Top ten mobile operators have 76 percent market share in cellular IoT

Top ten mobile operators have 76 percent market share in cellular IoT

Top ten mobile operators have 76 percent market share in cellular IoT

A new report from the IoT analyst firm Berg Insight says that the ten leading global mobile operator groups have a combined market share of 76 percent in cellular IoT.

The top players reported a combined active base of 407 million cellular IoT connections at the end of H1-2017.

China Mobile was number one with 150 million IoT connections in the period. Vodafone ranked second, with a reported 59 million connections, ahead of China Unicom with 50 million IoT connections. AT&T and China Telecom ranked fourth and fifth with 36 million and 28 million IoT connections respectively. Deutsche Telecom, Softbank/Sprint, Verizon and Telefónica currently had in the range of 15–20 million cellular IoT subscribers, which are growing at yearly rates of 15–30 percent. Telenor was the last player in the top ten with approximately 12 million cellular IoT subscribers.

Tobias Ryberg, Senior Analyst at Berg Insight and author of the report, said:

“The Chinese mobile operators achieved tremendous volume growth in 2017, driven by accelerating uptake of cellular IoT in the domestic market. China Mobile is believed to have reached 200 million cellular IoT connections at the end of 2017”.

Vodafone and AT&T are consolidating their positions as regional market leaders in Europe and North America respectively, serving multinational clients on a global basis. “In 2017, Vodafone extended its lead in the European market”, says Mr Ryberg. “The competitors are however also gaining momentum and the expanding market has room for multiple players”.

In terms of revenues, the Western mobile operators are ahead of their Chinese counterparts. Berg Insight expects that at least three operator groups – AT&T, Verizon and Vodafone – will generate more than US$ 1 billion in revenues from IoT in 2018.

Berg Insight chart: cellular IoT subscribers (World 2016-2022)“The main strategy for growing IoT revenues is vertical plays in major application areas,” says Mr Ryberg. “Verizon, Vodafone and others have made significant acquisitions in the connected vehicle space to extend their product portfolios. AT&T and Deutsche Telekom develop dedicated practices for smart cities and many operators seek to play leading roles in national projects in areas like smart metering and electronic road charging”.

The post Top ten mobile operators have 76 percent market share in cellular IoT appeared first on IoT Business News.

IoT Business News

Public LPWA Connections to Grow at a 206 Percent CAGR to 2021

Public LPWA Connections to Grow at a 206 Percent CAGR to 2021

Public LPWA Connections to Grow at a 206 Percent CAGR to 2021

Low power wide area networks to play a key role in connecting the devices that form the Internet of Things, IHS Markit says.

Globally, public low power wide area (LPWA) connections are anticipated to reach over 1 billion by 2021, according to a new report by business information provider IHS Markit.

This represents a 206 percent compound annual growth rate (CAGR) from 2014 to 2021, spurred by the need for low-power wireless network technology in Internet of Things (IoT) devices.

The IHS Markit Low Power Wide Area Interim Market Update Report – 2017 tracks key developments in the LPWA market over the past year, including the growth prospects for narrowband IoT (NB-IoT), long range wide area network (LoRaWAN), Long Term Evolution Cat-M1 (LTE-M) and Sigfox.

According to the report, the NB-IoT market received a tremendous boost in June 2017 when the Chinese Ministry of Industry and Information Technology (MIIT) issued an NB-IoT policy framework. Key provisions of the framework include:

  • Setting targets for the deployment of NB-IoT–ready base stations: 400,000 sites in 2017 and 1.5 million sites by 2020;
  • Establishing goals for NB-IoT end-device adoption: 20 million connections by year-end 2017 and 600 million connections by year-end 2020;
  • Creating a cellular IoT forum to encourage ecosystem development, and permitting the use of global system for mobile communications (GSM) and frequency-division duplex (FDD) spectrum for NB-IoT services.

“The cellular IoT market was already booming in China, with the three main Chinese operators growing cellular IoT connections from 53.5 million in 2014 to 160.2 million in 2016,” said Sam Lucero, senior principal analyst for IoT at IHS Markit.
“With the demonstrated desire by the central government for rapid NB-IoT deployment in the country, along with the key benefits NB-IoT offers for many IoT use cases, it now seems likely that worldwide NB-IoT connections could reach nearly 450 million by 2021, even when conservatively assuming that the Chinese operators do not achieve the aggressive government target for 2020.”

