The Wireless M2M Bible - Opportunities, Challenges ... · The Wireless M2M Bible - Opportunities,...
Transcript of The Wireless M2M Bible - Opportunities, Challenges ... · The Wireless M2M Bible - Opportunities,...
The Wireless M2M Bible - Opportunities, Challenges, Strategies, Industry
Verticals and Forecasts: 2013 - 2018
Revision Date: 08 February 2013
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Table of Contents
List of Figures .................................................................................................19
1 Chapter 1: Introduction ............................................................................22
1.1 Executive Summary ............................................................................................................... 22
1.2 Topics Covered ...................................................................................................................... 24
1.3 Key Questions Answered ....................................................................................................... 27
1.4 Key Findings .......................................................................................................................... 28
1.5 Methodology .......................................................................................................................... 29
1.6 Target Audience ..................................................................................................................... 30
1.7 Companies Mentioned............................................................................................................ 31
2 Chapter 2: An Overview of the M2M Market ..........................................56
2.1 What is M2M Technology? ..................................................................................................... 56
2.2 M2M Architecture ................................................................................................................... 57
2.3 The Wireless M2M Business Case: What is Driving the Market Forward? ............................... 58
2.3.1 Affordable Unit Costs: Viable for a Range of New Applications ........................................ 58
2.3.2 Proliferation of Mobile Data & Broadband: The Enabling Technology behind Wireless M2M 58
2.3.3 Declining Voice Revenues: Economic Motivation ............................................................ 58
2.3.4 Different Business Model: Predictable Revenue Opportunities and No Churn .................. 59
2.3.5 Wireless Coverage is Expanding Globally ....................................................................... 59
2.3.6 Benefiting from the Mobile Handset Ecosystem .............................................................. 59
2.3.7 Government, Regulation and Compliance (GRC) Drivers ................................................ 59
2.3.8 Vertical Market Drivers.................................................................................................... 60
2.4 Challenges & Inhibitors to the M2M Ecosystem ...................................................................... 61
2.4.1 Different Business Model: Associated Risks .................................................................... 61
2.4.2 Low Revenues in Comparison to Voice and Mobile Broadband ....................................... 61
2.4.3 Declining ARPUs ............................................................................................................ 61
2.4.4 Lack of Operator Focus: Bit Carrier Not Solution Provider ............................................... 61
2.4.5 Nationally Based Operators: Scalability Challenges ........................................................ 61
2.4.6 Security Challenges ........................................................................................................ 62
2.4.7 Limited Demand for LTE Connections in the Short Term ................................................. 62
2.4.8 Integration Complexity in Non-Technical Markets ............................................................ 62
2.4.9 Investment Challenges ................................................................................................... 63
2.4.10 The Global Macro Environment....................................................................................... 63
2.5 First Major M2M Alliance ........................................................................................................ 64
2.6 M2M and the Vision of the Internet of Things .......................................................................... 64
2.6.1 A Variety of High-Performance and Low-Cost Devices .................................................... 64
2.6.2 Scaling Connectivity to Billions of Devices ...................................................................... 64
2.6.3 Cloud Based Device Management .................................................................................. 65
2.7 M2M Standardisation Bodies .................................................................................................. 66
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Strategies, Industry Verticals & Forecasts: 2013 – 2018
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2.7.1 The OneM2M Initiative .................................................................................................... 66
2.7.2 3GPP ............................................................................................................................. 67
2.7.3 China Communications Standards Association (CCSA) .................................................. 67
2.7.4 ETSI ............................................................................................................................... 67
2.7.5 GSMA ............................................................................................................................ 67
2.7.6 IEEE ............................................................................................................................... 67
2.7.7 Open Mobile Alliance ...................................................................................................... 68
2.7.8 TIA ................................................................................................................................. 68
2.7.9 NITS ............................................................................................................................... 68
2.7.10 WiMAX Forum ................................................................................................................ 68
2.7.11 Wi-Fi Alliance ................................................................................................................. 68
3 Chapter 3: Vertical Markets - M2M Opportunities, Use Cases, Applications and Case Studies .....................................................................70
3.1 Utilities and Smart Grid ........................................................................................................... 70
3.1.1 The Smart Grid ............................................................................................................... 70
3.1.2 M2M-Enabled Smart Meters ........................................................................................... 70
3.1.3 Application Case Study: Power Distribution Systems ...................................................... 73
3.1.4 Case Study: Norse Pipeline – Achieving Operational Efficiency with M2M ....................... 74
3.1.5 Case Study: O2 - Smart Metering in the UK .................................................................... 75
3.2 Automotive and Transportation Industry.................................................................................. 76
3.2.1 Safety and Security......................................................................................................... 76
3.2.2 Information and Navigation ............................................................................................. 76
3.2.3 Diagnostic Services ........................................................................................................ 76
3.2.4 Intelligent Traffic & Fleet Management ............................................................................ 77
3.2.5 Case Study: Cinterion – Diagnostics and Safety ............................................................. 78
3.2.6 Case Study: Romec – Managing Fuel Consumption,....................................................... 78
3.2.7 Case Study: Insurance Companies ................................................................................. 78
3.3 Logistics ................................................................................................................................. 79
3.3.1 Monitoring Storage Conditions across the Supply Chain ................................................. 79
3.3.2 Inventory Management & Asset Tracking ........................................................................ 79
3.3.3 Fleet Tracking ................................................................................................................. 79
3.3.4 Monitoring of Shipment Conditions.................................................................................. 79
3.3.5 Case Study: Praxair – Avoiding Tank Outages ................................................................ 80
3.4 Public Safety, Security & Surveillance .................................................................................... 81
3.4.1 CCTV and Video Surveillance ......................................................................................... 81
3.4.2 Perimeter Access Control ............................................................................................... 81
3.4.3 Detection of Liquids, Gases, Radiation and Explosives ................................................... 81
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3.4.4 Case Study: Video Surveillance in Shenzhen .................................................................. 82
3.4.5 Case Study: New Jersey Police Department ................................................................... 82
3.5 Retail and Vending ................................................................................................................. 83
3.5.1 POS Applications ............................................................................................................ 83
3.5.2 Monitoring Purchases ..................................................................................................... 83
3.5.3 Smart Product Management ........................................................................................... 83
3.5.4 NFC Enabled M2M Applications ..................................................................................... 83
3.5.5 Intelligent Shopping Applications .................................................................................... 83
3.5.6 Other Applications .......................................................................................................... 84
3.5.7 Case Study: Camelot Group – Improving Operational Efficiency for Retailers .................. 84
3.6 Healthcare.............................................................................................................................. 85
3.6.1 Telemedicine .................................................................................................................. 85
3.6.2 Remote Patient Monitoring and Care .............................................................................. 85
3.6.3 Case Study: LifeScan – Enabling Blood Glucose Monitoring ........................................... 85
3.6.4 Case Study: Respironics – Remote Diagnostics for Respirators and Ventilators .............. 86
3.7 Other Industry Verticals .......................................................................................................... 87
3.7.1 Agriculture ...................................................................................................................... 87
3.7.2 Smart Buildings and Smart Cities .................................................................................... 87
3.7.3 Construction ................................................................................................................... 87
3.7.4 IT & Networks ................................................................................................................. 87
3.7.5 Industrial Automation ...................................................................................................... 87
3.7.6 Consumer Electronics ..................................................................................................... 88
4 Chapter 4: Wireless M2M Industry Roadmap, Value Chain and Key Trends .............................................................................................................89
4.1 Wireless M2M Industry Roadmap ........................................................................................... 89
4.1.1 2010 – 2012: Proliferation of 3G M2M and Vehicular Telematics ..................................... 89
4.1.2 2013 – 2015: The Utilities Era – Rise of the Smart Grid ................................................... 90
4.1.3 2016 – 2018: The LTE Era – A Shift towards Bandwidth Hungry Applications.................. 90
4.2 The Wireless M2M Value Chain ............................................................................................. 91
4.2.1 Wireless Device Product Chain: Chipset Vendors and M2M Module Suppliers ................ 91
4.2.2 M2M Hardware Solutions ................................................................................................ 92
4.2.3 Connectivity: Mobile Network Operators, MVNOs and Aggregators ................................. 92
4.2.4 System Integrators ......................................................................................................... 94
4.2.5 Connected Device Platform (CDP) .................................................................................. 94
4.2.6 Application Enablement Platform (AEP) and Application Development Platform (ADP) .... 94
4.2.7 Vertical Market Players ................................................................................................... 94
4.3 Service and Application Platforms: Diversifying the Value Chain ............................................. 95
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4.4 Partnerships: Key to Operator Profitability .............................................................................. 96
4.4.1 AT&T .............................................................................................................................. 96
4.4.2 Telenor ........................................................................................................................... 96
4.4.3 T-Mobile ......................................................................................................................... 96
4.5 The M2M Module Market: Consolidation & Acquisitions Lead the Way .................................... 97
4.5.1 Sierra Wireless Acquires Wavecom – Q1‟2009 ............................................................... 97
4.5.2 Gemalto Acquires Cinterion – Q2‟2010 ........................................................................... 97
4.5.3 Novatel Acquires Enfora – Q4‟2010 ................................................................................ 97
4.5.4 Telit Acquires Motorola‟s M2M Business Unit – Q1‟2011 ................................................. 97
4.5.5 Sierra Wireless Acquires Sagemcom‟s M2M Business Unit – Q3‟2012 ............................ 98
