M2M Market Shifts Show in ABI Research

The M2M marketplace is evolving constantly, and since 2013, major power shifts have been transforming the roles of the biggest players, although the king of the hill still holds the crown.

In the latest market analysis from ABI Research, the firm reported that Sierra Wireless has maintained the top revenue position for M2M cellular modules for the fourth straight year. In addition, Sierra Wireless has also maintained the highest average revenue per module. In the next few spots, there has been plenty of turmoil, however. Shipment market share among the top vendors has changed dramatically from 2013. SIMCom Wireless has taken the number two position in global shipments in 2014, creeping up on Sierra’s lead.

“While 2G modules remain the highest in total volumes, it is the market experiencing the most pricing pressure,” said Dan Shey, Practice Director, ABI. “All module vendors understand that they need a portfolio that includes not only 3G but also a suite of 4G modules if they expect to maintain margins and stay profitable.”

The report, M2M Cellular Module Vendor Market Share analysis, which is part of ABI’s M2M and IoT Modules and Devices Market Research, looked at shares among industry leaders Gemalto, Huawei, Novatel Wireless, Telit Wireless Solutions, and u-blox, in addition to Sierra and SIMCom.

This kind of volatility in the market is nothing to worry about for investors, or companies exploring mergers or acquisitions. Quite to the contrary, as is shown by the dozens of major and minor M&A moves announced in the last few months. It shows a healthy and robust marketplace of excellence, with the best platforms rising and getting acquired. If you’re looking to get your feet wet in the industry, check out the upcoming IoT Evolution Expo, from August 17 to 20 in Las Vegas. There, key players will be rubbing elbows and looking to form new partnerships.

Get into the mix.