Big growth ahead for wireless-enabled machines in key segments

8 September 2004 Telecoms, Datacoms, Wireless, IoT

The number of machines connected to wireless networks will increase more than tenfold over the next four years. But to cash in on wireless machine-to-machine market growth, vendors must target the right vertical segments, learn what makes them tick, and deliver solutions addressing verified opportunities and obstacles. That is one of the conclusions of the newly released Datacomm Research report.

"For example, one of the most promising M2M segments is remote device management," says report author, Ira Brodsky. "Needed are better wireless solutions for accessing machines indoors, more powerful algorithms for predicting when machines need servicing, and greater collaboration with machine vendors to promote remote diagnostics and usage monitoring."

Some conclusions reached in the report:

* The growth of the wireless M2M market is driven by increasingly ubiquitous mobile phone services, the availability of low-cost radio modems, wireless service rate plans scaled to bandwidth consumption, and the emergence of powerful Internet-based tools.

* The current wireless M2M market is modest in size and highly fragmented. There were approximately 7 million RF modules and wireless telemetry terminals sold during 2003. These were primarily digital cellular devices but also included analog cellular, wireless LAN, paging, and satellite units.

* There are two major uses for wireless in M2M applications: wireless links between sensors and data collection points and; wireless links between data collection points and control centres. Today, most wireless M2M links connect data collection points to control centres. Over time, the number of actual wireless sensors could increase dramatically.

* Significant development effort is being focused on self-organising, wireless sensor networks - also known as 'smart dust'. These are tiny wireless sensors that automatically find each other and form highly-flexible, self-routing, mesh networks. This embryonic technology could revolutionise the M2M industry by making sensors less expensive, less obtrusive, and easier to deploy. However, the market for smart dust may require a longer gestation period than its pioneers would like.

The report: Wireless machine-to-machine: An in-depth study of applications and vertical markets, is the latest in Datacomm Research's CompetitiveEdge family of reports.

www.datacommresearch.com

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