Australian M2M market study 2011-2015

Analysts: Foad Fadaghi, Alvin Lee

Document type: powerpoint (also available in PDF)

Categories:All Reports, M2M, Mobility


Description

Telsyte estimates the Australian M2M mobile services market to rapidly grow from nearly 900,000 connections in 2011 to 3 million in 2015.

Telsyte estimates M2M ARPU to gradually decrease as M2M applications become more commonly available and competition increases. Telsyte expects the value of the M2M market to grow with 28% CAGR from $100 million in 2011 to $280 million in 2015.

Business adoption of M2M services is in its early stages. However, nearly 35% of the organisations are considering M2M solutions for their businesses, indicating huge growth potential.

The growth of cellular M2M will mainly be driven by utilities, security, automotive and tracking applications. Increased usage in personal devices and digital signage is also expected to increase during the forecast period.

Development of M2M solutions are mainly driven by in-house staff within each organisation. Telco and M2M service providers are currently being seen as mainly a network provider, with potential to assist on developing application and individual solutions. In the future carriers will be seen as platform providers, advisors and brokers. The arrival of standardised approaches and cloud based applications will accelerate this.

Telsyte’s ICT survey shows a largely untapped opportunity with local Australian companies, especially in retail, and organisations with more than $500 million in revenue.

Although strong growth is expected in the forecast period, Telsyte assumes growth will accelerate beyond 2015 driven by the development of a highly connected society with a boom in wireless and wired sensors.