The global cellular M2M connections market will grow at a high CAGR of around 30 percent by 2020, predicts Technavio. Also, the global cellular M2M services market is expected to grow at an impressive CAGR of more than 33 percent from 2016 to 2020. M2M services play a critical role in the improvement of supply chain processes such as inventory-level monitoring, fleet tracking, event-based monitoring, and inventory condition monitoring. M2M services allow enterprises to improve their existing supply chain processes by enabling the remote monitoring of vehicles through real-time updates about cargo shipments. Growing adoption of M2M in tackling supply chain challenges will propel growth in this market.
One of the interesting trends gaining traction in this market is the M2M platform consolidation. M2M platform consolidation solutions offer a single and intuitive management platform for all M2M services and solutions. Moreover, the solutions help in the close monitoring of each service to improve the integration between solutions. As the M2M platform consolidation solutions accelerate the development of new M2M solutions, this will enhance the growth prospects of the market in the coming years.
The energy and utilities segment will be the fastest-growing segment in the cellular M2M connections and services market by 2020. The incorporation of M2M technology in the utilities will help improve efficiency, prevent losses, save energy, and upgrade the overall market performance. Also, the deployment of intelligent grid management and smart meters will augment the market growth rate of this segment.
The United States is the largest revenue-contributing region in the cellular M2M services market and is expected to grow at a CAGR of more than 35 percent until 2020. The large-scale deployment of LTE network infrastructure is propelling the cellular M2M services market in the Americas. Factors such as the implementation of remote monitoring and fleet management solutions will contribute to the market's growth in this region over the next 4 years.