SHARE

IoT a Windfall for Mobile Network Operators

Without connectivity, there is no Internet of Things (IoT). That essential fact along with an increasing number of IoT devices and systems that can transmit data wirelessly over mobile networks can add up to a massive revenue stream for the world’s telecommunications companies. According to a GSMA forecast released Sept. 6, the IoT represents a […]

Written By

Pedro Hernandez

Sep 6, 2017

Datamation content and product recommendations are editorially independent. We may make money when you click on links to our partners. Learn More

Without connectivity, there is no Internet of Things (IoT). That essential fact along with an increasing number of IoT devices and systems that can transmit data wirelessly over mobile networks can add up to a massive revenue stream for the world’s telecommunications companies.

According to a GSMA forecast released Sept. 6, the IoT represents a $1.8 trillion sales opportunity for mobile network operators by 2026. The trade group arrived at the figure based, in part, on data from Machina Research showing keen interest in commercial deployments of low power wide area networks.

“There is a real sense of momentum behind Mobile IoT networks in licensed spectrum, with multiple commercial launches around the world, as well as the availability of hundreds of different applications and solutions, but there is still much to be done,” stated GSMA’s chief technology officer, Alex Sinclair. “Many operators are already reaping the benefits of deploying Mobile IoT and we encourage others to act now to capitalize on this clear market opportunity and further accelerate the development of the Internet of Things.”

The Americas are set to generate roughly a third (an estimated $534 billion) of that lofty total. To date, there exist 15 commercial mobile IoT services offerings from 12 providers, noted the GSMA. The list includes AT&T, Verizon, China Telecom, Deutsche Telekom and Vodafone, among others.

Generally, these telecoms are supplementing their licensed mobile networks with low-power LTE-M (Long Term Evolution-M) machine-to-machine technology and the similarly energy efficient NB-IoT (NarrowBand IoT) standard. By 2022, 56 percent of all low power wide area network connections, or 862 million active connections, will involve the mobile IoT, noted the GSMA citing additional data from Machina Research.

Consumer-facing mobile IoT services will be the biggest moneymakers, predicts the GSMA. Connected home systems will generate $441 billion for mobile operators by 2026, followed by IoT-enabled consumer electronics ($376 billion).

Utilities are also getting on board. The connected energy market will generate $128 billion for mobile IoT providers by 2026. Finally, smart cities are set to contribute $76 billion.

The IoT is expected to lift the fortunes of all types of technology companies, not just telecoms, provided they offer suitable products and services. In June, an IDC forecast predicted that worldwide IoT spending will approach $1.4 trillion in 2021 after hitting $800 in 2017.

Pedro Hernandez is a contributing editor at Datamation. Follow him on Twitter @ecoINSITE.

Huawei’s AI Update: Things Are Moving Faster Than We Think

FEATURE | By Rob Enderle,
December 04, 2020
Keeping Machine Learning Algorithms Honest in the ‘Ethics-First’ Era

ARTIFICIAL INTELLIGENCE | By Guest Author,
November 18, 2020
Key Trends in Chatbots and RPA

FEATURE | By Guest Author,
November 10, 2020
Top 10 AIOps Companies

FEATURE | By Samuel Greengard,
November 05, 2020
What is Text Analysis?

ARTIFICIAL INTELLIGENCE | By Guest Author,
November 02, 2020
How Intel’s Work With Autonomous Cars Could Redefine General Purpose AI

ARTIFICIAL INTELLIGENCE | By Rob Enderle,
October 29, 2020
Dell Technologies World: Weaving Together Human And Machine Interaction For AI And Robotics

ARTIFICIAL INTELLIGENCE | By Rob Enderle,
October 23, 2020
The Super Moderator, or How IBM Project Debater Could Save Social Media

FEATURE | By Rob Enderle,
October 16, 2020
Top 10 Chatbot Platforms

FEATURE | By Cynthia Harvey,
October 07, 2020
Finding a Career Path in AI

ARTIFICIAL INTELLIGENCE | By Guest Author,
October 05, 2020
CIOs Discuss the Promise of AI and Data Science

FEATURE | By Guest Author,
September 25, 2020
Microsoft Is Building An AI Product That Could Predict The Future

FEATURE | By Rob Enderle,
September 25, 2020
Top 10 Machine Learning Companies 2020

FEATURE | By Cynthia Harvey,
September 22, 2020
NVIDIA and ARM: Massively Changing The AI Landscape

ARTIFICIAL INTELLIGENCE | By Rob Enderle,
September 18, 2020
Continuous Intelligence: Expert Discussion [Video and Podcast]

ARTIFICIAL INTELLIGENCE | By James Maguire,
September 14, 2020
Artificial Intelligence: Governance and Ethics [Video]

ARTIFICIAL INTELLIGENCE | By James Maguire,
September 13, 2020
IBM Watson At The US Open: Showcasing The Power Of A Mature Enterprise-Class AI

FEATURE | By Rob Enderle,
September 11, 2020
Artificial Intelligence: Perception vs. Reality

FEATURE | By James Maguire,
September 09, 2020
Anticipating The Coming Wave Of AI Enhanced PCs

FEATURE | By Rob Enderle,
September 05, 2020
The Critical Nature Of IBM’s NLP (Natural Language Processing) Effort

ARTIFICIAL INTELLIGENCE | By Rob Enderle,
August 14, 2020

SEE ALL
ARTICLES

Pedro Hernandez

Pedro Hernandez is a contributor to Datamation, eWEEK, and the IT Business Edge Network, the network for technology professionals. Previously, he served as a managing editor for the Internet.com network of IT-related websites and as the Green IT curator for GigaOM Pro.

IoT a Windfall for Mobile Network Operators

Pedro Hernandez

Recommended for you...

Company

Categories

IoT a Windfall for Mobile Network Operators

RELATED NEWS AND ANALYSIS

Pedro Hernandez

Recommended for you...

Company

Categories