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January 18, 2011

Mobile Operators Set to Exploit Explosive M2M Market

The momentum of the M2M market is increasing and mobile operators, who have traditionally provided just connectivity services for M2M solutions, have woken up to the fact that they need to move deeper into the M2M value chain. They are now focusing on strategies that will enable them to exploit this market to its full potential. The research provided in Informa's new report takes an in-depth look at the factors driving the M2M market.

It isn't as if machine-to-machine, also known as M2M, services are something new. They have been around for a long time, at least a decade, but it is only recently that the stakes in the M2M market have increased. Specialization, competition and increasing demand have proved to be rays of hope to mobile operators, who now view the explosive growth in M2M as a concrete source of revenue.

Why now is there now a sudden interest in M2M? One clear factor has emerged which is the market for sale of cellular connections to people, private consumers and company employees is nearing saturation and operators have been forced to look elsewhere for new services revenues. M2M seems to be the answer.

Mobile connectivity to machines has been increasing rapidly as mobile network operators seek to expand data service offerings in additional technical advances. In addition, in air interface standards are enabling fresh 3G M2M market segments. Increase in telematics and telemetry across vertical industries and fresh government mandates requiring functionality in telemetry and telematics have also triggered this growth. . Kittur Nagesh (News - Alert) in a blog article on Machine-to-Machine for mobile operators has stated that the M2M Market presents some unique technical and business requirement for Mobile Operators. The obvious technical challenge was the capability of operators to provide connectivity to any device. Operators also had to adopt aggressive business models to exploit M2M completely.

Nagesh also added that operators needed to veer away from the usual line of merely profiting from the explosive market. They needed to respond to new challenges for mobile technical infrastructure as well as overall business model and strategy.

Want to learn more about M2M technologies? Then be sure to check out the M2M Evolution conference, collocated with TMC’s (News - Alert) ITEXPO East, taking place Feb 2-4, 2011, in Miami. The M2M Evolution Conference is for those industry professionals interested in capitalizing on a rapidly growing segment of the telecom industry. The M2M Evolution Conference embraces the any-to-any strategy of the Internet today. Co-sponsored by TMC Partner Crossfire Media, it showcases the solutions, and examines the data strategies and technological requirements that enterprises and carriers need to capitalize on a market segment that is estimated to grow to $300 Billion in the year ahead. To register, click here.

Mini Swamy is a contributing editor for TMCnet. To read more of her articles, please visit her columnist page.

Edited by Jamie Epstein


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