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As IoT Market Matures, Business Will Move to Low Power, Wide Area Connectivity

January 07, 2016

If, for some reason, you’ve been actively ignoring the growing internet of things (IoT) market for the past few years, you may have missed the fact that 2016 is the year that many expect the IoT will truly take over. In fact, major companies like Intel have dedicated a lot of time so far this year to detail the huge plans they have for the IoT, from fitness and sports to drones, clothing and just about everything else in between.

But you know a market is truly ready for prime time when market reports start getting into specifics, because the market is big enough that whole reports can be dedicated to small segments of that market. Take, for example, a recent report from Mobile Experts on wireless IoT connectivity that largely focuses on a detailed comparison of Low Power Wide Area (LPWA) and 2G/3G/4G wireless standards.

The report, aptly titled “LPWA vs. LTE,” includes technical analysis of the link budget and key performance factors like system capacity, dwell time/duty cycle, bandwidth, latency and mobility. Perhaps most interestingly, the report also offers analysis of the business model for IoT offerings. This includes a look into ecosystem development, proprietary versus open standards, global roaming and long-term vendor assurance.

In total, the report examines 86 different IoT applications, with technical and business factors taken into account which wireless standard matches best with each use case. Unsurprisingly, Wi-Fi and Bluetooth will remain dominant for consumers, but businesses will start to move more toward LPWA and 3GPP, according to Mobile Experts senior analyst Frank Rayal.

“LPWA standards are now mature enough for us to analyze both coverage and capacity. This market study examines the technology at a deep level, to determine the fundamental differentiators between various standards,” said Rayal. “Then, based on our team's combined 70 years' experience in mobile networks, we estimated the Total Cost of Ownership involved with wireless IoT standards to understand the business decisions facing IoT service providers.”

Edited by Kyle Piscioniere

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