Skip to main content

Upside Opportunities for Machine-to-Machine Modules

Mobile machine-to-machine (M2M) modules -- based upon 2G technologies -- continued to dominate shipments in 2012 with over 70 percent market share, according to the latest market study by ABI Research.

As a result, module revenues did not break the $1 billion mark as hoped and the average module price continued to decline.

"Cellular M2M module price competition was intense in 2012 driven by several factors," says, Dan Shey, practice director at ABI Research.

Europe was not the traditional M2M module bellwether market and continued to decline in share of module shipments,

Meanwhile, some Chinese vendors competed aggressively in the higher volume 2G led market segments, and mobile network operators pushed hard for lower module pricing to grow total cellular connections.

However, unlike the personal cellular modem and even the smartphone market, M2M module vendors can insulate themselves from pricing competition by targeting the right industry verticals and offering additional services.

The average module price for the top vendors in the market ranged from $12 to $31. Vendors with higher average per module revenue are focused not just on application markets that seek 3G and 4G modules such as Fixed Wireless Terminals and OEM telematics.

These vendors also target industry sectors where module quality and additional services such as product integration expertise and device management services are key value components and drive customer retention.

ABI's M2M Embedded Module database provides cellular module shipment and revenue estimates for five world regions, and seven air interface technologies covering 2G, 3G, and 4G standards.

Moreover, Application segmentation is provided for 13 markets with new industry segmentation recently added. Country level data is offered for 10 countries.

Popular posts from this blog

How Savvy Pioneers Lead the Future of Work

Hybrid and fully remote work are inevitable in the Global Networked Economy where high-performance talent demands flexibility from employers. To enable these progressive work models, organizations are investing in a wide range of technologies to support more agile types of employment.  According to the latest worldwide market study by International Data Corporation (IDC), leading organizations will spend nearly $1 billion on the Future of Work (FoW) in 2023 -- that's an increase of 18.8 percent over 2022. Future of Work Market Development "Work models continue to evolve, but 37 percent of decision-makers in a recent global survey note that Remote and Hybrid work models will be an embedded part of accepted work practices, supported by a continued shift to the cloud, increasingly instrumented and interconnected physical workplaces, and intelligent digital workspaces," said Holly Muscolino, group vice president at IDC . According to the IDC assessment, organizations must mak

Human Resource Transformation Enabled by IT

Many senior executives are taking a proactive approach to digital business transformation in order to achieve their strategic goals. Delivering revenue growth and profitability is now imperative for every function, including Human Resources (HR). The top 3 priority HR technologies this year are skills management, learning experience platforms, and internal talent marketplaces, according to the latest worldwide market study by Gartner. "With a tumultuous global economy, HR technology leaders face a balancing act in 2023," said Sam Grinter, director at Gartner . "Leaders must anticipate greater levels of accountability and demand for measurable outcomes to justify new technology investments." HR Transformation Market Development Forty-four percent of HR leaders report driving better business outcomes is their number one strategic priority for HR technology transformation over the next three years. Growth in headcount and skills (26 percent) and cost optimization (17 p

Virtual Reality Market Set to Reach $100 Billion

Virtual Reality (VR) market growth is now finally coming to fruition. Thanks to current actions and market momentum, VR is approaching what can be considered critical mass. And, not a moment too soon. This growth momentum comes from new hardware and content releases, accelerating enterprise value recognition, and a significant metaverse wild card that could potentially lift adoption and usage. According to the latest worldwide market study by ABI Research, over 85 million VR Head Mounted Displays (HMDs) will be shipped in 2027 across consumer and enterprise segments, creating a $100 billion VR market that includes hardware, software, and services. Virtual Reality Market Development "Expectations have been high in VR for years, and even decades, without notable growth to show. That growth is finally coming over the next five years," said Eric Abbruzzese, research director at ABI Research . The barrier to entry is lower than ever, all while content performance and user experien