Automotive telematics and smart energy will lead M2M market growth

According to ABI Research’s new study, Cellular M2M Connectivity Services, the M2M market has become a fully mainstream segment of the cellular industry. By the end of 2011, most major mobile operators in North America, Europe, and the Asia-Pacific region had established M2M business units to focus their efforts in this fast growing market. ABI Research predicts that the market for cumulative cellular M2M connections will rise from about 110 million connections in 2011 to approximately 365 million connectio
March 22, 2012 Read time: 2 mins

According to 5725 ABI Research’s new study, Cellular M2M Connectivity Services, the M2M market has become a fully mainstream segment of the cellular industry. By the end of 2011, most major mobile operators in North America, Europe, and the Asia-Pacific region had established M2M business units to focus their efforts in this fast growing market.

ABI Research predicts that the market for cumulative cellular M2M connections will rise from about 110 million connections in 2011 to approximately 365 million connections by 2016. This represents a compounded annual growth rate of roughly 27 per cent by 2016 and translates to about US$35 billion in connectivity services revenue.

The two largest cellular M2M market segments over the forecast period, by revenue, will be automotive telematics and smart energy.  Automotive telematics, including factory-installed systems such as GM’s OnStar service, aftermarket services such as usage-based insurance, and fleet management systems, will together represent more than $15.5 billion in 2016. Meanwhile, smart energy, specifically cellular connectivity to smart meters and data concentrators, will represent more than $7.5 billion in 2016.

“As mobile operators further develop their M2M service offerings, software platforms and M2M application developer support will feature as increasingly larger components of the operators’ services,” says Sam Lucero, practice director, M2M connectivity.  “For example, AT&T announced on 9 January, 2012 that it would be reselling Axeda’s M2M application platform in a US carrier exclusive deal.  This platform will enable AT&T customers to more easily develop and deploy complex M2M applications.”

ABI Research’s new study, Cellular M2M Connectivity Services, discusses the key trends, technologies, and players impacting the cellular M2M connectivity services market.
Networking & Communication Systems Location Based Systems

For more information on companies in this article

Related Content

  • Global smart railways system - increased adoption of analytics and big data
    March 30, 2015
    The Global Smart Railway System market is predicted to grow at a CAGR of 26.76 per cent over the period 2014-2019, according to Research and Markets’ latest report, Global Smart Railways System Market 2015-2019. The report has been prepared based on an in-depth market analysis with inputs from industry experts. It covers the APAC region, Europe, Latin America, the Middle East, and North America; it covers the Global Smart Railway System market landscape and its growth prospects in the coming years and inclu
    Read More
  • Countering congestion’s cost
    May 6, 2015
    A new report on the economic costs of traffic congestion predicts the problem will worsen significantly in future. Jon Masters reviews the figures and some suggested solutions. New figures on the rising economic and environmental costs of congestion have been published by the US traffic data specialist Inrix and the UK’s Centre for Economics & Business Research (Cebr). Their report finds the problem much bigger than previously thought.
    Read More
  • Electric bus sector is game changer for battery market
    March 4, 2016
    According to Dr Victoria Adesanya-Aworinde, technology analyst at IDTechEx, the electric bus (e-bus) market is growing at a CAGR of 20 per cent in terms of unit sales. She says the rapid growth is a game changer for the battery market as electric buses require large-sized batteries ranging from 74 kWh (fast charging e-bus) to over 300 kWh (slow charging e-bus). IDTechEx Research forecasts that the e-bus battery market will overtake the consumer electronics sector by 2020. The new IDTechEx Research repor
    Read More
  • Siemens tops ABI Research’s traffic management systems vendor ranking
    February 5, 2015
    Siemens ranks first in ABI Research’s latest competitive assessment, Smart Transportations Market Research, which evaluates traffic management systems hardware, software, solution, and data providers. It performs strongly on innovation criteria across the board, with an extensive portfolio for traffic monitoring and video surveillance, operations and management centres, modelling and planning, intelligent traffic lights, digital signage, and dynamic tolling. It also scores high on implementation criteria
    Read More

Highlighted Content