The GSMA, with the support of AT&T, Deutsche Bank and Vodafone, and in partnership with Machina Research, recently released research that defines the market opportunity and revenue potential for Machine to Machine (M2M) connected devices.
The research shows that the number of total mobile M2M connected devices will grow 100% from more than 6 billion today to 12 billion in 2020.
The research says the consumer electronics industry can benefit from this massive market opportunity by the development of new products, better customer engagement and collaboration with vertical industry sectors to provide compelling new services. The research highlights the consumer electronics industry as potentially the most lucrative market, with revenue forecasted at US$445 billion.
With the rapid change created by the consumerisation of technology, the mobile web and the global uptake of smartphones, tablet computers and other similar devices, consumers are beginning to expect a similar level of functionality from other consumer electronic products. There is great potential for M2M to be integrated into electronic products to revolutionise the capabilities they offer, such as the ability for content download, content upload, user interaction, firmware updating and location based services.
Examples of the first generation of M2M enabled goods include cameras, printers, e-readers and handheld gaming devices. In the case of a camera, M2M can be used to provide connectivity to a digital photo frame, home hard drive or storage based in the cloud. All these additional capabilities would allow camera manufacturers to generate new services and revenue streams.
E-book readers are one of the biggest consumer electronics success stories to date. Many e-book readers use Vodafone 3G connectivity enabling consumers to download books wherever and whenever they want. Although the e-book readers can connect to the web via Wi-Fi, it is interesting to note that a high proportion of books downloaded use the 3G connection. An e-book readers success is shown not only by the number of units of the device sold, but also by the sale of e-books.
M2M enabled electronics products fit the growing demand of consumers who want to interact with products and also for manufacturers who can create a real-time customer engagement platform that will enhance brand loyalty and advocacy.
Vodafone Global Enterprise is an ideal partner for exploiting this market opportunity. Find out how M2M can transform your business - download our white paper.