Skip to main content

Emerging M2M Ecosystem will Reach $35B by 2016

Mobile Network operators -- including Vodafone, O2, Telefonica, Verizon, AT&T and Sprint -- are putting significant resources into developing Machine to Machine (M2M) related business units.

There is an increasing sophistication in how the market is viewed by all stakeholders, with after-market installation being replaced by embedded mobile strategies and SMART (Self-Monitoring, Analysis, and Reporting Technology) systems.

Juniper Research forecasts that M2M will support total industry revenues of over $35 billion in 2016. They also predict that revenues from products and services delivered over embedded consumer electronics (CE) devices will reach $6.4 billion in 2014, as a key anchor for the evolving M2M sector within the mobile industry.


According to their latest market study, eBook sales and subscriptions will be by far the most important service offered over cellular connected consumer electronics devices.

While others have emerged, such as digital photo frames and Sony's PS Vita games console, the eReader will outweigh all other consumer electronic devices in its ability to create new streams of revenue.

"Cellular connectivity is slow to reach the lucrative gaming market since WiFi is sufficient for most use cases," said Anthony Cox, associate analyst at Juniper Research.

Embedded Consumer electronics will also be where 4G chipsets first reach the M2M and embedded chipset market -- although 4G chipset distribution is still at its very early stages.

Further findings from their market study include:
  • M2M and embedded devices to reach close to half a billion M2M and embedded devices by the end of 2017, from a little over 130 million at present.
  • The price of M2M modules will continue to reduce, particularly the price of 3G modules, as automotive and consumer electronics use-cases require improved bandwidth and latency.
  • APIs from M2M specialists are becoming increasingly sophisticated increasing the level of data analysis available to those deploying M2M solutions.
  • 4G chipsets, while shipping in very low volumes at present, will find their market in the automotive industry and specific applications such as live video monitoring.

Their report includes a comprehensive analysis of the current state of play in the Embedded Mobile and M2M market and contains five year forecasts for M2M device numbers, service revenues, connectivity enablement revenues and the value of the hardware market.

Popular posts from this blog

How a Digital-First CEO Leads Transformation

Some leaders reject the notion that "wait and see" is the best response to disruptive change. Savvy senior executives are already driving digital business transformation throughout their organization in an effort to gain a bold strategic advantage. According to the latest market study by International Data Corp (IDC), Digital-First CEOs plan to drive at least half of their income from digital business products, services, and experiences by 2027 -- that's ahead of the market average of 39 percent. Driven by their response to the COVID-19 pandemic, these business leaders have changed how they think about the relationship between business and technology, and how they approach the next digital transformation era -- from scaling digital technology to guiding a viable digital business. Digital Business Market Development IDC defines digital business as value creation based on technology, which entails: 1) Automated customer-facing processes and internal operations; 2) Provision

Digital Solutions for Industrial & Manufacturing Firms

Executive leaders of fast-moving consumer goods (FMCG) are seeking guidance on how to apply new business technology in their manufacturing operations. CIOs and CTOs are tasked with gaining insight into the best solutions for digital transformation. ABI Research evaluated the impact politics, regulation, the economy, supply chain, ESG, and technology are having on FMCG, pharma, producers of steel, chemicals, pulp and paper -- as well as the mining and oil & gas sectors. Digital Transformation Market Development "Our assessment found that the FMCG sector is under pressure from all sides," says Michael Larner, industrial & manufacturing research director at ABI Research . Securing raw materials is challenging considering lockdowns in China and limited grain supplies from Ukraine. Supply shocks are raising input costs, and operating costs are rising with higher energy costs coupled with the pressure to pay higher wages and work sustainably. "We all hoped that with th

Retail Transformation Gains New Momentum

Forward-thinking retailers now have a bright future. In contrast, those that failed to enhance their business model via digital transformation have struggled, declined, and their assets were eventually liquidated. The key difference between these two business outcomes is applied strategic foresight. Even as the world continues to emerge from a global pandemic, retail is growing at levels not seen in the last two decades. Retail sales grew by 7 percent in 2020 and by over 14 percent in 2021, which is in stark contrast to the 3.7 percent annual growth between 2010 and 2019. The increased demand for retail has put a strain on supply chains and retail operations worldwide. As a result, retailers and stakeholders are turning to automation solutions such as mobile robotics for operational ease. Retail Transformation Market Development According to the latest market study by ABI Research, worldwide commercial robot revenue in retail stores will have a Compounded Annual Growth Rate (CAGR) of o