GSMA Predicts 250 Million M2M Connections In 2014

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Global machine to machine (M2M) connections will hit a quarter of a billion this year according to a new report by the GSMA underscoring that M2M has become a major growth area for mobile operators.

The study finds that global M2M connections reached 195 million in 2013, growing at nearly 40 percent per year (38 percent CAGR) between 2010 and 2013. M2M connections are expected to reach 250 million this year. M2M accounted for 2.8 percent of all global mobile connections at the end of 2013, double the 1.4 percent share recorded in 2010.

"We are now living in a world where every device, machine or appliance can be wirelessly connected to the internet, providing a wealth of real-time information that can transform how people live and work. For mobile operators, connecting 'machines' to their networks is now a major focus area," said Hyunmi Yang, Chief Strategy Officer, GSMA. "But it is not just about adding new types of connections: there is an opportunity for mobile operators to add value far beyond connectivity by developing M2M capabilities that reduce fragmentation and stimulate new services. For example, defining cross-vertical solutions in network APIs, device management, security and big data are areas where operators can help drive the M2M market forwards."

According to the study, around 428 mobile operators currently offer M2M services across 187 countries; this is equivalent to 40 percent of the world's mobile operators.

Operators surveyed in the report are now undertaking real commercial M2M deployments, indicating that the market has moved from an early-stage to mass-market delivery phase. Many operators also commented that they are adapting their organisational structures and business models in order to serve a range of vertical industries with M2M solutions.

The report indicated that the automotive industry was one of the fastest-growing M2M markets. Indeed consumers can now benefit from in-car connectivity and services such as flexible usage based Pay-as-You-Drive (PAYD) insurance and real-time traffic management.

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Tags: m2m  gsma 

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