LTE M2M devices are expected to reach 500 million units in 2020, said Strategy Analytics.
The telecom analysis report said the demand for M2M modules, gateways and other devices using single-mode LTE radio chipsets from Altair Semiconductor, Sequans Communications and other suppliers will increase over the next five years, driven by demand for Internet of Things (IoT) connected devices.
There will be more than a 50-fold increase in unit shipments of single-mode LTE devices through 2020 compared to shipments in 2014.
“Single mode LTE Cat. 2 and above data rate chipsets will ship into the bulk of devices through 2020, but lower-priced LTE Cat. 1, Cat. 0 and MTC chipsets will find ready adopters, supporting demand in less data-rate sensitive applications,” said Christopher Taylor, author of the report.
The top tier suppliers of M2M modules and gateways including Sierra Wireless, Telit and Gemalto are moving rapidly to 4G.
The need for narrowband in IoT applications remains strong, which combined with the decline of 2G in the US and the ramp in low power wide area networks (LPWA) from vendors like SigFox will see single mode LTE accelerate.
editor@telecomlead.com
