M2M Module Market Declines 16 Percent from 2009 to 2010 Due to Price Erosion

摘要

The cellular M2M embedded module market experienced a more difficult than expected year in 2010, according to ABI Research. Although total unit volumes continued to rise, reaching nearly 34 million units shipped in 2010, total industry revenue fell from roughly $996 M in 2009 to about $841 M in 2010, reversing the upward momentum in revenue seen in 2009 as the market rebounded from its 2008 lows. "Although total unit volume continued to grow in 2010, average selling pricings (ASP) fell at a faster rate, leading to an overall decline in revenue," says Sam Lucero, Practice Director, M2M connectivity. "The sharp decline in ASPs is continuing in 2011 and is indicative of the fierce competition in the market, competition that has led to industry consolidation, such as Gemaltos acquisition of Cinterion and Novatel Wireless' acquisition of Enfora, both in 2010."