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M2M Applications Growth and Global Market Upside

Infonetics Research released the results of their latest market study which provides market size, analysis and forecasts for machine-to-machine (M2M) connections and equipment by technology, region and vertical.

"From a well-established base over GSM built up over the last decade, the embedded mobile M2M market is now poised for rapid acceleration, driven by new mobile devices, applications, services and providers, combined with the availability of higher speed networks," says Richard Webb at Infonetics Research.

Demand is rising for mobile M2M applications, such as smart energy monitoring and intelligent traffic, backed by government policy and funding, which is helping to create a virtuous growth cycle for the embedded mobile market.

Highlights from the Infonetics market study include:

- Worldwide revenue for embedded mobile modems for M2M applications is forecast to more than triple in 2010 over 2009, and to continue growing strongly through at least 2014, at a 66 percent compound annual growth rate (CAGR).

- The number of connections for embedded mobile M2M applications hit 87 million in 2009 and is forecast to jump to 428 million by 2014, driven by wider availability of services, new M2M applications and Connected Society regulatory or public policy initiatives.

- Over half of all embedded mobile connections are GSM based, with strong growth expected in W-CDMA and later, LTE connections, driven by high bandwidth M2M applications and the need for future-proofing long-life device cycles.

- The Utilities and SmartGrid vertical accounts for the largest share of overall revenue for embedded mobile M2M modems, with over a quarter of total revenue in 2009.

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