14 DAY TRIAL // A recently published report from Juniper Research shows that the revenues from Mobile Connected M2M and Embedded Devices are expected to increase all around the world up to $18.9 billion by 2014. Moreover, the research firm also notes that consumer and commercial telematics applications, as well as in vehicle solutions will account for around a third of the total revenues.
According to the Juniper Research report, other areas will also contribute significantly to M2M revenues, and some of them would be Mobile Connected Buildings, which are driven mainly by security needs, as well as Utility Metering. The reports notes that the latter will be driven upwards by regulatory initiatives in the European continent, as well as by economic stimulus funds in the US.
“Despite the ongoing downturn in the automotive sector in developed markets, the most promising M2M area remains the automotive industry,” says Anthony Cox, senior analyst at Juniper Research. “There has been a slow-down in the adoption of telematics because new car sales have stalled, but we anticipate that by 2014 in developed markets over half of new vehicles will be sold with telematics devices using cellular connections,” he says.
The new Embedded Mobile and M2M study from Juniper Research also shows that carriers are starting to understand that the market of embedded devices and M2M is shaping up as a market of its own, and don't see it as an add-on to existing activity. At the same time, the research firm notes that carriers will have to “consider reappraising accounting practices and form alliances and partnerships with M2M specialists” in order to effectively address the market for embedded devices and M2M. Juniper Research also mentions that “there is a growing trend for SIM cards to be integrated directly into devices, rather than provisioned at a later date in the 'aftermarket'.”