4.6 Networking Requirements for M2M ......................................................................................... 99
4.6.1 Data Security .................................................................................................................. 99
4.6.2 Network Availability....................................................................................................... 100
4.6.3 Network Costs & Billing................................................................................................. 100
4.6.4 Multi-Technology Network Access (2G, 3G, WiMAX, LTE) ............................................ 100
4.6.5 Two-Way Communications Connectivity ....................................................................... 100
4.6.6 Convergence with CDP, AEP and ADP platforms.......................................................... 101
4.7 M2M Business Models for Operators .................................................................................... 102
4.7.1 Wholesale .................................................................................................................... 102
4.7.2 Bundled ........................................................................................................................ 102
4.7.3 Flexible ......................................................................................................................... 102
4.7.4 Revenue Share ............................................................................................................ 102
4.7.5 Application Based ......................................................................................................... 102
4.7.6 SLA Based ................................................................................................................... 102
4.8 M2M in the LTE Era ............................................................................................................. 103
4.8.1 The Switch from 2G to LTE: The Rise of Video Based M2M Applications ...................... 104
4.8.2 Is Speed the Only Benefit of LTE?: The Market for Latency Sensitive Applications ........ 104
4.8.3 Longevity and Economics ............................................................................................. 105
4.8.4 Scalability: Support for IPv6 .......................................................................................... 105
5 Chapter 5: Embedded Wireless M2M Module Vendors ......................106
5.1 Gemalto (Cinterion) .............................................................................................................. 106
5.1.1 Overview & Strategy ..................................................................................................... 106
5.1.2 Geographical Regions .................................................................................................. 106
5.1.3 Target Market ............................................................................................................... 106
5.1.4 Key M2M Products/Services ......................................................................................... 106
5.2 Novatel Wireless (Enfora) ..................................................................................................... 107
5.2.1 Overview & Strategy ..................................................................................................... 107
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5.2.2 Geographical Regions .................................................................................................. 107
5.2.3 Target Market ............................................................................................................... 107
5.2.4 Key M2M Products/Services ......................................................................................... 107
5.3 Sierra Wireless ..................................................................................................................... 108
5.3.1 Overview & Strategy ..................................................................................................... 108
5.3.2 Geographical Regions .................................................................................................. 108
5.3.3 Target Market ............................................................................................................... 108
5.3.4 Key M2M Products/Services ......................................................................................... 108
5.4 SIMCom ............................................................................................................................... 109
5.4.1 Overview & Strategy ..................................................................................................... 109
5.4.2 Geographical Regions .................................................................................................. 109
5.4.3 Target Market ............................................................................................................... 109
5.4.4 Key M2M Products/Services ......................................................................................... 109
5.5 Telit ...................................................................................................................................... 110
5.5.1 Overview & Strategy ..................................................................................................... 110
5.5.2 Geographical Regions .................................................................................................. 110
5.5.3 Target Market ............................................................................................................... 110
5.5.4 Key M2M Products/Services ......................................................................................... 110
5.6 U-blox .................................................................................................................................. 111
5.6.1 Overview & Strategy ..................................................................................................... 111
5.6.2 Geographical Regions .................................................................................................. 111
5.6.3 Target Market ............................................................................................................... 111
5.6.4 Key M2M Products/Services ......................................................................................... 111
5.7 Others .................................................................................................................................. 112
5.7.1 Huawei ......................................................................................................................... 112
5.7.2 iWOW ........................................................................................................................... 112
5.7.3 Neoway ........................................................................................................................ 112
5.7.4 Quectel ......................................................................................................................... 112
5.7.5 ZTE .............................................................................................................................. 112
6 Chapter 6: M2M Hardware Solution Providers ....................................113
6.1 Arduino ................................................................................................................................ 113
6.1.1 Overview & Strategy ..................................................................................................... 113
6.1.2 Geographical Regions .................................................................................................. 113
6.1.3 Target Market ............................................................................................................... 113
6.1.4 Key M2M Products/Services ......................................................................................... 113
6.2 CalAmp ................................................................................................................................ 114
6.2.1 Overview & Strategy ..................................................................................................... 114
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6.2.2 Geographical Regions .................................................................................................. 114
6.2.3 Target Market ............................................................................................................... 114
6.2.4 Key M2M Products/Services ......................................................................................... 114
6.3 Digi International .................................................................................................................. 115
6.3.1 Overview & Strategy ..................................................................................................... 115
6.3.2 Geographical Regions .................................................................................................. 115
6.3.3 Target Market ............................................................................................................... 115
6.3.4 Key M2M Products/Services ......................................................................................... 115
6.4 Libelium ............................................................................................................................... 116
6.4.1 Overview & Strategy ..................................................................................................... 116
6.4.2 Geographical Regions .................................................................................................. 116
6.4.3 Target Market ............................................................................................................... 116
6.4.4 Key M2M Products/Services ......................................................................................... 116
6.5 Neul ..................................................................................................................................... 117
6.5.1 Overview & Strategy ..................................................................................................... 117
6.5.2 Geographical Regions .................................................................................................. 117
6.5.3 Target Market ............................................................................................................... 117
6.5.4 Key M2M Products/Services ......................................................................................... 117
6.6 Raspberry Pi ........................................................................................................................ 118
6.6.1 Overview & Strategy ..................................................................................................... 118
6.6.2 Geographical Regions .................................................................................................. 118
6.6.3 Target Market ............................................................................................................... 118
6.6.4 Key M2M Products/Services ......................................................................................... 118
6.7 Telular .................................................................................................................................. 119
6.7.1 Overview & Strategy ..................................................................................................... 119
6.7.2 Geographical Regions .................................................................................................. 119
6.7.3 Target Market ............................................................................................................... 119
6.7.4 Key M2M Products/Services ......................................................................................... 119
6.8 Wipro ................................................................................................................................... 120
6.8.1 Overview & Strategy ..................................................................................................... 120
6.8.2 Geographical Regions .................................................................................................. 120
6.8.3 Target Market ............................................................................................................... 120
6.8.4 Key M2M Products/Services ......................................................................................... 120
6.9 Others .................................................................................................................................. 121
6.9.1 Bosch ........................................................................................................................... 121
6.9.2 Continental ................................................................................................................... 121
6.9.3 Gemalto (Cinterion) ...................................................................................................... 121
6.9.4 Honeywell ..................................................................................................................... 121
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6.9.5 Huawei ......................................................................................................................... 121
6.9.6 ILS Technology............................................................................................................. 121
6.9.7 Ingenico ....................................................................................................................... 121
6.9.8 Itron .............................................................................................................................. 121
6.9.9 Landis & Gyr................................................................................................................. 121
6.9.10 Novatel Wireless (Enfora) ............................................................................................. 122
6.9.11 Numerex....................................................................................................................... 122
6.9.12 Schlage ........................................................................................................................ 122
6.9.13 Sierra Wireless ............................................................................................................. 122
6.9.14 SIMCom ....................................................................................................................... 122
6.9.15 Verifone ........................................................................................................................ 122
6.9.16 ZTE .............................................................................................................................. 122
7 Chapter 7: M2M MVNOs .........................................................................123
7.1 Numerex .............................................................................................................................. 123
7.1.1 Overview & Strategy ..................................................................................................... 123
7.1.2 Geographical Regions .................................................................................................. 123
