by ongoing subscriptions that, once deployed, tend not to churn or change that much,” comments M2M research practice director Sam Lucero. “So it’s an expanding installed base, and the effect of the economic crisis has just been to slow the overall growth-rate of that base to a certain extent.”
Help from Partnerships
Deploying innovative M2M connectivity platforms early is an important contributor to mobile network operators’ success in this market, says Lucero. “Many MNOs should explore opportunities to partner with (or acquire) technology enablers that are developing robust connected device platforms.”
A good deal of such partnership activity is already taking place. Lucero points to:
· The partnership between AT&T and Jasper Wireless
· The nPhase joint venture involving Verizon Wireless and Qualcomm
· A recently-announced partnership between Sprint and new MVNO M2M DataSmart
· The partnership in Germany between T-Mobile and Sierra Wireless to develop packaged or standardized applications for certain sub-segments of the market
Lucero advises, “These developments help large operators that have resources, brand position and customer relationships to speed up their M2M activities by bringing in the business talent, technical expertise, and development work that exists already in these smaller ‘enabler’ shops.”
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