Machine-to-machine (M2M) applications over mobile phone
networks have taken off in North America, with the number of
connected machines set to reach 66 million by 2011, according to
analyst Berg Insight.
At the end of 2006, there were nine million active cellular and
satellite wireless M2M or "telematics" connections in the US and
Canada.
Berg said that private vehicles constituted the largest vertical
market segment in terms of units, followed by commercial vehicles,
security alarms and point of sale terminals.
“The automobile manufacturers continue to drive the demand for
wireless M2M on cellular networks in North America,” said Berg
analyst Tobias Ryberg. “We expect other brands will soon follow GM
and incorporate telematics units as standard equipment in their
vehicles.”
Another important development highlighted in the
Berg report is the urgent need to upgrade
older analogue solutions such as the AMPS and Mobitex networks,
which are set to be dismantled in early 2008. Berg estimates
there are a million security alarms still connected to analogue
networks in the US alone.
According to the analyst, utility meters are an area with
enormous growth potential for cellular wireless M2M technology in
the US and Canada, although power line communication technologies
could also be used by providers.
Some utility companies in the UK already use wireless metering
technologies.
Some providers of analogue M2M systems in the UK have
expressed concern that BT’s £10bn IP-based 21st Century Network may
cause integration problems with older connectivity solutions.
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