Cellular M2M Market in 2020
In 2020, the global cellular M2M market is worth approximately $8.3 billion. This is largely due to a variety of growth factors that are looking likely to expand. Of course, the main factor in all of this would be the widespread adoption of mobile devices and wireless connectivity. During the COVID-19 pandemic, the market has been changed slightly, though perhaps to a benefit despite certain detractors. Due to the economic fallout specifically regarding the pandemic, many businesses that have been investing in cellular M2M solutions have drawn back the amount of money spent, thus hurting the market as a whole. However, in industries such as utilities and healthcare, the connectivity between different devices has led to less human interaction and contact, thus reducing the risk of spread. The widespread adoption of wireless connectivity and, more importantly, the availability of technologies such as high-speed internet as well as 4G and 5G connection, have made a major impact on the market already and are set to do more in the future. By linking these devices, businesses can create a more efficient service, with higher quality products and improved decision making.
Another major factor for the market is the growing collection of devices within the Internet of Things. Especially as more and more devices no longer require human-to-human or human-to-computer interactions to transfer and share data and intelligent information, the cellular M2M market will absolutely grow hand in hand with the Internet of Things. However, there are also some possible detractors from the growth of the market.
Perhaps the biggest detractor of all is the increasing concerns of the public over the lack of data privacy and security protections. In particular, the data mining and storage of personal information along with the increased use of cloud services to store this information has become a larger issue for many consumers. Along with this is the constant monitoring of locations and mapping of this data to then be sold for marketing purposes to third party companies or even government officials. Despite these possible drawbacks, the cellular M2M market is still set to see colossal growth.
Cellular M2M Market Projected Growth
The cellular M2M market is expected to see serious potential growth in the near future. In fact, the market is projected to be worth an astounding $21 billion by the year 2025, globally. This will be achieved through a compound annual growth rate of 20.4% over the next five years. By region, North America is leading the market by deploying cellular M2M mobile applications that have been extremely efficient in document transfer and information sharing due to the diverse locations of employees. North America is also a leading region due to how many leading players in the overall market are based out of or headquartered in the region. In particular, North America is home to companies like AT&T, Verizon, and T-Mobile.
The cellular M2M market is growing with the expansion of technology. As technology continues its pursuit of becoming more interconnected, the market will naturally grow to meet those pursuits. This especially becomes exciting for the market when considering how vast and expansive the Internet of Things is becoming over time. With more and more devices being connected to each other, and less and less of them requiring the need for human contact in order to transfer information, the cellular M2M market is set for natural expansion with the expansion of all these devices.
About the Author
Tom Price is a writer focusing on Entertainment and Sports Features. He has a degree from NYU in English with a minor in Creative Writing. He has been previously published for Washington Square News, Dignitas, CBR, and Numbers on the Boards.