In the market for LPWA in unlicensed spectrum, LoRaWAN achieved higher-than-expected growth during 2017. IHS Markit projects that LoRaWAN “public” connections — those offered as a service by LoRaWAN network operators — will rise to nearly 300 million by 2021.

Conversely, the outlook for Sigfox has darkened over the course of 2017.
“As a venture-funded startup, Sigfox has always represented an element of risk for partners and customers seeking to deploy IoT applications,” said Lee Ratliff, senior principal analyst for IoT connectivity at IHS Markit.
“Underscoring that risk are the company’s unclear funding situation and attrition among top executives, which hint at turmoil within the otherwise opaque private company.”

Ratliff said:

“The events of 2017 have widened LoRa’s lead over Sigfox at a time when seizing market share is critical to ensuring survival as NB-IoT begins to be deployed at scale. While LoRa and Sigfox are technically similar, the business models are clearly differentiated and lower risk has become a key advantage in LoRa’s favor.”

The post Public LPWA Connections to Grow at a 206 Percent CAGR to 2021 appeared first on IoT Business News.

IoT Business News

Global Study Reveals IoT Adoption is at 69 Percent Despite Security Concerns

Global Study Reveals IoT Adoption is at 69 Percent Despite Security Concerns

Global Study Reveals IoT Adoption is at 69 Percent Despite Security Concerns

Despite the rise of high-profile IoT botnet attacks Mirai and Reaper, nearly half of organizations surveyed plan to roll-out IoT deployments on existing enterprise networks.

Cradlepoint today announced the release of a new Cradlepoint Business Intelligence Report, “The State of IoT 2017-2018”, which reveals the current IT practices, perceptions and future plans surrounding global Internet of Things (IoT) deployments.

The findings of the underlying study revealed that even though over 69 percent of organizations have adopted, or plan to adopt, IoT solutions within the next year, 40 percent of companies have serious concerns around cybersecurity.

Conducted by Spiceworks, the study surveyed 400 IT professionals in the U.S., Canada and the UK at companies with at least 500 employees across 22 industries. Respondents are all involved with IoT strategies and decisions at their organizations.

While cybersecurity remains the top concern (40 percent), it is a desire for increased physical security that is the top driver for IoT adoption (32 percent), followed by improved operational processes (23 percent), reduced operational costs (21 percent) and simplified management (20 percent). Approximately 71 percent of respondents who already use IoT technologies say they’re using it for building security, often through security cameras.

Recent botnet attacks have infected millions of IoT devices. However, despite the growing security threat associated with IoT, the research shows that about half of the organizations surveyed are deploying IoT solutions on their existing enterprise network and 57 percent prefer to manage their own IoT device security.

“Following the spread of IoT botnets like Reaper and Mirai, which infected millions of internet-connected security cameras, routers, and digital video recorders, it’s evident that insecure IoT devices, even connected security devices, are putting organizations more at risk,” said Peter Tsai, senior technology analyst at Spiceworks.

“Before deploying network-connected devices that create more entry points for hackers to exploit, organizations should vet the security of all IoT devices they plan to introduce and ensure their company can adequately protect these devices from potential threats.”

“Our new ‘State of IoT’ report highlights a looming issue within commercial IoT deployments – cross-contamination. Companies that deploy IoT devices on their existing enterprise networks are significantly expanding their attack surface and creating new vulnerabilities to IoT-specific threats that traditional security tools are not equipped to handle,” said Ken Hosac, vice president of IoT business development at Cradlepoint.

“The good news, however, is that companies can leverage software-defined perimeter technology to spin-up virtual overlay networks, without trained specialists, that isolate IoT devices from existing networks —and other IoT devices, control access and shield them from being Internet-addressable.”

The post Global Study Reveals IoT Adoption is at 69 Percent Despite Security Concerns appeared first on IoT Business News.

IoT Business News

Nearly 50 Percent of Enterprises Have Only Achieved Half of Their “Intelligence” Potential

Nearly 50 Percent of Enterprises Have Only Achieved Half of Their “Intelligence” Potential

Nearly 50 Percent of Enterprises Have Only Achieved Half of Their “Intelligence” Potential

Zebra study: Only five percent of companies are considered truly “intelligent” enterprises, leveraging ties between physical and digital worlds for better visibility and actionable insights.