7.1.3 Target Market ............................................................................................................... 123
7.1.4 Key M2M Products/Services ......................................................................................... 123
7.2 KORE Telematics ................................................................................................................. 124
7.2.1 Overview & Strategy ..................................................................................................... 124
7.2.2 Geographical Regions .................................................................................................. 124
7.2.3 Target Market ............................................................................................................... 124
7.2.4 Key M2M Products/Services ......................................................................................... 124
7.3 M2M DataSmart ................................................................................................................... 125
7.3.1 Overview & Strategy ..................................................................................................... 125
7.3.2 Geographical Regions .................................................................................................. 125
7.3.3 Target Market ............................................................................................................... 125
7.3.4 Key M2M Products/Services ......................................................................................... 125
7.4 M2M Wireless ...................................................................................................................... 126
7.4.1 Overview & Strategy ..................................................................................................... 126
7.4.2 Geographical Regions .................................................................................................. 126
7.4.3 Target Market ............................................................................................................... 126
7.4.4 Key M2M Products/Services ......................................................................................... 126
7.5 Wireless Logic ...................................................................................................................... 127
7.5.1 Overview & Strategy ..................................................................................................... 127
7.5.2 Geographical Regions .................................................................................................. 127
7.5.3 Target Market ............................................................................................................... 127
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7.5.4 Key M2M Products/Services ......................................................................................... 127
7.6 Wyless ................................................................................................................................. 128
7.6.1 Overview & Strategy ..................................................................................................... 128
7.6.2 Geographical Regions .................................................................................................. 128
7.6.3 Target Market ............................................................................................................... 128
7.6.4 Key M2M Products/Services ......................................................................................... 128
8 Chapter 8: Cloud-based M2M AEP and ADP Platform Providers ......129
8.1 Axeda .................................................................................................................................. 129
8.1.1 Overview & Strategy ..................................................................................................... 129
8.1.2 Geographical Regions .................................................................................................. 130
8.1.3 Target Market ............................................................................................................... 130
8.1.4 Key M2M Products/Services ......................................................................................... 130
8.2 ILS Technology .................................................................................................................... 131
8.2.1 Overview & Strategy ..................................................................................................... 131
8.2.2 Geographical Regions .................................................................................................. 131
8.2.3 Target Market ............................................................................................................... 131
8.2.4 Key M2M Products/Services ......................................................................................... 131
8.3 Others .................................................................................................................................. 131
8.3.1 CalAmp COLT .............................................................................................................. 131
8.3.2 Gemalto (Cinterion) ...................................................................................................... 131
8.3.3 iDigi Device Cloud ........................................................................................................ 131
8.3.4 Novatel Wireless (Enfora) ............................................................................................. 132
8.3.5 Numerex....................................................................................................................... 132
8.3.6 Sierra Wireless ............................................................................................................. 132
8.3.7 Telular .......................................................................................................................... 132
9 Chapter 9: M2M Connected Device Platform (CDP) Providers ..........133
9.1 Jasper Wireless .................................................................................................................... 133
9.1.1 Overview & Strategy ..................................................................................................... 133
9.1.2 Geographical Regions .................................................................................................. 133
9.1.3 Target Market ............................................................................................................... 133
9.1.4 Key M2M Products/Services ......................................................................................... 133
9.2 RACO Wireless .................................................................................................................... 134
9.2.1 Overview & Strategy ..................................................................................................... 134
9.2.2 Geographical Regions .................................................................................................. 134
9.2.3 Target Market ............................................................................................................... 134
9.2.4 Key M2M Products/Services ......................................................................................... 134
9.3 Others .................................................................................................................................. 135
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9.3.1 KORE Telematics ......................................................................................................... 135
9.3.2 Numerex....................................................................................................................... 135
9.3.3 Telit .............................................................................................................................. 135
9.3.4 Wyless ......................................................................................................................... 135
10 Chapter 10: Wireless/IT Industry Incumbents in the M2M Market .....136
10.1 Alcatel Lucent ...................................................................................................................... 136
10.1.1 Overview & Strategy ..................................................................................................... 136
10.1.2 Geographical Regions .................................................................................................. 136
10.1.3 Target Market ............................................................................................................... 136
10.1.4 Key M2M Products/Services ......................................................................................... 136
10.2 ARM Holdings ...................................................................................................................... 137
10.2.1 Overview & Strategy ..................................................................................................... 137
10.2.2 Geographical Regions .................................................................................................. 137
10.2.3 Target Market ............................................................................................................... 137
10.2.4 Key M2M Products/Services ......................................................................................... 137
10.3 Cisco .................................................................................................................................... 138
10.3.1 Overview & Strategy ..................................................................................................... 138
10.3.2 Geographical Regions .................................................................................................. 138
10.3.3 Target Market ............................................................................................................... 138
10.3.4 Key M2M Products/Services ......................................................................................... 138
10.4 Ericsson ............................................................................................................................... 139
10.4.1 Overview & Strategy ..................................................................................................... 139
10.4.2 Geographical Regions .................................................................................................. 139
10.4.3 Target Market ............................................................................................................... 139
10.4.4 Key M2M Products/Services ......................................................................................... 139
10.5 General Electric (GE) ........................................................................................................... 140
10.5.1 Overview & Strategy ..................................................................................................... 140
10.5.2 Geographical Regions .................................................................................................. 140
10.5.3 Target Market ............................................................................................................... 140
10.5.4 Key M2M Products/Services ......................................................................................... 140
10.6 Huawei ................................................................................................................................. 141
10.6.1 Overview & Strategy ..................................................................................................... 141
10.6.2 Geographical Regions .................................................................................................. 141
10.6.3 Target Market ............................................................................................................... 141
10.6.4 Key M2M Products/Services ......................................................................................... 141
10.7 IBM ...................................................................................................................................... 142
10.7.1 Overview & Strategy ..................................................................................................... 142
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10.7.2 Geographical Regions .................................................................................................. 142
10.7.3 Target Market ............................................................................................................... 142
10.7.4 Key M2M Products/Services ......................................................................................... 142
10.8 Intel ...................................................................................................................................... 143
10.8.1 Overview & Strategy ..................................................................................................... 143
10.8.2 Geographical Regions .................................................................................................. 143
10.8.3 Target Market ............................................................................................................... 143
10.8.4 Key M2M Products/Services ......................................................................................... 143
10.9 NEC ..................................................................................................................................... 144
10.9.1 Overview & Strategy ..................................................................................................... 144
10.9.2 Geographical Regions .................................................................................................. 144
10.9.3 Target Market ............................................................................................................... 144
10.9.4 Key M2M Products/Services ......................................................................................... 144
10.10 Oracle .............................................................................................................................. 145
10.10.1 Overview & Strategy ................................................................................................. 145
10.10.2 Geographical Regions .............................................................................................. 145
10.10.3 Target Market ........................................................................................................... 145
10.10.4 Key M2M Products/Services ..................................................................................... 145
10.11 Qualcomm ........................................................................................................................ 146
10.11.1 Overview & Strategy ................................................................................................. 146
10.11.2 Geographical Regions .............................................................................................. 146
10.11.3 Target Market ........................................................................................................... 146
10.11.4 Key M2M Products/Services ..................................................................................... 146
11 Chapter 11: M2M Network Operators ...................................................147
