M2M
via
Satellite
to
Reach
$2.5
Billion
in
Revenue
by
2025
November
21,
2016
NSR’s
Machine
to
Machine
(M2M)
and
Internet
of
Things
(IoT)
via
Satellite,
7th
Edition
(M2M7)
report,
released
today,
finds
the
global
satellite
M2M
and
IoT
market
will
reach
5.96
million
in-service
satellite
M2M/IoT
terminals
by
2025,
corresponding
to
nearly
$2.5
billion
in
annual
retail
revenues,
a
doubling
over
2015.
The
report
also
finds
the
most
lucrative
application
is
Land
Transport;
however,
other
key
verticals
record
strong
growth.
“NSR’s
latest
report
points
to
an
optimistic
picture
for
the
industry;
however,
operators
cannot
stand
still
as
increasing
competition
aims
to
take
advantage
of
the
growing
demand
for
M2M/IoT,”
notes
Alan
Crisp,
NSR
Analyst
and
report
lead
author.
“Growing
cellular
footprints,
greater
terrestrial
reliability,
and
the
rollout
of
5G
and
LPWA
networks,
are
increasing
competition
within
the
M2M/IoT
market
globally.
Longer
term,
IoT-dedicated
smallsats
will
also
enter
the
market,
providing
unique
and
potentially
compelling
value
propositions
to
disrupt
the
current
market
paradigm,”
notes
Crisp.
While
competition
within
the
M2M
market
will
increase,
opportunities
also
exist,
such
as
dual-mode
solutions,
enabling
operators
to
tap
into
new
markets.
Beyond
this,
with
the
growth
of
dedicated
terrestrial
IoT
Low
Power
Wide
Area
(LPWA)
networks,
such
as
Sigfox
and
LoRa,
new,
albeit
relatively
niche,
markets
for
satellite
participation
will
open
up.
The
compelling
value
proposition
to
provide
satellite
IoT
backhaul
for
such
networks
will
enable
new
revenue
sources
in
the
longer
term,
once
these
networks
are
rolled
out
globally.
Presenting
a
larger
opportunity
is
satellite
consumer
IoT,
which
will
see
significant
growth
in
areas
such
as
location
and
tracking
devices.
This
will
come
in
spite
of
the
dominance
of
terrestrial
connections.
Most
notable
in
this
segment
will
be
Globalstar
SPOT
and
DeLorme
InReach,
which
NSR
forecasts
will
reach
over
770,000
in-service
units
by
2025
–
13%
of
active
M2M/IoT
satellite
units
in
that
year.