Zebra Technologies Corporation, today revealed the results of its inaugural “Intelligent Enterprise Index.” This global survey analyzes where companies are on the journey to becoming an Intelligent Enterprise; how they are connecting the physical and digital worlds to improve visibility, efficiencies and growth.

Forty-eight percent are on the path to becoming intelligent enterprises, scoring between 50-75 points on the overall index. Only five percent exceeded 75 points on the index.

The Intelligent Enterprise Index measures to what extent companies today are meeting the criteria that define today’s Intelligent Enterprise. Some of the criteria include Internet of Things (IoT) vision and adoption plan as well as business engagement in developing a return on investment for IoT. The criteria were identified by leading executives, industry experts and policymakers across different industries at the 2016 Strategic Innovation Symposium: The Intelligent Enterprise, which was hosted by Zebra in collaboration with the Technology and Entrepreneurship Center at Harvard (TECH) last year.

The framework of an Intelligent Enterprise is based on technology solutions that integrate cloud computing, mobility, and the Internet of Things (IoT) to automatically “sense” information from enterprise assets. Operational data from these assets, including status, location, utilization, or preferences, is then “analyzed” to provide actionable insights, which can then be mobilized to the right person at the right time so they can be “acted” upon to drive better, more-timely decisions by users anywhere, at any time.

Key survey findings:

  • IoT vision is strong and investment set to increase. Forty-two percent of companies spend more than $ 1 million toward IoT annually, with an average of $ 3.1 million per year, and 75 percent expect that number to increase in the next one to two years. In fact, 42 percent of companies expect their IoT investment to increase by 11-20 percent. Notably, 57 percent of companies have an IoT vision and are currently executing their IoT plans. Although only 36 percent currently have company-wide deployment, it is expected that 62 percent will have it deployed company-wide in the future.
  • Customer experience is driving IoT. Seventy percent of companies claim the largest driver of IoT investment is improving the customer experience. In the future, increasing revenue (53 percent) and expanding into new markets (51 percent) are expected to be the largest drivers.
  • Business engagement is top of mind, but culture should be given more consideration. Seventy-seven percent of companies have a method in place to measure ROI from their IoT plan, and 71 percent have IoT plans that address both the cultural and process changes necessary to implement it.
  • Many companies lack an adoption plan. More than 50 percent of companies expect resistance to adopt their IoT solution, yet don’t have a plan in place to address it. Only 21 percent who expect resistance, have a plan to address it.
  • Companies keep employees informed, but there is room for more. Approximately 70 percent of companies share information from their IoT solutions with their employees more than once a day, of which more than two-thirds share in real or near-real time. However, only 32 percent provide actionable information to all employees, and information is provided either via email (69 percent) or as raw data (62 percent).
Survey background and methodology:

  • The online survey was fielded from August 3-23, 2017 across a wide range of segments, including healthcare, manufacturing, retail and transportation and logistics.
  • In total, 908 IT decision makers from nine countries were interviewed, including the U.S., U.K./Great Britain, France, Germany, Mexico, Brazil, China, India, and Australia/New Zealand.
  • Eleven metrics were used to understand where companies are on the path to becoming an Intelligent Enterprise, including: IoT Vision, Business Engagement, Technology Solution Partner, Adoption Plan, Change Management Plan, Point of use Application, Security & Standards, Lifetime Plan, Architecture/Infrastructure, Data Plan and Intelligent Analysis.

Tom Bianculli, Chief Technology Officer, Zebra Technologies:

“An ‘Intelligent Enterprise’ is one that leverages ties between the physical and digital worlds to enhance visibility and mobilize actionable insights that create better customer experiences, drive operational efficiencies or enable new business models. This is a journey for enterprise organizations so we wanted to see where most companies are in the process. Clearly, many are still forming their IoT strategies, but we are seeing segments that have identified targeted use cases and are aggressively deploying solutions.”

Leaders from across industries developed a list of criteria that define today’s “Intelligent Enterprise.”
Zebra Technologies recently commissioned a survey to measure to what extent companies are meeting these criteria.

infographic: how intelligent are the enterprises

The post Nearly 50 Percent of Enterprises Have Only Achieved Half of Their “Intelligence” Potential appeared first on IoT Business News.

IoT Business News