11.1 Aeris Communications.......................................................................................................... 147
11.1.1 Overview & Strategy ..................................................................................................... 147
11.1.2 Geographical Regions .................................................................................................. 147
11.1.3 Target Market ............................................................................................................... 147
11.1.4 Key M2M Products/Services ......................................................................................... 147
11.2 AT&T ................................................................................................................................... 148
11.2.1 Overview & Strategy ..................................................................................................... 148
11.2.2 Geographical Regions .................................................................................................. 148
11.2.3 Target Market ............................................................................................................... 148
11.2.4 Key M2M Products/Services ......................................................................................... 148
11.3 China Mobile ........................................................................................................................ 149
11.3.1 Overview & Strategy ..................................................................................................... 149
11.3.2 Geographical Regions .................................................................................................. 149
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11.3.3 Target Market ............................................................................................................... 149
11.3.4 Key M2M Products/Services ......................................................................................... 149
11.4 Deutsche Telecom ............................................................................................................... 150
11.4.1 Overview & Strategy ..................................................................................................... 150
11.4.2 Geographical Regions .................................................................................................. 150
11.4.3 Target Market ............................................................................................................... 150
11.4.4 Key M2M Products/Services ......................................................................................... 150
11.5 Iridium .................................................................................................................................. 151
11.5.1 Overview & Strategy ..................................................................................................... 151
11.5.2 Geographical Regions .................................................................................................. 151
11.5.3 Target Market ............................................................................................................... 151
11.5.4 Key M2M Products/Services ......................................................................................... 151
11.6 NTT DoCoMo ....................................................................................................................... 152
11.6.1 Overview & Strategy ..................................................................................................... 152
11.6.2 Geographical Regions .................................................................................................. 152
11.6.3 Target Market ............................................................................................................... 152
11.6.4 Key M2M Products/Services ......................................................................................... 152
11.7 Orange ................................................................................................................................. 153
11.7.1 Overview & Strategy ..................................................................................................... 153
11.7.2 Geographical Regions .................................................................................................. 153
11.7.3 Target Market ............................................................................................................... 153
11.7.4 Key M2M Products/Services ......................................................................................... 153
11.8 SIGFOX ............................................................................................................................... 154
11.8.1 Overview & Strategy ..................................................................................................... 154
11.8.2 Geographical Regions .................................................................................................. 154
11.8.3 Target Market ............................................................................................................... 154
11.8.4 Key M2M Products/Services ......................................................................................... 154
11.9 Singtel .................................................................................................................................. 155
11.9.1 Overview & Strategy ..................................................................................................... 155
11.9.2 Geographical Regions .................................................................................................. 155
11.9.3 Target Market ............................................................................................................... 155
11.9.4 Key M2M Products/Services ......................................................................................... 155
11.10 Sprint ............................................................................................................................... 156
11.10.1 Overview & Strategy ................................................................................................. 156
11.10.2 Geographical Regions .............................................................................................. 156
11.10.3 Target Market ........................................................................................................... 156
11.10.4 Key M2M Products/Services ..................................................................................... 156
11.11 Telefónica ........................................................................................................................ 157
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11.11.1 Overview & Strategy ................................................................................................. 157
11.11.2 Geographical Regions .............................................................................................. 157
11.11.3 Target Market ........................................................................................................... 157
11.11.4 Key M2M Products/Services ..................................................................................... 157
11.12 Telstra .............................................................................................................................. 158
11.12.1 Overview & Strategy ................................................................................................. 158
11.12.2 Geographical Regions .............................................................................................. 158
11.12.3 Target Market ........................................................................................................... 158
11.12.4 Key M2M Products/Services ..................................................................................... 158
11.13 T-Mobile ........................................................................................................................... 159
11.13.1 Overview & Strategy ................................................................................................. 159
11.13.2 Geographical Regions .............................................................................................. 159
11.13.3 Target Market ........................................................................................................... 159
11.13.4 Key M2M Products/Services ..................................................................................... 159
11.14 Verizon ............................................................................................................................. 160
11.14.1 Overview & Strategy ................................................................................................. 160
11.14.2 Geographical Regions .............................................................................................. 160
11.14.3 Target Market ........................................................................................................... 160
11.14.4 Key M2M Products/Services ..................................................................................... 160
11.15 Vodafone .......................................................................................................................... 161
11.15.1 Overview & Strategy ................................................................................................. 161
11.15.2 Geographical Regions .............................................................................................. 161
11.15.3 Target Market ........................................................................................................... 161
11.15.4 Key M2M Products/Services ..................................................................................... 161
11.16 Optus ............................................................................................................................... 162
11.16.1 Overview & Strategy ................................................................................................. 162
11.16.2 Geographical Regions .............................................................................................. 162
11.16.3 Target Market ........................................................................................................... 162
11.16.4 Key M2M Products/Services ..................................................................................... 162
12 Chapter 12: Market Analysis and Forecasts ........................................163
12.1 The Global Wireless M2M Market: 2013 - 2018 .................................................................... 163
12.1.1 Global Wireless M2M Market Revenue: 2013 - 2018 ..................................................... 163
12.1.2 Global Wireless M2M Market Revenue by Submarket: 2013 - 2018 .............................. 164
12.1.3 Global Wireless M2M Market Revenue by Region: 2013 - 2018 .................................... 165
12.2 Wireless M2M Network Connections: 2013 - 2018 ................................................................ 166
12.2.1 Global Wireless M2M Connections: 2013 - 2018 ........................................................... 166
12.2.2 Global Wireless M2M Connections by Technology: 2013 - 2018 ................................... 167
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12.2.3 Global Wireless M2M Connections by Industry Vertical: 2013 - 2018 ............................ 168
12.2.4 Global Wireless M2M Connections by Region: 2013 – 2018.......................................... 169
12.3 M2M Network Connectivity Submarket: 2013 - 2018 ............................................................. 170
12.3.1 Global Wireless M2M Network Connectivity Revenue: 2013 - 2018 ............................... 170
12.3.2 Global Wireless M2M Network Connectivity ARPU: 2013 - 2018 ................................... 171
12.3.3 Global Wireless M2M Network Connectivity Revenue by Industry Vertical: 2013 - 2018 172
12.3.4 Global Wireless M2M Network Connectivity Revenue by Region: 2013 – 2018 ............. 173
12.3.5 Global Wireless M2M Network Connectivity ARPU by Industry Vertical: 2013 – 2018 .... 174
12.4 M2M Application Services Submarket: 2013 - 2018 .............................................................. 175
12.4.1 Global Wireless M2M Application Services Revenue: 2013 - 2018 ................................ 175
12.4.2 Global Wireless M2M Application Services ARPU: 2013 - 2018 .................................... 176
12.4.3 Global Wireless M2M Application Services Revenue by Industry Vertical: 2013 - 2018 .. 177
12.4.4 Global Wireless M2M Application Services Revenue by Region: 2013 – 2018 ............... 178
12.4.5 Global Wireless M2M Application Services ARPU by Industry Vertical: 2013 – 2018 ..... 179
12.5 Embedded Wireless M2M Modules Submarket: 2013 - 2018 ................................................ 180
12.5.1 Global Embedded Wireless M2M Module Shipments: 2013 - 2018 ................................ 180
12.5.2 Global Embedded Wireless M2M Module Sales Revenue: 2013 - 2018......................... 181
12.5.3 Global Embedded Wireless M2M Module Shipments by Technology: 2013 - 2018 ........ 182
12.5.4 Global Embedded Wireless M2M Module Sales Revenue by Technology: 2013 - 2018 . 182
12.5.5 Global Embedded Wireless M2M Module ASP by Technology: 2013 - 2018 .................. 183
12.5.6 Global Embedded Wireless M2M Module Shipments by Industry Vertical: 2013 - 2018 . 184
12.5.7 Global Embedded Wireless M2M Module Sales Revenue by Industry Vertical: 2013 - 2018 184
12.5.8 Global Embedded Wireless M2M Module Shipments by Region: 2013 - 2018 ............... 185
12.5.9 Global Embedded Wireless M2M Module Sales Revenue by Region: 2013 - 2018 ........ 185
12.5.10 Global Embedded Wireless M2M Module Vendor Market Share by Unit Shipments: 2012 186
12.5.11 Global Embedded Wireless M2M Module Vendor Market Share by Revenue: 2012 ... 186
12.6 M2M Network Security Submarket: 2013 - 2018 ................................................................... 187
12.6.1 Global Wireless M2M Network Security Services Revenue: 2013 - 2018 ....................... 187
12.6.2 Global Wireless M2M Network Security Services Revenue by Region: 2013 - 2018 ...... 188
12.7 M2M Connected Device Platform (CDP) Submarket: 2013 - 2018......................................... 189
12.7.1 Global Wireless M2M Connected Device Platform (CDP) Revenue: 2013 - 2018 .......... 189
12.7.2 Global Wireless M2M Connected Device Platform (CDP) Revenue by Region: 2013 - 2018 190
12.8 M2M Application Platform (AEP, ADP) Submarket: 2013 - 2018 ........................................... 191
12.8.1 Global Wireless M2M Application Platform (AEP, ADP) Revenue: 2013 - 2018 ............. 191
12.8.2 Global Wireless M2M Application Platform (AEP, ADP) Revenue by Region: 2013 - 2018 192
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12.9 M2M Integration Services Submarket: 2013 - 2018 ............................................................... 193
12.9.1 Global Wireless M2M Integration Services Revenue: 2013 - 2018 ................................. 193
12.9.2 Global Wireless M2M Integration Services Revenue by Region: 2013 - 2018 ................ 194
12.10 M2M Enabling Technology Submarket: 2013 - 2018 ......................................................... 195
12.10.1 Global Wireless M2M Enabling Technology Revenue: 2013 - 2018 ........................... 195
