Design Con 2015
Breaking News
Comments
Newest First | Oldest First | Threaded View
nickflaherty
User Rank
Blogger
re: IoT changes M2M economics
nickflaherty   3/3/2014 7:27:33 AM
NO RATINGS
That makes sense Prabhakar but it isn't the way M2M currently operates - the operators currently make the majority of their money from those simple connections as the report shows.

Managing this change from connection-based income to service-based income is one of the things that will actually slow down the adoption of IoT - it's also why some of the large companies such as Intel are focussing on the gateway technologies - these do include the SIM card that is the heart of the charging model for the operators and allows the operator to deliver a hybrid where they can still charge for the connection, albeit to the gateway.

Then the operator wants to charge for the service that handles the data from all those sensors too, probably using a private cloud. The open, WiFI-based, public cloud, service model is a direct threat to the established revenue stream of those operators and hence the focus on the hybrid model. How service providsers can make money out of the IoT has yet to be proven though, which is another reason why the oeprators are moving more slowly.

 

 

 

 

prabhakar_deosthali
User Rank
CEO
re:
prabhakar_deosthali   3/3/2014 7:03:08 AM
NO RATINGS
Pure M2M connectivity is meaningless and hence no sunstantial revenues can be expected from such services.

 

The real money makers will be thos ewho provide solutions based upon the M2M connectivity. and such solutions could be anything that one can imagine. So innovators have a great chance here to offer new services , new applications .

For example  a washing machine company could have a centraslise service to monitor the service parameters of all the machines it has sold worldwide, collect data of their performance, failures etc . 

A courier company could have automated tracking of their goods in transit as the goods themselves will be transmitting their location information.

So with M2M, new players will come onto the horizon with new apps and services .



Flash Poll
Top Comments of the Week
Like Us on Facebook
EE Times on Twitter
EE Times Twitter Feed

Datasheets.com Parts Search

185 million searchable parts
(please enter a part number or hit search to begin)
EE Life
Frankenstein's Fix, Teardowns, Sideshows, Design Contests, Reader Content & More
Max Maxfield

Book Review: Deadly Odds by Allen Wyler
Max Maxfield
11 comments
Generally speaking, when it comes to settling down with a good book, I tend to gravitate towards science fiction and science fantasy. Having said this, I do spend a lot of time reading ...

Martin Rowe

No 2014 Punkin Chunkin, What Will You Do?
Martin Rowe
1 Comment
American Thanksgiving is next week, and while some people watch (American) football all day, the real competition on TV has become Punkin Chunkin. But there will be no Punkin Chunkin on TV ...

Rich Quinnell

Making the Grade in Industrial Design
Rich Quinnell
14 comments
As every developer knows, there are the paper specifications for a product design, and then there are the real requirements. The paper specs are dry, bland, and rigidly numeric, making ...

Martin Rowe

Book Review: Controlling Radiated Emissions by Design
Martin Rowe
1 Comment
Controlling Radiated Emissions by Design, Third Edition, by Michel Mardiguian. Contributions by Donald L. Sweeney and Roger Swanberg. List price: $89.99 (e-book), $119 (hardcover).