14 DAY TRIAL // According to a recently published report from ABI Research, the number of 4G machine-to-machine (M2M) cellular modules (including LTE-compatible models) that will ship around the world is expected to reach 12.6 million by 2015. In contrast, only about 40,000 such devices are expected to ship during the ongoing year, all of which should be WiMAX-based, the research firm notes.
“A few M2M applications do require lots of bandwidth and high throughput, and it is those applications – telematics (distributing multimedia content to vehicles) fixed wireless terminals (distributing a broadband connection), and industrial PDAs – that will benefit from 4G networks’ capabilities,” M2M Practice Director Sam Lucero commented.
ABI Research notes that secondary applications, like digital signage and video surveillance networks, are expected to benefit from WiMAX and LTE too. Smart metering (AMI) can take advantage of WiMAX, the research firm states, noting that, while the meters don’t require much bandwidth, other smart grid elements do. Considering the fact that many utilities usually deploy their own networks, WiMAX is a technology they can easily roll-out and control themselves.
M2M communication should enjoy from a wide range of benefits 4G has to offer, Lucero stated. “The first, of course, is sheer bandwidth. 4G networks are also more spectrally efficient than 3G. Finally, there is the question of future-proofing: 4G networks are going to be around for quite a long time,” he added.
On the other hand, there are a series of issues that should be taken into consideration, it seems. 4G modules come with a higher cost due to larger processors and more RF chains. Not to mention that the price is based on demand and that many M2M applications only need low data rates. “Low data rate applications won’t migrate to 4G in the next five years,” says Lucero, “though towards the end of the decade they may, as 3G networks start to wind down.” Additional details are available on ABI Research’s website.