Cellular M2M connections to triple in Asia by 2017, predicts IHS

Cellular machine-to-machine (M2M) connections in the Asia-Pacific (APAC) region are expected to more than triple in the coming years, according to market research firm IHS Technology.

The installed base of APAC cellular M2M connections is forecast by IHS to reach 109 million in 2017, up from 32.6 million in 2012.

By then, the Asia-Pacific region will be the second largest M2M market behind Europe, predicts IHS.

To ensure that national differences don't slow this projected growth, a group of 11 Asian wireless operators have formed the Bridge M2M Alliance to reduce barriers to M2M deployments in the region.

Founding members of the Bridge M2M Alliance are Airtel of India, AIS of Thailand, CSL of Hong Kong, Globe of the Philippines, Maxis of Malaysia, MobiFone of Vietnam, Optus of Australia, SingTel of Singapore, SK Telecom of South Korea, Taiwan Mobile of Taiwan and Telkomsel of Indonesia.

Some of the barriers identified by the group include multiple cellular air standards, geographical barriers and divergent market dynamics.

"Asia-Pacific boasts a plethora of cellular air interface standards, including CDMA, WCDMA, TD-SCDMA, and TD-LTE. This diversity makes the value proposition of a multinational deployment, either to enable one device to travel among several countries or to enable on stock-keeping unit of a device to be shipped to multiple countries, harder to attain," IHS explains.

"Despite these significant structural barriers, IHS believes there is little doubt that rapid growth will occur in multinational M2M deployments in APAC," the market research firm concludes.

For more:
- see the IHS release

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