12.10.2 Global Wireless M2M Enabling Technology Revenue: 2013 - 2018 ........................... 196
12.11 M2M Industry Verticals: 2013 - 2018 ................................................................................. 197
12.11.1 Utilities and Smart Grid Industry Vertical Revenue: 2013 - 2018 ................................ 197
12.11.2 Automotive and Transportation Industry Vertical Revenue: 2013 - 2018 .................... 198
12.11.3 Logistics Industry Vertical Revenue: 2013 - 2018 ...................................................... 199
12.11.4 Public Safety, Security and Surveillance Industry Vertical Revenue: 2013 - 2018 ...... 200
12.11.5 Retail and Vending Industry Vertical Revenue: 2013 - 2018 ...................................... 201
12.11.6 Healthcare Industry Vertical Revenue: 2013 - 2018 ................................................... 202
12.11.7 Other Industry Vertical Segments Revenue: 2013 - 2018 .......................................... 203
12.12 The North America Wireless M2M Market: 2013 - 2018 .................................................... 204
12.12.1 North America Wireless M2M Market Revenue: 2013 - 2018 ..................................... 204
12.12.2 North America Wireless M2M Connections: 2013 – 2018 .......................................... 205
12.12.3 North America Wireless M2M Network Connectivity Revenue: 2013 – 2018 .............. 205
12.12.4 North America Wireless M2M Application Services Revenue: 2013 – 2018 ............... 206
12.12.5 North America Embedded Wireless M2M Module Shipments: 2013 - 2018 ................ 206
12.12.6 North America Embedded Wireless M2M Module Sales Revenue: 2013 - 2018......... 207
12.12.7 North America Wireless M2M Network Security Services Revenue: 2013 - 2018 ....... 207
12.12.8 North America Wireless M2M Connected Device Platform (CDP) Revenue: 2013 - 2018 208
12.12.9 North America Wireless M2M Application Platform (AEP, ADP) Revenue: 2013 - 2018 208
12.12.10 North America Wireless M2M Integration Services Revenue: 2013 - 2018 ................. 209
12.12.11 North America Wireless M2M Enabling Technology Revenue: 2013 - 2018 ............... 209
12.13 The Asia Pacific Wireless M2M Market: 2013 - 2018......................................................... 210
12.13.1 Asia Pacific Wireless M2M Market Revenue: 2013 - 2018 ......................................... 210
12.13.2 Asia Pacific Wireless M2M Connections: 2013 – 2018 .............................................. 211
12.13.3 Asia Pacific Wireless M2M Network Connectivity Revenue: 2013 – 2018 .................. 211
12.13.4 Asia Pacific Wireless M2M Application Services Revenue: 2013 – 2018 .................... 212
12.13.5 Asia Pacific Embedded Wireless M2M Module Shipments: 2013 - 2018 .................... 212
12.13.6 Asia Pacific Embedded Wireless M2M Module Sales Revenue: 2013 - 2018 ............. 213
12.13.7 Asia Pacific Wireless M2M Network Security Services Revenue: 2013 - 2018 ........... 213
12.13.8 Asia Pacific Wireless M2M Connected Device Platform (CDP) Revenue: 2013 - 2018 214
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12.13.9 Asia Pacific Wireless M2M Application Platform (AEP, ADP) Revenue: 2013 - 2018 . 214
12.13.10 Asia Pacific Wireless M2M Integration Services Revenue: 2013 - 2018 ..................... 215
12.13.11 Asia Pacific Wireless M2M Enabling Technology Revenue: 2013 - 2018 ................... 215
12.14 The Western Europe Wireless M2M Market: 2013 - 2018 ................................................. 216
12.14.1 Western Europe Wireless M2M Market Revenue: 2013 - 2018 .................................. 216
12.14.2 Western Europe Wireless M2M Connections: 2013 – 2018 ....................................... 217
12.14.3 Western Europe Wireless M2M Network Connectivity Revenue: 2013 – 2018 ........... 217
12.14.4 Western Europe Wireless M2M Application Services Revenue: 2013 – 2018 ............ 218
12.14.5 Western Europe Embedded Wireless M2M Module Shipments: 2013 - 2018 ............. 218
12.14.6 Western Europe Embedded Wireless M2M Module Sales Revenue: 2013 - 2018 ...... 219
12.14.7 Western Europe Wireless M2M Network Security Services Revenue: 2013 - 2018 .... 219
12.14.8 Western Europe Wireless M2M Connected Device Platform (CDP) Revenue: 2013 - 2018 220
12.14.9 Western Europe Wireless M2M Application Platform (AEP, ADP) Revenue: 2013 - 2018 220
12.14.10 Western Europe Wireless M2M Integration Services Revenue: 2013 - 2018 .............. 221
12.14.11 Western Europe Wireless M2M Enabling Technology Revenue: 2013 - 2018 ............ 221
12.15 The Eastern Europe Wireless M2M Market: 2013 - 2018 .................................................. 222
12.15.1 Eastern Europe Wireless M2M Market Revenue: 2013 - 2018 ................................... 222
12.15.2 Eastern Europe Wireless M2M Connections: 2013 – 2018 ........................................ 223
12.15.3 Eastern Europe Wireless M2M Network Connectivity Revenue: 2013 – 2018 ............ 223
12.15.4 Eastern Europe Wireless M2M Application Services Revenue: 2013 – 2018 ............. 224
12.15.5 Eastern Europe Embedded Wireless M2M Module Shipments: 2013 - 2018 .............. 224
12.15.6 Eastern Europe Embedded Wireless M2M Module Sales Revenue: 2013 - 2018 ....... 225
12.15.7 Eastern Europe Wireless M2M Network Security Services Revenue: 2013 - 2018 ..... 225
12.15.8 Eastern Europe Wireless M2M Connected Device Platform (CDP) Revenue: 2013 - 2018 226
12.15.9 Eastern Europe Wireless M2M Application Platform (AEP, ADP) Revenue: 2013 - 2018 226
12.15.10 Eastern Europe Wireless M2M Integration Services Revenue: 2013 - 2018 ............... 227
12.15.11 Eastern Europe Wireless M2M Enabling Technology Revenue: 2013 - 2018 ............. 227
12.16 The Middle East & Africa Wireless M2M Market: 2013 - 2018 ........................................... 228
12.16.1 Middle East & Africa Wireless M2M Market Revenue: 2013 - 2018 ............................ 228
12.16.2 Middle East & Africa Wireless M2M Connections: 2013 – 2018 ................................. 229
12.16.3 Middle East & Africa Wireless M2M Network Connectivity Revenue: 2013 – 2018 ..... 229
12.16.4 Middle East & Africa Wireless M2M Application Services Revenue: 2013 – 2018 ...... 230
12.16.5 Middle East & Africa Embedded Wireless M2M Module Shipments: 2013 - 2018 ....... 230
12.16.6 Middle East & Africa Embedded Wireless M2M Module Sales Revenue: 2013 - 2018 231
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12.16.7 Middle East & Africa Wireless M2M Network Security Services Revenue: 2013 - 2018 231
12.16.8 Middle East & Africa Wireless M2M Connected Device Platform (CDP) Revenue: 2013 - 2018 232
12.16.9 Middle East & Africa Wireless M2M Application Platform (AEP, ADP) Revenue: 2013 - 2018 232
12.16.10 Middle East & Africa Wireless M2M Integration Services Revenue: 2013 - 2018 ........ 233
12.16.11 Middle East & Africa Wireless M2M Enabling Technology Revenue: 2013 - 2018 ...... 233
12.17 The Latin & Central America Wireless M2M Market: 2013 - 2018 ...................................... 234
12.17.1 Latin & Central America Wireless M2M Market Revenue: 2013 - 2018 ...................... 234
12.17.2 Latin & Central America Wireless M2M Connections: 2013 – 2018 ............................ 235
12.17.3 Latin & Central America Wireless M2M Network Connectivity Revenue: 2013 – 2018 235
12.17.4 Latin & Central America Wireless M2M Application Services Revenue: 2013 – 2018 . 236
12.17.5 Latin & Central America Embedded Wireless M2M Module Shipments: 2013 - 2018 . 236
12.17.6 Latin & Central America Embedded Wireless M2M Module Sales Revenue: 2013 - 2018 237
12.17.7 Latin & Central America Wireless M2M Network Security Services Revenue: 2013 - 2018 237
12.17.8 Latin & Central America Wireless M2M Connected Device Platform (CDP) Revenue: 2013 - 2018 ................................................................................................................................. 238
12.17.9 Latin & Central America Wireless M2M Application Platform (AEP, ADP) Revenue: 2013 - 2018 238
12.17.10 Latin & Central America Wireless M2M Integration Services Revenue: 2013 - 2018 .. 239
12.17.11 Latin & Central America Wireless M2M Enabling Technology Revenue: 2013 - 2018. 239
13 Chapter 13: Conclusion and Strategic Recommendations ................240
13.1 Conclusion ........................................................................................................................... 240
13.1.1 M2M: A Change in the Network Operator Mindset ......................................................... 240
13.1.2 Standardisation is Key to Global Interoperability ........................................................... 240
13.1.3 Declining Module Costs and Price Elasticity: Key to Growth .......................................... 241
13.1.4 Cloud Based Data Analytics: A Growing Trend in the $3 Billion M2M Application Platform Market 241
13.1.5 Assessing the Impact of LTE: Will Operators Force a 2G to 4G Migration?.................... 241
13.1.6 Transition to IPv6: Addressing the Scalability Challenge ............................................... 241
13.1.7 Security Demands: Drivers for the $1 Billion M2M Network Security Market .................. 242
13.1.8 Self Organizing Networks (SON): Recommendations of a Changing Network Topology 242
13.2 Strategic Recommendations ................................................................................................. 243
13.2.1 Recommendations for Embedded Wireless M2M Module Vendors ................................ 243
13.2.2 Recommendations for M2M Hardware Solution Providers ............................................. 243
13.2.3 Recommendations M2M Connected Device Platform (CDP) Providers.......................... 243
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13.2.4 Recommendations for Cloud Based Application Platform (AEP and ADP) Providers ..... 244
13.2.5 Recommendations for M2M Mobile Network Operators and Aggregators/MVNOs ......... 244
13.2.6 Recommendations for Wireless/IT Industry Incumbents ................................................ 244
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List of Figures
Figure 1: M2M Architecture....................................................................................................................................................................... 57
Figure 2: Global Smart Meter Penetration by Region (%): 2011 - 2018 ................................................................................................. 72
Figure 3: Wireless M2M Industry Roadmap ............................................................................................................................................. 89
Figure 4: The Wireless M2M Value Chain................................................................................................................................................ 91
Figure 5: M2M MVNO Architecture .......................................................................................................................................................... 93
Figure 6: Global LTE Deployments Q1‟2013 ......................................................................................................................................... 103
Figure 7: Axeda Application and Data Integration Platform................................................................................................................... 129
Figure 8: Global Wireless M2M Industry Revenue ($ Million): 2011 - 2018 ......................................................................................... 163
Figure 9: Global Wireless M2M Industry Revenue by Submarket ($ Million): 2011 - 2018.................................................................. 164
Figure 10: Global Wireless M2M Industry Revenue by Region ($ Million): 2011 - 2018 ...................................................................... 165
Figure 11: Global Wireless M2M Connections (Millions): 2011 - 2018 ................................................................................................. 166
Figure 12: Global Wireless M2M Connections by Technology (Millions): 2011 - 2018 ........................................................................ 167
Figure 13: Global Wireless M2M Connections by Industry Vertical (Millions): 2011 - 2018................................................................. 168
Figure 14: Global Wireless M2M Connections by Region (Millions): 2011 - 2018 ............................................................................... 169
Figure 15: Global Wireless M2M Network Connectivity Revenue ($ Million): 2011 - 2018 .................................................................. 170
Figure 16: Global Wireless M2M Network Connectivity ARPU ($ per Month): 2011 - 2018 ................................................................ 171
Figure 17: Global Wireless M2M Network Connectivity Revenue by Industry Vertical ($ Million): 2011 - 2018 ................................. 172
Figure 18: Global Wireless M2M Network Connectivity Revenue by Region ($ Million): 2011 - 2018 ................................................ 173
Figure 19: Global Wireless M2M Network Connectivity ARPU by Industry Vertical ($ per Month): 2011 - 2018................................ 174
Figure 20: Global Wireless M2M Application Services Revenue ($ Million): 2011 - 2018 ................................................................... 175
Figure 21: Global Wireless M2M Application Services ARPU ($ per Month): 2011 - 2018.................................................................. 176
Figure 22: Global Wireless M2M Application Services Revenue by Industry Vertical ($ Million): 2011 - 2018 ................................... 177
Figure 23: Global Wireless M2M Application Services Revenue by Region ($ Million): 2011 - 2018 ................................................. 178
Figure 24: Global Wireless M2M Application Services ARPU by Industry Vertical ($ per Month): 2011 - 2018 ................................. 179
Figure 25: Global Embedded Wireless M2M Module Shipments (Millions): 2011 - 2018 .................................................................... 180
Figure 26: Global Embedded Wireless M2M Module Sales Revenue ($ Million): 2011 - 2018 ........................................................... 181
Figure 27: Global Embedded Wireless M2M Module Shipments by Technology (Millions): 2011 - 2018 ........................................... 182
Figure 28: Global Embedded Wireless M2M Module Sales Revenue by Technology ($ Million): 2011 - 2018 .................................. 182
Figure 29: Global Embedded Wireless M2M Module ASP by Technology ($): 2011 - 2018 ............................................................... 183
Figure 30: Global Embedded Wireless M2M Module Shipments by Industry Vertical (Millions): 2011 - 2018.................................... 184
Figure 31: Global Embedded Wireless M2M Module Sales Revenue by Industry Vertical ($ Million): 2011 - 2018........................... 184
Figure 32: Global Embedded Wireless M2M Module Shipments by Region (Millions): 2011 - 2018 .................................................. 185
Figure 33: Global Embedded Wireless M2M Module Sales Revenue by Region ($ Million): 2011 - 2018 ......................................... 185
Figure 34: Global Embedded Wireless M2M Module Vendor Market Share by Unit Shipments (%): 2012 ........................................ 186
Figure 35: Global Embedded Wireless M2M Module Vendor Market Share by Revenue (%): 2012 .................................................. 186
