Huawei and ZTE are rising in M2M modules market in emerging markets: Infonetics

Huawei and ZTE are rising and creating intense pricing pressure in the mobile machine-to-machine (M2M) modules in emerging markets in Asia and other parts of the world, said Infonetics Research.

At present, Sierra Wireless, Gemalto/Cinterion, and Telit dominate the M2M module space. These three vendors account for nearly two-thirds of total market revenue, with a combined total of almost a billion dollars in module sales.

“The services built upon mobile machine-to-machine (M2M) modules, such as fleet management and connected car, are already a sizeable business and are growing much faster than traditional business lines,” said Godfrey Chua, directing analyst for M2M and The Internet of Things at Infonetics Research.

Mobile M2M module market size by Infonetics

M2M forecast

The global mobile M2M module market increased 6 percent to $1.4 billion in 2013. In 2015, M2M services inflect and module sales will shift toward higher-ARPU 3G and 4G systems and the M2M module market will double to $2.9 billion in 2018.

The research report noted that 2G remains a key foundation, comprising the majority of units shipped in 2013, though with the shift toward broadband technologies, Infonetics expects 3G to grow to 67 percent of mobile M2M module revenue by 2018.

LTE is the most dynamic and fastest-growing technology segment, with a 2013-2018 compound annual growth rate (CAGR) of 144 percent.

North America and Europe are the key centers of mobile M2M module growth, but buoyed by significant investments in China, Japan, South Korea, and Singapore, Asia Pacific is catching up and is expected to account for a third of total revenue by 2018.

InfotechLead News Team

Related News

Latest News

Latest News