News
17/08/2010
The machine-to-machine market worldwide 2010-2014
M2M
M2M worldwide market
Worldwide market represents 14 billion EUR in 2010
IDATE just published the report M2M which indicates that this market is growing very fast after the global downturn. In 2010, the cellular market should represent 53 million modules worldwide for a total market of 14 billion EUR (of which 3.3 billion EUR for connectivity). The economy recovery will drive the M2M market with around 25% in value and 40% in volume (cellular modules, 25% for satellite).
“2009 saw the arrival of such consumer electronics as connected e-readers and connected Portable Navigation Devices (PNDs) in the M2M field.”comments Samuel Ropert, senior consultant at IDATE. “Their success obviously drives the M2M market, mostly in volume.”
Rapid growth in M2M market despite downturn
• In volume terms, the overall M2M market is growing very fast in all wireless markets (cellular and satellite) and in all regions. 53 million cellular modules and over 1.2 million satellite M2M modules are expected to have been sold by the end of this year. Overall growth for the next four years should top 33% per year for cellular modules, reaching 165 million in 2014, and exceed 29% for satellite modules. In 2014, M2M SIM cards will probably represent 2.5% of total SIM cards (human and machine) and over 8.1% of total SIM cards in Europe.
• Growth is clearly lower in terms of value, because new applications are generally less demanding in terms of bandwidth and/or of advanced features. In addition, a large share of the growth will come from major deployments by reference players in their respective industry which should benefit from bulk purchasing. The worldwide cellular M2M market represents 14 billion EUR in 2010, with most revenues coming from software and IT services. It should rise by 23% per year to reach 32.5 billion EUR in 2014. The worldwide satellite M2M market is valued at 1.03 billion EUR in 2010 and will grow by 27% per year to reach 2.7 billion EUR in 2014.
• The connectivity market for mobile telcos represents 3.1 billion EUR worldwide for 2010 (over 37% for Europe 27). This market should grow by a little over 24% per year during the next four years.
• The main reasons associated to this dynamic growth in 2010 refer directly to economy recovery and the consumer electronic devices arrival.
Samuel ROPERT
Project Manager
s.ropert@idate.org