Figure 36: Global Wireless M2M Network Security Services Revenue ($ Million): 2011 - 2018 ......................................................... 187
Figure 37: Global Wireless M2M Network Security Services Revenue by Region ($ Million): 2011 - 2018 ........................................ 188
Figure 38: Global Wireless M2M Connected Device Platform (CDP) Revenue ($ Million): 2011 - 2018 ............................................ 189
Figure 39: Global Wireless M2M Connected Device Platform (CDP) Revenue by Region ($ Million): 2011 - 2018 .......................... 190
Figure 40: Global Wireless M2M Application Platform (AEP, ADP) Revenue ($ Million): 2011 - 2018 ............................................... 191
Figure 41: Global Wireless M2M Application Platform (AEP, ADP) Revenue by Region ($ Million): 2011 - 2018 ............................. 192
Figure 42: Global Wireless M2M Integration Services Revenue ($ Million): 2011 - 2018 .................................................................... 193
Figure 43: Global Wireless M2M Integration Services Revenue by Region ($ Million): 2011 - 2018 .................................................. 194
Figure 44: Global Wireless M2M Enabling Technology Revenue ($ Million): 2011 - 2018 .................................................................. 195
Figure 45: Global Wireless M2M Enabling Technology Revenue by Region ($ Million): 2011 - 2018 ................................................ 196
Figure 46: Utilities and Smart Grid M2M Industry Vertical Revenue by Connectivity/Application Services ($ Million): 2011 - 2018 . 197
Figure 47: Automotive and Transportation M2M Industry Vertical Revenue by Connectivity/Application Services ($ Million): 2011 -
2018 ......................................................................................................................................................................................................... 198
Figure 48: Logistics M2M Industry Vertical Revenue by Connectivity/Application Services ($ Million): 2011 - 2018 ......................... 199
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Figure 49: Public Safety, Security and Surveillance M2M Industry Vertical Revenue by Connectivity/Application Services ($ Million):
2011 - 2018 ............................................................................................................................................................................................. 200
Figure 50: Retail and Vending M2M Industry Vertical Revenue by Connectivity/Application Services ($ Million): 2011 - 2018 ........ 201
Figure 51: Healthcare M2M Industry Vertical Revenue by Connectivity/Application Services ($ Million): 2011 - 2018...................... 202
Figure 52: Other Industry Vertical Segments Revenue by Connectivity/Application Services ($ Million): 2011 - 2018 ...................... 203
Figure 53: North America Wireless M2M Industry Revenue ($ Million): 2011 - 2018 .......................................................................... 204
Figure 54: North America Wireless M2M Connections (Millions): 2011 - 2018 .................................................................................... 205
Figure 55: North America Wireless M2M Network Connectivity Revenue ($ Million): 2011 - 2018 ..................................................... 205
Figure 56: North America Wireless M2M Application Services Revenue ($ Million): 2011 - 2018 ...................................................... 206
Figure 57: North America Embedded Wireless M2M Module Shipments (Millions): 2011 - 2018 ....................................................... 206
Figure 58: North America Embedded Wireless M2M Module Sales Revenue ($ Million): 2011 - 2018 .............................................. 207
Figure 59: North America Wireless M2M Network Security Services Revenue ($ Million): 2011 - 2018 ............................................ 207
Figure 60: North America Wireless M2M Connected Device Platform (CDP) Revenue ($ Million): 2011 - 2018 ............................... 208
Figure 61: North America Wireless M2M Application Platform (AEP, ADP) Revenue ($ Million): 2011 - 2018 .................................. 208
Figure 62: North America Wireless M2M Integration Services Revenue ($ Million): 2011 - 2018 ....................................................... 209
Figure 63: North America Wireless M2M Enabling Technology Revenue ($ Million): 2011 - 2018 ..................................................... 209
Figure 64: Asia Pacific Wireless M2M Industry Revenue ($ Million): 2011 - 2018 ............................................................................... 210
Figure 65: Asia Pacific Wireless M2M Connections (Millions): 2011 - 2018 ......................................................................................... 211
Figure 66: Asia Pacific Wireless M2M Network Connectivity Revenue ($ Million): 2011 - 2018 ......................................................... 211
Figure 67: Asia Pacific Wireless M2M Application Services Revenue ($ Million): 2011 - 2018 ........................................................... 212
Figure 68: Asia Pacific Embedded Wireless M2M Module Shipments (Millions): 2011 - 2018............................................................ 212
Figure 69: Asia Pacific Embedded Wireless M2M Module Sales Revenue ($ Million): 2011 - 2018 ................................................... 213
Figure 70: Asia Pacific Wireless M2M Network Security Services Revenue ($ Million): 2011 - 2018 ................................................. 213
Figure 71: Asia Pacific Wireless M2M Connected Device Platform (CDP) Revenue ($ Million): 2011 - 2018 .................................... 214
Figure 72: Asia Pacific Wireless M2M Application Platform (AEP, ADP) Revenue ($ Million): 2011 - 2018 ....................................... 214
Figure 73: Asia Pacific Wireless M2M Integration Services Revenue ($ Million): 2011 - 2018 ........................................................... 215
Figure 74: Asia Pacific Wireless M2M Enabling Technology Revenue ($ Million): 2011 - 2018.......................................................... 215
Figure 75: Western Europe Wireless M2M Industry Revenue ($ Million): 2011 - 2018 ....................................................................... 216
Figure 76: Western Europe Wireless M2M Connections (Millions): 2011 - 2018 ................................................................................. 217
Figure 77: Western Europe Wireless M2M Network Connectivity Revenue ($ Million): 2011 - 2018 .................................................. 217
Figure 78: Western Europe Wireless M2M Application Services Revenue ($ Million): 2011 - 2018 ................................................... 218
Figure 79: Western Europe Embedded Wireless M2M Module Shipments (Millions): 2011 - 2018 .................................................... 218
Figure 80: Western Europe Embedded Wireless M2M Module Sales Revenue ($ Million): 2011 - 2018 ........................................... 219
Figure 81: Western Europe Wireless M2M Network Security Services Revenue ($ Million): 2011 - 2018 ......................................... 219
Figure 82: Western Europe Wireless M2M Connected Device Platform (CDP) Revenue ($ Million): 2011 - 2018 ............................ 220
Figure 83: Western Europe Wireless M2M Application Platform (AEP, ADP) Revenue ($ Million): 2011 - 2018 ............................... 220
Figure 84: Western Europe Wireless M2M Integration Services Revenue ($ Million): 2011 - 2018 .................................................... 221
Figure 85: Western Europe Wireless M2M Enabling Technology Revenue ($ Million): 2011 - 2018 .................................................. 221
Figure 86: Eastern Europe Wireless M2M Industry Revenue ($ Million): 2011 - 2018 ........................................................................ 222
Figure 87: Eastern Europe Wireless M2M Connections (Millions): 2011 - 2018 .................................................................................. 223
Figure 88: Eastern Europe Wireless M2M Network Connectivity Revenue ($ Million): 2011 - 2018 ................................................... 223
Figure 89: Eastern Europe Wireless M2M Application Services Revenue ($ Million): 2011 - 2018 .................................................... 224
Figure 90: Eastern Europe Embedded Wireless M2M Module Shipments (Millions): 2011 - 2018 ..................................................... 224
Figure 91: Eastern Europe Embedded Wireless M2M Module Sales Revenue ($ Million): 2011 - 2018 ............................................ 225
Figure 92: Eastern Europe Wireless M2M Network Security Services Revenue ($ Million): 2011 - 2018 .......................................... 225
Figure 93: Eastern Europe Wireless M2M Connected Device Platform (CDP) Revenue ($ Million): 2011 - 2018 ............................. 226
Figure 94: Eastern Europe Wireless M2M Application Platform (AEP, ADP) Revenue ($ Million): 2011 - 2018 ................................ 226
Figure 95: Eastern Europe Wireless M2M Integration Services Revenue ($ Million): 2011 - 2018 ..................................................... 227
Figure 96: Eastern Europe Wireless M2M Enabling Technology Revenue ($ Million): 2011 - 2018 ................................................... 227
Figure 97: Middle East & Africa Wireless M2M Industry Revenue ($ Million): 2011 - 2018 ................................................................. 228
Figure 98: Middle East & Africa Wireless M2M Connections (Millions): 2011 - 2018 .......................................................................... 229
Figure 99: Middle East & Africa Wireless M2M Network Connectivity Revenue ($ Million): 2011 - 2018 ........................................... 229
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Figure 100: Middle East & Africa Wireless M2M Application Services Revenue ($ Million): 2011 - 2018 .......................................... 230
Figure 101: Middle East & Africa Embedded Wireless M2M Module Shipments (Millions): 2011 - 2018 ........................................... 230
Figure 102: Middle East & Africa Embedded Wireless M2M Module Sales Revenue ($ Million): 2011 - 2018 .................................. 231
Figure 103: Middle East & Africa Wireless M2M Network Security Services Revenue ($ Million): 2011 - 2018................................. 231
Figure 104: Middle East & Africa Wireless M2M Connected Device Platform (CDP) Revenue ($ Million): 2011 - 2018 ................... 232
Figure 105: Middle East & Africa Wireless M2M Application Platform (AEP, ADP) Revenue ($ Million): 2011 - 2018 ...................... 232
Figure 106: Middle East & Africa Wireless M2M Integration Services Revenue ($ Million): 2011 - 2018 ........................................... 233
Figure 107: Middle East & Africa Wireless M2M Enabling Technology Revenue ($ Million): 2011 - 2018 ......................................... 233
Figure 108: Latin & Central America Wireless M2M Industry Revenue ($ Million): 2011 - 2018 ......................................................... 234
Figure 109: Latin & Central America Wireless M2M Connections (Millions): 2011 - 2018 ................................................................... 235
Figure 110: Latin & Central America Wireless M2M Network Connectivity Revenue ($ Million): 2011 - 2018 ................................... 235
Figure 111: Latin & Central America Wireless M2M Application Services Revenue ($ Million): 2011 - 2018 ..................................... 236
Figure 112: Latin & Central America Embedded Wireless M2M Module Shipments (Millions): 2011 - 2018...................................... 236
Figure 113: Latin & Central America Embedded Wireless M2M Module Sales Revenue ($ Million): 2011 - 2018 ............................. 237
Figure 114: Latin & Central America Wireless M2M Network Security Services Revenue ($ Million): 2011 - 2018 ........................... 237
Figure 115: Latin & Central America Wireless M2M Connected Device Platform (CDP) Revenue ($ Million): 2011 - 2018 .............. 238
Figure 116: Latin & Central America Wireless M2M Application Platform (AEP, ADP) Revenue ($ Million): 2011 - 2018................. 238
Figure 117: Latin & Central America Wireless M2M Integration Services Revenue ($ Million): 2011 - 2018 ..................................... 239
Figure 118: Latin & Central America Wireless M2M Enabling Technology Revenue ($ Million): 2011 – 2018 ................................... 239
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1 Chapter 1: Introduction
1.1 Executive Summary
Machine-to-Machine (M2M) technology enables data communication
between machines without human intervention. Often powered by cellular
or short range wireless communication technologies, M2M facilitates
network connectivity for a vast array of devices and subsequent
monetization of the data collected from these devices.
Due to its vast array of applications ranging from location tracking, process
automation to remote monitoring/control, wireless M2M has attracted
attention from a multitude of vertical market segments including but not
limited to Utilities, Automotive, Transportation, Logistics, Public Safety,
Security, Retail & Vending, Healthcare Agriculture, Smart Buildings and
Smart Cities, Construction, IT & Networks, Industrial Automation and
Consumer Electronics.
Despite its low ARPU, the wireless M2M market has become a key focus of
many mobile network operators as their traditional voice and data markets
become saturated. Likewise, government and regulatory initiatives such as
the EU initiatives to have a smart meter penetration level of 80% by 2020
and the mandatory inclusion of automotive safety systems such as eCall in
all new car models, have also helped to drive overall wireless M2M
connections and revenue.
Consequently we expect the wireless M2M market to account for nearly
$136 billion in revenues by the end of 2018, following a CAGR of 23%
during the five year period between 2013 and 2018.
Eyeing this lucrative opportunity, vendors and service providers across the
highly fragmented M2M value chain have become increasing innovative in
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their strategies and technology offerings which have given rise to a number
of submarkets such as M2M Network Security, Connected Device
Platforms (CDP) and M2M Application Platforms.
This report presents an in-depth assessment of the global wireless M2M
market. In addition to covering the business case, the challenges, the
industry‟s roadmap, value chain analysis, deployment case studies, and the
vertical market ecosystem, vendor service/product strategies and strategic
recommendations, the report also presents comprehensive forecasts for the
wireless M2M market from 2013 till 2018, including an individual
assessment of the following submarkets: Network Connectivity, Application
Services, Embedded Cellular M2M Modules, Network Security, Connected
Device Platforms (CDP), Application Platforms (Application Enablement
Platforms, AEP and Application Development Platforms, ADP), Integration
Services and Enabling Technologies, across six regions.
Also provided are network connectivity and application service revenue
forecasts for the following 6 vertical market segments: Utilities & Smart
Grid, Automotive & Transportation, Logistics, Public Safety, Security &
Surveillance, Retail & Vending and Healthcare.
Historical figures are also provided for 2011 and 2012. The report comes
with an associated XLS datasheet covering quantitative data from all
figures presented within the report.
