4G will account for 34% of global M2M connections by 2020, compared to 10% in 2015, networking company Cisco said. According to Cisco’s visual networking index or VNI report, the number of M2M connections to increase to 3.1 billion, representing a CAGR of 38% between 2015 and 2020.
Of this, 4G will dominate the market with 34% market share while 3G will account for 26%. M2M connections on 2G network will shrink drastically tojust 12% whereas the remaining 28% will be connected through wide-area (LPWA) network.
The vendor also said that the number of M2M connected devices on LPWA network would grow to 859 million in this five years from current 21.6 million.
LPWA “provides high coverage with low power consumption, module, and connectivity costs, thereby creating new M2M use cases for mobile network operators (MNOs) that cellular networks alone could not have addressed,” said Cisco, in its VNI report on Wednesday. “Examples include utility meters in residential basements, gas or water meters that do not have [a] power connection, street lights, and pet or personal asset trackers.”
It can be recalled that Cisco, last week, announced to acquire M2M platform provider Jasper. This $1.4 billion acquisition of the US based firm would strengthen Cisco’s focus in areas of automotive, retail, home automation and logistics.
Jasper develops and provides a SaaS platform with a predictable, recurring revenue IoT business that manages and drives a wide range of connected devices and services for more than 3500 enterprises worldwide, working with 27 service provider groups globally.