Asia-Pac overtakes US in Vodafone M2M Adoption Barometer as connected consumer electronics surge

Erik Brenneis, Vodafone M2M

London, UK. July 3, 2014 — Vodafone today published its second annual ‘M2M Adoption Barometer’, a global survey of the machine-to-machine (M2M) market, which finds that M2M adoption has increased by more than 80%, with over a fifth of companies now actively using the technology.

M2M, which connects previously isolated machines or devices to the internet to make the Internet of Things (IoT) possible, is set to grow from 4.4 billion connected devices this year to 10.3 billion by 2018 (Source: Machina Research). Internet connectivity is now growing fastest in consumer electronics where Vodafone expects that 74% of companies will build M2M into products such as thermostats and kitchen appliances by 2016.

The survey, carried out by Circle Research, captured the views of more than 600 executives involved in setting M2M strategy in seven key industries across 14 countries, making it one of the leading global surveys of M2M implementation.

Three sectors have emerged as front runners in M2M with adoption rates of almost 30%, they are automotive, consumer electronics, and energy and utilities.  Automotive is the most mature of the sectors where M2M is now seen as an enabler for safety services and additional applications including remote maintenance and infotainment.  M2M adoption in energy and utilities is also growing rapidly as ‘smart’ home and office services such as intelligent heating and connected security gain popularity.

Connected devices and consumers

Vodafone’s report shows that the consumer electronics sector is at the forefront of a shift from the warehouse to the living room.  This uptake is being fuelled by the use of M2M in connected devices such as smart televisions and games consoles.  The research shows that nearly three quarters of consumer electronics companies will have adopted some form of M2M by 2016, whether for new products, logistics or production.

Similarly, the report anticipates that 57% of healthcare and life sciences companies will have adopted M2M technologies by 2016. Take-up in the transport and logistics sector will be driven by fleet management benefits, as M2M-led routing, job allocation and maintenance schedules become even more evident.

Returns on investment increase in M2M

While more firms are seeing a return on investment from M2M than last year – 46% of respondents cited a ‘significant increase’ compared with 36% in 2013 – there are still some barriers to adoption, including managing security concerns and the challenges of global deployment.

As predicted in the 2013 Vodafone M2M Adoption Barometer report, the US (with 17% of companies having an M2M solution in place) has been overtaken by the Asia-Pacific region (27%) as the geography with the widest adoption of M2M. In Europe 21% of companies surveyed have now deployed an M2M solution. However, this year’s report suggests that by 2016 the gap will be negligible with all regions close to a 55% average for adoption.

Director of Machine-to-Machine, Vodafone, Erik Brenneis (pictured above) said: “This year’s report leaves no doubt that momentum is accelerating as companies begin to realise the commercial potential of the Internet of Things. This technology is transforming whole industries as companies find new ways to operate and engage with their customers. M2M is moving from the back office to centre stage.”

Principal Analyst at Machina Research, Matt Hatton, said, “The most interesting finding from my perspective is the range of different reasons companies are giving for deploying M2M. Historically, M2M technologies have tended to be bolted on to add an additional cool product feature or to monitor some kind of internal process. We now see M2M is becoming fundamental to how organisations do business; in some cases, M2M adoption is also creating new business opportunities. These technologies are radically changing the way in which companies serve – and communicate with – their customers.”

Matt Hatton, Machina Research
Matt Hatton, Machina Research

 

The report is available to download from:
https://m2m.vodafone.com/barometer2014

 

Vodafone_logo


[1] Source: Machina Research

RECENT ARTICLES

Driving connected personalised user experiences with Generative AI

Posted on: March 27, 2024

As the world continues to rapidly move towards digitalisation, customer expectations are also on the rise. Around the globe, telcos are grappling with meeting these expectations. As well as ensuring connectivity in a secure, seamless, and consistent manner 24/7, to compete and differentiate, operators now need to provide personalised experiences that are as unique as

Read more

IOT Solutions World Congress 2024 connects semiconductor chips to industry

Posted on: March 27, 2024

Essential to manufacture computers, smartphones, cars, refrigerators or any electronic device, semiconductors are critical elements in the implementation of the Internet of Things. For this reason, IOT Solutions World Congress (IOTSWC), the leading international event on the transformation of industry through disruptive technologies, will give have a special focus this year on chip designers, manufacturers

Read more
FEATURED IoT STORIES

What is IoT? A Beginner’s Guide

Posted on: April 5, 2023

What is IoT? IoT, or the Internet of Things, refers to the connection of everyday objects, or “things,” to the internet, allowing them to collect, transmit, and share data. This interconnected network of devices transforms previously “dumb” objects, such as toasters or security cameras, into smart devices that can interact with each other and their

Read more

The IoT Adoption Boom – Everything You Need to Know

Posted on: September 28, 2022

In an age when we seem to go through technology boom after technology boom, it’s hard to imagine one sticking out. However, IoT adoption, or the Internet of Things adoption, is leading the charge to dominate the next decade’s discussion around business IT. Below, we’ll discuss the current boom, what’s driving it, where it’s going,

Read more

9 IoT applications that will change everything

Posted on: September 1, 2021

Whether you are a future-minded CEO, tech-driven CEO or IT leader, you’ve come across the term IoT before. It’s often used alongside superlatives regarding how it will revolutionize the way you work, play, and live. But is it just another buzzword, or is it the as-promised technological holy grail? The truth is that Internet of

Read more

Which IoT Platform 2021? IoT Now Enterprise Buyers’ Guide

Posted on: August 30, 2021

There are several different parts in a complete IoT solution, all of which must work together to get the result needed, write IoT Now Enterprise Buyers’ Guide – Which IoT Platform 2021? authors Robin Duke-Woolley, the CEO and Bill Ingle, a senior analyst, at Beecham Research. Figure 1 shows these parts and, although not all

Read more

CAT-M1 vs NB-IoT – examining the real differences

Posted on: June 21, 2021

As industry players look to provide the next generation of IoT connectivity, two different standards have emerged under release 13 of 3GPP – CAT-M1 and NB-IoT.

Read more

IoT and home automation: What does the future hold?

Posted on: June 10, 2020

Once a dream, home automation using iot is slowly but steadily becoming a part of daily lives around the world. In fact, it is believed that the global market for smart home automation will reach $40 billion by 2020.

Read more

5 challenges still facing the Internet of Things

Posted on: June 3, 2020

The Internet of Things (IoT) has quickly become a huge part of how people live, communicate and do business. All around the world, web-enabled devices are turning our world into a more switched-on place to live.

Read more