The Wireless M2M Bible – Opportunities, Challenges,
Strategies, Industry Verticals & Forecasts: 2013 – 2018
© 2013 Signals and Systems Telecom
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1.2 Topics Covered
The report covers the following topics:
M2M technology and architecture
Market drivers and key benefits of wireless M2M
Challenges and Inhibitors to the wireless M2M Ecosystem
Wireless M2M standardization Initiatives
Wireless M2M opportunities, use cases and applications across industry
verticals
Wireless M2M deployment case studies
Industry, mobile network operator and vendor commitments to M2M
Wireless M2M industry roadmap: 2013 – 2018
Wireless M2M value chain assessment
Key trends in the M2M ecosystem: acquisitions, evolving requirements,
business models, cloud based analytics, network security, impact of
LTE, IPv6, module costs and price elasticity
Profiles, market positioning assessment (current strategy, target market
and products/services) and strategic recommendations for: embedded
cellular module vendors, hardware solution providers, MVNOs/M2M
connectivity aggregators, cloud based AEP and ADP providers, CDP
providers, Wireless/IT industry incumbents and mobile network
operators
Market analysis and forecasts for the M2M industry‟s revenue and
network connections:
- Wireless M2M industry revenue forecast by region and
submarkets
- Wireless M2M connections forecast by region, technology and
industry verticals
The Wireless M2M Bible – Opportunities, Challenges,
Strategies, Industry Verticals & Forecasts: 2013 – 2018
© 2013 Signals and Systems Telecom
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- Wireless M2M network connectivity submarket revenue and
ARPU forecast by region and industry vertical
- Wireless M2M application services submarket revenue and
ARPU forecast by region and industry vertical
- Embedded cellular M2M modules submarket shipments,
revenue and ASP forecast by region, technology, industry
vertical and vendor
- Wireless M2M network security submarket revenue forecast by
region
- Wireless M2M Connected Device Platform (CDP) submarket
revenue forecast by region
- Wireless M2M application platform (AEP, ADP) submarket
revenue forecast by region
- Wireless M2M Integration services submarket revenue forecast
by region
- Wireless M2M enabling technology submarket revenue forecast
by region
- Wireless M2M vertical market revenue by industry vertical
- Submarket forecasts are categorized in the following 8
categories:
Network Connectivity
Application Services
Embedded Cellular M2M Modules
Network Security
Connected Device Platforms (CDP)
Application Platforms (Application Enablement Platforms,
AEP and Application Development Platforms, ADP
Integration Services
Enabling Technology
The Wireless M2M Bible – Opportunities, Challenges,
Strategies, Industry Verticals & Forecasts: 2013 – 2018
© 2013 Signals and Systems Telecom
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- Technology forecasts are categorized in the following 6
categories:
GSM/GPRS/EDGE
CDMA-2000/EV-DO
W-CDMA/HSPA
WiMAX
LTE
Others (ZigBee, WiFi, Short Range Wireless)
- Industry vertical forecasts are categorized in the following 7
categories:
Utilities & Smart Grid
Automotive & Transportation
Logistics
Public Safety, Security & Surveillance
Retail & Vending
Healthcare
Others
- Regional forecasts are categorized in the following 6 categories
North America
Asia Pacific
Western Europe
Eastern Europe
Latin & Central America
Middle East & Africa
The Wireless M2M Bible – Opportunities, Challenges,
Strategies, Industry Verticals & Forecasts: 2013 – 2018
© 2013 Signals and Systems Telecom
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1.3 Key Questions Answered
The report answers to the following key questions.
What are the key market drivers and challenges in the wireless
M2M ecosystem?
What are the key applications of M2M across industry verticals?
How is the M2M value chain structured, how will it evolve overtime,
and what will be its impact on key vertical segments of the market?
What opportunities does M2M technology offer to mobile network
operators and other players involved in the value chain?
What strategies should mobile network operators/MVNOs, module
vendors, hardware solution providers, software platform providers
and other players adopt to capitalize on the M2M opportunity?
How big is the M2M opportunity, and how much revenue will the
industry generate in 2018?
What will be the installed base of wireless M2M connections in
2018?
Which geographical regions and industry verticals offer the greatest
growth potential for M2M services?
What is the vendor market share embedded cellular M2M modules,
how many units will ship in 2018 and how will declining ASPs impact
the sales revenue?
How will embedded cellular M2M module shipments vary by air
interface technology overtime, and will LTE take a lead in 2018?
What is the network connectivity and application service ARPU for
M2M services, and how will this vary overtime for each industry
vertical?
How big is the market for M2M network security and software
platforms?
The Wireless M2M Bible – Opportunities, Challenges,
Strategies, Industry Verticals & Forecasts: 2013 – 2018
© 2013 Signals and Systems Telecom
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1.4 Key Findings
The report has the following key findings.
The wireless M2M market will account for nearly $136 billion in
annual revenues by the end of 2018, following a CAGR of 23%
during the five year period between 2013 and 2018
At present, the M2M value chain is highly fragmented with module
OEMs, hardware solution providers, application platform providers,
device platform providers, and mobile network operators and
aggregators/MVNOs all investing across multiple segments of the
value chain, whilst still maintaining a key focus on a specific portion
Signals and Systems Telecom expects the value chain to
consolidate in the future, with a smaller number of larger and
profitable competitors across the M2M value chain
The growing presence of wireless M2M solutions within the
sensitive critical infrastructure industry is having a profound impact
on M2M network security services, a market estimated to reach
nearly $1 billion in annual spending by the end of 2018
Driven by demands for device management, cloud based data
analytics and diagnostic tools, M2M software platforms (including
CDP, AEP and ADP) are expected to account for $6 billion in annual
spending by the end of 2018
The Wireless M2M Bible – Opportunities, Challenges,
Strategies, Industry Verticals & Forecasts: 2013 – 2018
© 2013 Signals and Systems Telecom
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1.5 Methodology
The contents of this report have been accumulated by combining
information attained from a range of primary and secondary research
sources. In addition to analyzing official corporate announcements, policy
documents, media reports, and industry statements, Signals and Systems
Telecom sought opinions from leading industry players within the wireless
M2M market to derive an unbiased, accurate and objective mix of market
trends, forecasts and the future prospects of the M2M industry between
2013 and 2018.
The Wireless M2M Bible – Opportunities, Challenges,
Strategies, Industry Verticals & Forecasts: 2013 – 2018
© 2013 Signals and Systems Telecom
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1.6 Target Audience
The report targets the following audience.
Mobile network Infrastructure, embedded module and sub-
component vendors
Mobile network operators
M2M hardware solution providers
M2M software platform (CDP, AEP, ADP) providers
M2M system Integrators/consultants
M2M network security solution providers
MVNOs/M2M network connectivity aggregators
M2M enabled application developers
Investment firms
Vertical segment enterprises involved in: Utilities, Automotive,
Transportation, Logistics, Public Safety, Security, Retail & Vending,
Healthcare Agriculture, Smart Buildings and Smart Cities,
Construction, IT & Networks, Industrial Automation and Consumer
Electronics
The Wireless M2M Bible – Opportunities, Challenges,
Strategies, Industry Verticals & Forecasts: 2013 – 2018
© 2013 Signals and Systems Telecom
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1.7 Companies Mentioned
The following companies have been reviewed, discussed or mentioned in
the report:
3GPP
4Home
4M wireless
7 Layers
8ta
A1 Telekom
ABB Power & Robotics
Accenture
Aeris Communications
Aeroscout
Agri-Valley Broadband
Air Products
Aircell
AIS - TOT
Al Madar
Alaska Communications
Alcatel Lucent
The Wireless M2M Bible – Opportunities, Challenges,
Strategies, Industry Verticals & Forecasts: 2013 – 2018
© 2013 Signals and Systems Telecom
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Algar Telecom
Alien Technology
Alliance for Telecommunications, Industry Solutions (ATIS)
Amadeus
Amazon
Andorra Telecom
Antel
Appalachian Wireless
Apple
APS
Arduino
Arkessa
ARM Holdings
Armentel
Arqiva
Arrayent
Asiaspace
Association of Radio Industries
AT&T
The Wireless M2M Bible – Opportunities, Challenges,
Strategies, Industry Verticals & Forecasts: 2013 – 2018
© 2013 Signals and Systems Telecom
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AT&T Mobility
Atos Origin SA
Augere
Augusta Systems
Avea
AVIDwireless
Axeda
Axeda Corporation
Bakrie Telecom
Base Telecom
Batelco
Bayan Telecommunications
BayRICS
Beeline
Belgacome
Bell Mobility
BeST
Best Buy
Bharti Airtel
The Wireless M2M Bible – Opportunities, Challenges,
Strategies, Industry Verticals & Forecasts: 2013 – 2018
© 2013 Signals and Systems Telecom
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Bite
Bluegrass Cellular
BMW
Bosch
Bouygues Telecom
BSNL
BTC
Businesses and the Telecommunication Technology Committee of Japan
C Spire Wireless
CalAmp
Call Me
Camelot Group
CardioNet
Carolina West Wireless
Cell C
Cellcom
Cellular South
Centrica
CenturyTel
The Wireless M2M Bible – Opportunities, Challenges,
Strategies, Industry Verticals & Forecasts: 2013 – 2018
© 2013 Signals and Systems Telecom
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CETECOM
Chariton Valley Comms
Chess Communication
China Communications Standards Association (CCSA)
China Mobile
China Telecom
China Unicom
Chunghwa Telecom
Cinterion
Cisco
Claro
Clear Mobitel
Clearwire
Cobra
Cognovo
Commnet Wireless
Comtrol
Connect One
Connected Development
The Wireless M2M Bible – Opportunities, Challenges,
Strategies, Industry Verticals & Forecasts: 2013 – 2018
© 2013 Signals and Systems Telecom
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Connected Solutions
Continental
Convergence Technologies
Coronis
Cosmote
Cross Telephone
CSL Limited
Custer Telephone
DataOnline
DataRemote
Datatrade
Dedicado
Deloitte
Deutsche Telecom
Dialog Axiata
Digi International
Dish Network
DNA
DPC/AIS
The Wireless M2M Bible – Opportunities, Challenges,
Strategies, Industry Verticals & Forecasts: 2013 – 2018
© 2013 Signals and Systems Telecom
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Du
Dust Networks
E Plus
Echelon
eDevice
Eesti Telekon
ei3
Elisa
Ember
Emobile
EMT
Energy Australia Ausgrid
Enfora
Entel Movil
Entel PCS
ERA/T Mobile
Ericsson
Esprida
Etex Telephone Co-op
The Wireless M2M Bible – Opportunities, Challenges,
