Wi-Fi, ZigBee and 3G predicted to dominate the M2M technology market
According to a recent report from Transparency Market Research, Cellular machine to machine (M2M) technology is gaining popularity in different industrial sectors. The global cellular M2M connections market is segmented on the basis of technology, industry vertical, and geography.
Wi-Fi technology is expected to be the maximum market shareholder in short-range technology and is expected to maintain its dominance in the coming years, while ZigBee is presumed to experience fastest growth due to high demand in the utilities sector. Among cellular M2M connections, the maximum number of connections is expected to be of 3G connectivity, followed by 4G, and 2G connectivity. 4G M2M connections are anticipated to grow significantly due to various advantages offered by 4G networks such as better security and high speed.
The cellular M2M connections market is also segmented on the basis of industry verticals into utilities, automotive, security, networking, banking and financial services, transport and logistics, and healthcare, among others. Automotive and transportation segment is expected to dominate the market followed by security and surveillance during the forecast period.
The global cellular M2M market is segmented geographically into North America, Europe, Asia Pacific, Middle East and Africa (MEA) and Latin America. North America is the most dominant market among all the regions due to rapid industrialization and high commercial use of cellular M2M in various sectors. The U.S is the leading cellular M2M market in North America, owing to huge presence of various industries in the country. Moreover, the North America market for cellular M2M is predominantly driven by better technological infrastructure and acceptability of innovative and niche cellular M2M connection technology. Asia Pacific is the fastest growing region due to rapid industrialization and increased awareness regarding technological advancements among users. The cellular M2M system is expected to gain popularity in this region as emerging countries are highly advanced in terms of communication technology, infrastructure, and market viability.
The cellular M2M market is highly competitive and is characterized by the presence of large number of large scale and small scale vendors. These companies have been investing considerable capital in research and development activities in order to expand their production capabilities and to meet growing market demand. Competition is more concentrated in developed markets such as North America and Europe. Various factors such as increasing production and service extensions, rise in the number of acquisitions, and technological innovations will further intensify the level of competition in this market in the upcoming years. The key players in the cellular M2M market include China Mobile (China), Deutsche Telekom (Germany), Telefonica (Spain), Gemalto (the Netherlands), Telit PLC (U.K.), Sierra Wireless (Canada), AT&T (U.S.), Jasper Wireless Inc. (U.S.), Vodafone (U.K.), Verizon (U.S.), and Intel Corporation (U.S.).