M2M market to top $530m
- 10 September, 2014 16:37
The transport and logistics sector is a big growth area for M2M technologies
The Australian market for machine-to-machine (M2M) technologies is expected to be worth more than $530 million by 2019, with a compound annual growth rate of 20 per cent, said researcher Ovum.
The transport and logistics, retail, and healthcare sectors will drive growth, according to Ovum’s report called ‘Connection Nation: M2M in Australia 2014-2019'. Ovum was commissioned by telco Vodafone to compile the report.
M2M technology connects previously isolated machines or devices to the Internet, delivering services without the need for human intervention.
Transport and logistics companies are leading the way with 44 per cent of businesses in this sector, applying at least one M2M solution with 22 per cent considering using the technologies, said Justin Nelson, general manager of M2M at Vodafone.
“We estimate the value of M2M in the transport and logistics sector will grow to around $81 million in five years and to be focused on fleet management, supply chain, and safety applications,” he said.
The retail sector is expected to spend $82 million annually on M2M technologies in five years. To date, 13 per cent of companies in this sector have deployed M2M apps, particularly for point-of-sale and asset tracking, the research found.
Sectors to watch included healthcare (telehealth apps), and energy and utilities (smart metering) are expected to grow by $79 million and $78 million respectively, the report said.
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