Strategies, Industry Verticals & Forecasts: 2013 – 2018
© 2013 Signals and Systems Telecom
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Etherios
Etisalat
European Telecommunications Standards Institute (ETSI)
Eurotech
Everything Everywhere
Feeney Wireless
Fitel
FPT Telecom
G4S
Gemalto
General Electric (GE)
General Motors
Geocell
Glo Mobile
Global Mobile
Global Smart Services
Globalstar
Globe
The Wireless M2M Bible – Opportunities, Challenges,
Strategies, Industry Verticals & Forecasts: 2013 – 2018
© 2013 Signals and Systems Telecom
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GSMA
H3G
Halebop
Hertz
Honeywell
HSBC
Huawei
Hughes Telematics
Hutchison Three
IBM
ICE
IEEE
ILS Technology
iMetrik Solutions
Indosat
Ingenico
Inilex
Inmarsat
Intel
The Wireless M2M Bible – Opportunities, Challenges,
Strategies, Industry Verticals & Forecasts: 2013 – 2018
© 2013 Signals and Systems Telecom
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Iridium
Itron
iWOW
Janus Remote Communications
Jasper Wireless
Kcell
KDDI
Kordia
KORE Telematics
KPN
KT
Laird Technologies
Landis & Gyr
Lantronix
Lattelecom
Leap Wireless / Cricket
Leica
LG
LG U+
The Wireless M2M Bible – Opportunities, Challenges,
Strategies, Industry Verticals & Forecasts: 2013 – 2018
© 2013 Signals and Systems Telecom
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Libelium
LifeScan
LightSquared
LMT
Logica
Lufthansa Systems
M1
M20 City
M2M Communications
M2M DataSmart
M2M Wireless
Magticom
Manitwoc
Marvell
Maxis
MegaFon
MEMSIC
Metrik Solutions
MetroPCS
The Wireless M2M Bible – Opportunities, Challenges,
Strategies, Industry Verticals & Forecasts: 2013 – 2018
© 2013 Signals and Systems Telecom
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Microchip Technology
Millenial Net
Mobikom Austria
Mobily
Mobinil
Mobistar
Mobitel
Mobyland and CentreNet
Mocana
Moldcell
Monaco Telecom
Morey
Mosaic Telecom
Motorola Mobility
Motorola Solutions
Movicel
Movistar
MOXA
MTC
The Wireless M2M Bible – Opportunities, Challenges,
Strategies, Industry Verticals & Forecasts: 2013 – 2018
© 2013 Signals and Systems Telecom
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M-Tel
MTN
MTNL
MTS
MTS Allstream
MTS-Ukraine
Multi-Tech Systems
National Information Technology Standardization (NITS) Technical
Committee
NBN Co
Ncell
NEC
NeoConsult
Neoway
Nestlé Nespresso
NetCom
Neul
New Jersey State Police Department (NJSP)
NextGenTel
The Wireless M2M Bible – Opportunities, Challenges,
Strategies, Industry Verticals & Forecasts: 2013 – 2018
© 2013 Signals and Systems Telecom
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NextM2M
Nintendo
Nokia Siemens Networks
Norse Pipeline LLC
Northwest Cell
Novatel Wireless
nPhase
NTT DoCoMo
Numerex
O2 Secure Wireless
OAO Voentelecom
Oi
Omnilink Systems
Omnitel
Open mobile
Open Mobile Alliance
Optus
Oracle
Orange (France Telecom)
The Wireless M2M Bible – Opportunities, Challenges,
Strategies, Industry Verticals & Forecasts: 2013 – 2018
© 2013 Signals and Systems Telecom
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Orange Armenia
Orange Business Services
Orange Healthcare
ORBCOMM
P1 Networks
PA Consulting Group
Palantiri Systems
Panasonic
Panhandle Telephone Co-op
PCCW
Pedigree Technologies
Peoples Telephone Co-op
Perle Systems
Personal
Piltel
Pioneer Cellular
Plextek Group
Praxair
Precidia Technologies
The Wireless M2M Bible – Opportunities, Challenges,
Strategies, Industry Verticals & Forecasts: 2013 – 2018
© 2013 Signals and Systems Telecom
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Proteus Biomedical
PSA
Public Service Wireless
Qtel
Qualcomm
Qualcomm India
Qualcomm Life Inc
Qualcomm Wireless Health
Quectel
RACO Wireless
RasGas
Raspberry Pi
Red Bend Software
Redtail Telematics
Reliance
Respironics
RF Code Inc.
RF Monolithics
Rogers
The Wireless M2M Bible – Opportunities, Challenges,
Strategies, Industry Verticals & Forecasts: 2013 – 2018
© 2013 Signals and Systems Telecom
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Rogers Wireless
Romec
Rostelecom
S and R Communications
S&T Telephone Cooperative
Safaricom
Sagemcom
Salesforce.com
Sao Paulo Military Police
Sasktel
Saudi Aramco
Savi Technology
Schlage
SENA Technologies
SensorLogic
SFR
Siemens Water
Sierra Wireless
SIGFOX
The Wireless M2M Bible – Opportunities, Challenges,
Strategies, Industry Verticals & Forecasts: 2013 – 2018
© 2013 Signals and Systems Telecom
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Sigma Designs
SIMcom
SingTel
Sixnet
SK Telecom
Sky Brazil
SkyBitz
SkyTel
Smart Communications
Smartone Vodafone
Softbank Mobile
Sonaecom Sony
SpeedConnect
SpiceNepal
Sprint
Starcomms
Starhub
STC
Strata Networks
The Wireless M2M Bible – Opportunities, Challenges,
Strategies, Industry Verticals & Forecasts: 2013 – 2018
© 2013 Signals and Systems Telecom
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Sunrise
Swisscom
Synchronoss Technologies
T Mobile
T Mobile Slovensko
T Mobile USA
Tcell
TDC
TelaSonera
Telcel
Tele2
Tele2 Sweden
Telecom Italia
Telecom NZ
Telecommunications Industry Association (TIA)
Telecommunications Technology Association of Korea
Telefonica
Telefónica
Telefónica's O2 UK
The Wireless M2M Bible – Opportunities, Challenges,
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Telekom Austria
Telenet
Telenor
Telenor Connexion
Telenor Magyarorszag
Telenor Objects
Telenor Sweden
Telia
TeliaSonera
Telit
Telit Wireless Solutions
Telkomsel
Telogis
Telstra
Telular
TELUS Mobility
Telvent
Tendril Networks
Teo LT
The Wireless M2M Bible – Opportunities, Challenges,
Strategies, Industry Verticals & Forecasts: 2013 – 2018
© 2013 Signals and Systems Telecom
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Texas Energy Network
Texas Instruments
ThingMagic
Three Denmark
Three Italia
Three UK
T-Hrvatski Telekom
Thumb Cellular
Tikona Digital
TMN
T-Mobile
TomTom
Transatel
Triatel
Tridium
Trimble
True Move
Tunisiana
Turkcell
The Wireless M2M Bible – Opportunities, Challenges,
Strategies, Industry Verticals & Forecasts: 2013 – 2018
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Tyntec
U Mobile
U.S. Preventative Medicine
U-blox
UCell
UK Broadband
UME EPM
United Wireless
Unitel
US Cellular
UTC Power
V2COM
VDC
Veolia Water
Verifone
VeriSign
Verizon
Verizon Wireless
VHA
The Wireless M2M Bible – Opportunities, Challenges,
Strategies, Industry Verticals & Forecasts: 2013 – 2018
© 2013 Signals and Systems Telecom
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Videotron
Viettel
Vimpelcom
VimpleCom
VIPNet
Viva Bahrain
Viva Cell-MTS
Vivid Wireless
Vodacom
Vodafone
Vodafone New Zealand
Vodafone Portugal
Vodafone Qatar
VolvoZelitron
Vox
Wavecom
WBS
WebTech Wireless
WiFI Alliance
The Wireless M2M Bible – Opportunities, Challenges,
Strategies, Industry Verticals & Forecasts: 2013 – 2018
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WiMAX Forum
Wind
Wind Mobile
Wipro
Wireless Logic
Woosh
Wyless
Wyless Group
Xact Technology
XL Axiata
Xplorenet
Yoigo
Yota
Zain
Ziggo4
ZTE
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Copyright Signals and Systems Telecom Ltd, 2013. All rights
reserved.
This material is subject to the laws of copyright and is restricted to
registered license-holders who have entered into a Corporate, a Multi-User
or a Single-User license agreement with Signals and Systems Telecom
Ltd. It is an offence for the license-holder to make the material available to
any unauthorized person, either via e-mail messaging or by placing it on a
network.
All Signals and Systems Telecom research reports & databases are
intended to provide general information and strategic insights only, and
they do not constitute, nor are they intended to constitute, investment
advice. Signals and Systems Telecom and its employees disclaim all and
any guarantees, undertakings and warranties, whether expressed or
implied, and shall not be liable for any loss or damage whatsoever, and
whether foreseeable or not, arising out of, or in connection with, any use of
or reliance on any information, statements, opinions, estimates or
forecasts contained in the reports.
The Wireless M2M Bible – Opportunities, Challenges,
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© 2013 Signals and Systems Telecom
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2.2 M2M Architecture
M2M is unarguably a combination of various heterogeneous electronic,
communication, and software technologies. The general architecture of
M2M networks such as those being specified in ETSI TC (technical
committee) M2M is shown in Figure 1 below.
Figure 1: M2M Architecture
Source: Signals and Systems Telecom
In reference to this architecture, M2M devices (intelligent and
communication enabled) form an M2M area network; this could be from a
small-scale home environment to a bigger environment such as a factory.
The M2M area network is connected to the communication network such as
cellular base stations through the M2M gateway. Through the
communication networks, they are connected to the M2M management
server on the M2M service platform and subsequently reaching the M2M
applications (video for monitoring, remote control etc.) on the other side of
the M2M management server.
Communications Network
M2M Service Platform/Application
M2M Management Server
M2M Applications
M2M Area Network/Devices
M2M Gateway
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Figure 2: Global Smart Meter Penetration by Region (%): 2011 - 2018
Source: Signals and Systems Telecom
Driven by regulatory legislations and the demand for cost effective and
efficient energy monitoring systems, Signals and Systems Telecom
estimates smart meter penetration to surpass 80% globally by the end of
2018, a trend synonymous with growing M2M penetration in the energy
sector.
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
2011 2012 2013 2014 2015 2016 2017 2018
North America
Western Europe
Asia Pacific
Eastern Europe
Middle East and Africa
Latin & Central America
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4.2 The Wireless M2M Value Chain
The wireless M2M value chain is complex with many significant players
across different segments of the market.
Figure 4: The Wireless M2M Value Chain
Source: Signals and Systems Telecom
4.2.1 Wireless Device Product Chain: Chipset Vendors and M2M
Module Suppliers
Wireless chipset and module vendors form a key link in the value chain that
enables wireless M2M market applications. These vendors fundamentally
provide an embeddable hardware component that combines a wireless
baseband processor and related radio circuitry into a package that is used
to enable wireless cellular connectivity in machines and devices, such as
cars, vending machines, and utility meters, which have conventionally not
been connected directly to cellular networks.
At present the market for embedded cellular M2M modules remains highly
fragmented with industry veterans from closely linked adjacent markets
Chipset
Developers
Embedded
Cellular M2M
Module
Suppliers
M2M
Hardware
Solutions
Mobile Network
Operators,
Aggregators and
MVNOs
System
Integrators
M2M
Service
Customers
Wireless Device Product Chain Connectivity
M2M Devices Integration
Ecosystem Vertical Markets
Connected Device Platforms (CDP)
Application Enablement Platforms (AEP) and Application Development Platforms (ADP)