China cellular M2M module shipment to grow to 13.61 million connections in 2016, Says ABI Research


By Telecom Lead Team:China’s cellular M2M connection revenue is expected to
grow from $642 million in 2011 to $2.76 billion in 2016, according to ABI
Research.  The M2M market is largely driven by cellular module shipments
and connections.


Chinese M2M market, which now constitutes more than
one-third of the Asia-Pacific’s (APAC) M2M market, is ready for a record
growth.  China’s cellular module shipment is forecast to grow from 3.76
million in 2011 to an estimated 13.61 million connections in 2016, constituting
32 percent of APAC’s forecast in 2011 and growing to 37 percent by 2016.


Connection revenue will exceed $2.7 Billion in 2016,
according to ABI Research

China’s latest economic five-year-plan has placed the
-Internet of Things’ as a key, strategic national industry initiative for the
country,” said Jake Saunders, vice president of forecasting. Carriers have
made significant progress through 2011 in terms of developing technologies,
unified platforms, applications, and strategic cooperation.”

Leading service providers like China Mobile and China
Unicom have launched major M2M initiatives. China Mobile, the early comer in
the M2M market, has positioned M2M as third wave of its long-term business
offerings. It has also moved into developing M2M standards and promoting
economies of scale, positioning itself as an integrator with no real focus on
an end-to-end solution approach.


China Unicom has launched sector-specific M2M
applications such as Bank New Horizon, Ocean New Horizon, and Logistics New
Horizon. In addition, China Unicom has also made inroads into the telematics
market as a telematics service provider (TSP).


China Telecom is a late-comer in the domestic M2M market
and seeks to gain fast market entry by offering value-added services through
their strong relationships with enterprise clients.


The cellular module market is facing growing
commoditization and price pressures from China-based module vendors. These
include not only SIMCom Wireless Solutions, Huawei, and ZTE, but smaller
vendors as well, including Quectel, Neoway, and Fibocom. 


[email protected]


see the complete coverage of Mobile World Congress here


More like this

Canada asks 5% revenue share from online streaming services

Telecoms regulator said online streaming services operating in Canada...

Vodafone Idea reveals Capex, Opex, 4G coverage, ARPU in January-March

Vodafone Idea has revealed its financial result – Capex,...

Huawei revenue grew 37% to $24.64 bn in January-March quarter

Huawei Technologies said its revenue for the January-March quarter...

FCC okays T-Mobile’s $1.35 bn Acquisition of Mint Mobile

The U.S. Federal Communications Commission (FCC) announced its approval...