Menu

M2M FEATURE NEWS

North American M2M Market to Soar over Next 5 Years

By Jacqueline Lee May 29, 2013

A new projection from Frost & Sullivan suggests that the North American M2M software and services market could quadruple over the next five years.

Revenue totaled $175.4 million in 2012. By 2018, Frost & Sullivan predicts revenue of $788.4 million.

Three major factors will drive industry growth: the desire to convert data into business insights, more partnerships between systems and demand for remote monitoring solutions.

"The increased value proposition of extracting proprietary raw data and converting it into business insights promotes new M2M applications in a variety of end-user segments," said Frost & Sullivan industry analyst Muthuraman Ramasamy.

"The impact of this driver remains high throughout the forecast period, as a number of emerging applications will surface in the M2M space owing to the vast amount of data obtained from an ever-increasing number of connected devices," said Ramasamy.

Harris Interactive estimates that data volume will reach four trillion terabytes in 2013. Also, 65 percent of IT decision makers say that their biggest M2M challenge is managing and recording the real-time data that they generate. The cloud comes into play by providing both scalability and standardized interfaces that connect data from sensors and machines.

More partnerships between systems will result from vendors' desires to offer customers a holistic solution. Ramasamy says that mobile network operators (MNO) and mobile virtual network operators (MVNO) will play a significant role. Harris says that 89 percent of IT decision makers think that LTE and 4G availability will be instrumental to M2M growth.

"The go-to-market strategy of direct sales will be replaced by a federated sales cycle, where device makers, platform providers and system integrators are partnering with these MNOs and MVNOs to provide a complete, holistic solution for the end user," Ramasamy explained.

Finally, remote monitoring of critical infrastructure, like the electrical grid, remote assets, like oil wells, and even the remote monitoring of patients in healthcare will drive M2M demand.

"A number of vertical markets are seeing tremendous potential for remote monitoring," said Ramasamy. "From monitoring assets in the oil and gas industry to remote health monitoring in the healthcare industry, the benefits of adoption are more clear to see."




Edited by Alisen Downey

Contributing Writer

SHARE THIS ARTICLE
Related Articles

IoT and WebRTC Could Make Beautiful Music, Says Speaker

By: Ken Briodagh    8/28/2015

The IoT hangs on speed to such a degree that "real time" has become such a buzzword that it's almost becoming meaningless. One arena where immediacy i…

Read More

Wearables Market Slows Post-Holiday Season

By: Ken Briodagh    8/28/2015

Wearables are at a crossroads right now. The industry felt a real boom last year coming off the excitement for the of eagerly-anticipated Apple and Sa…

Read More

IoT Design: Just Because You Can, Doesn't Mean You Should

By: Special Guest    8/28/2015

In today's world, there's often more to objects than meets the eye. The Internet of Things (IoT) means that watches can be connected communication dev…

Read More

Zebra Introduces Smart Heart Health Monitor

By: Ken Briodagh    8/28/2015

Healthcare is one of the markets of greatest potential for the IoT, and companies are recognizing that fact more and more. With a new launch, Zebra Te…

Read More

Wearables Will Enable Connected World, Study Says

By: Ken Briodagh    8/14/2015

The wearable devices market currently caters to a bit of a niche consumer: early-adopter technophile with enough disposable income to support another …

Read More