M2M device connections will jump to 2.1 billion by 2020

The global market for machine-to-machine (M2M) device connections will grow from 62 million devices in 2010 to 2.1 billion devices in 2020, according to a new report from Analysys Mason (London, UK). With a year-on-year growth rate of between 36% and 52%, M2M seeks to be one of the fastest-growing connectivity sectors in the next decade.

The “Machine-to-machine devices connections: worldwide forecast 2010-2020” covers 8 regions, 7 industry segments, and 20 product/solution categories.


The global market for machine-to-machine (M2M) device connections will grow from 62 million devices in 2010 to 2.1 billion devices in 2020, according to a new report from Analysys Mason (London, UK). With a year-on-year growth rate of between 36% and 52%, M2M seeks to be one of the fastest-growing connectivity sectors in the next decade.

The “Machine-to-machine devices connections: worldwide forecast 2010-2020” covers 8 regions, 7 industry segments, and 20 product/solution categories.

Steve Hilton, Principal Analyst and author of the report, said the newer areas of the report are the most interesting. Categories like energy and utilities, security and surveillance, and healthcare and acute disease tracking each experienced “hockey stick” growth curves. He believes falling costs and the increasing importance of external demand side management are the main causes.

Hilton also points out a common theme among these hot areas, each aims to “remove you and me from the equation.” Machines operate and gather data much faster than human beings ever could, and the demand for and relevance of M2M will focus more and more on this fundamental advantage.

The firm found all participants in the M2M supply chain–from chip manufacturer to communication service provider to application vendor–have the opportunity to spearhead this M2M growth. With growth in the number of mobile handsets slowing in the developed world, M2M presents itself as the one of the next opportunities to connect commercial and consumer devices.

That being said, the supply chain for creation and sales of these M2M solutions is long and complex. The complexity in the supply chain adds