Date: 6th Aug 2010
Global cellular M2M module market forecast
to reach $3.8 Billion in 2015
ABI Research estimates that Machine-to-Machine (M2M) communication
market using cellular infrastructure such as GSM and CDMA
will be worth $3.8 billion in 2015.
Machine-to-Machine (M2M) communication market has been
a challenging place for cellular embedded module vendors
over the past 18 months. 2007 was this market's last "good
year": 2008 saw both shipment volumes and revenue decrease,
says ABI.
According to ABI Research practice director Sam Lucero,
"In 2009, the cellular M2M module market grew somewhat
in terms of unit shipment volume, although rapidly declining
module prices meant that 2009 revenue was still below that
of 2007. Despite its difficulties, however, this market
is on an upward path."
Falling ASPs and increased commoditization in this crowded
market are the reasons given by ABI for this market's revenues
in year 2010 to remain lower than those of 2007.
The release states the market is also showing some significant
M&A activity. Last year, for example, Sierra Wireless
acquired Wavecom; and more recently, Gemalto acquired Cinterion,
a move which, Lucero says, "is likely to lead to positive
results for the company, provided that Gemalto focuses on
differentiating the Cinterion market offer with an end-to-end
platform."
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