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Reduced Data Rates And Less Power Consumption Stoke Demand For Global Low Power Wide Area Networks Ecosystem

Press Release   •   Jan 24, 2017 05:11 EST

The new report, titled “The LPWA (Low Power Wide Area) Networks Ecosystem: 2017 - 2030 - Opportunities, Challenges, Strategies, Industry Verticals & Forecasts,” detailing the opportunities and trends in the market.

In the past few years, Low Power Wide Area (LPWA) networking technologies have seen substantial uptake. Up until a while back, M2M and IoT services were mostly dependent on wireline, licensed cellular, and satellite networks, for their wide area connectivity needs. Among them, cellular networks have been most popular seeing maximum adoption. However, for quite a few low bandwidth IoT applications, the cellular networks prove to be expensive as it guzzles way too much power and has complicated protocols that brings down battery life. As a result, a number of LPWA alternatives, which consume less power and hence are cost effective, have gained traction in the market.

The report discusses some of the crucial growth drivers in the global market for LPWA networks eco-system. LPWA devices, mostly dependent on unlicensed frequencies, consumes minimal power, have reduced data rates, extended battery lives, and can function unattended for prolonged stretches. This has resulted in their swift uptake. In fact, going forward, it is predicted that LPWA M2M connections will far outstrip that of cellular technologies M2M connections. Already widely used in IoT applications such as light control, smart metering, and parking management, LPWA networks are predicted to find exhaustive application in M2M and IoT ecosystem and rake in an estimated US$27 bn in service revenue by 2020.

Other factors driving growth in the global Low Power Wide Area networks ecosystem are demand from the nine vertical markets, namely agriculture, healthcare, automotive and transportation, asset management and logistics, and energy and utilities, among others. Countering the growth in the market are dearth of standardizations, interference issues, complicated integration procedures, and lesser revenue per connection. Currently, a sizeable proportion of LPWA networks are based on proprietary technologies and function in license-exempt spectrum primarily in sub-GHz bands.

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The research report, besides elaborating upon the current market drivers, restraints, and trends, segments it based on different parameters. It segments the Low Power Wide Area into technology submarkets such as proprietary LPWA technologies, NB-IoT (Narrowband Internet of Things),

LTE Cat-M1 (eMTC/LTE-M), and EC-GSM-IoT (Enhanced Coverage GSM for the Internet of Things). The report finds that with the recent finalization of the LTE Cat-M1, NB-IoT, and EC-GSM-IoT standards by the 3GPP, mobile operators are racing to complete software upgrades to build their own carrier-grade LPWA networks.

The report also segments the market geographically into six zones and profiles 100 leading ecosystem players. Some such players are 3GPP (3rd Generation Partnership Project), AT&T, Cisco Systems, Deutsche Telekom, Sigfox, Telstra, Vodafone Group, and Verizon Wireless.

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