M2M SUMMARY FOR ALL
Though M2M exist since many years, as many new technologies entered into market takes time to be
accepted, adapt and matured, it is becoming more popular day by day.
One of the reasons why it took so much time to be accepted is that the GSM operator were happy
with their voice ARPU’s. However after the liberation of telecom services and the entrance of new GSM
players into market beside the incumbents, ARPU’s have gone down. GSM operators had to find new
sources of income. Value added services were one of many. At this point M2M services started to take off.
However now wee are at the turning point for M2M users with the new MVNO players.
As can be guessed GSM operators are not willing to share voice and SMS incomes with MNVO’s.
Therefore, MVNO’s are bound by basically with M2M solutions. We think that this is where MVNO’s may
Some of the possible M2M applications MVNO’s will provide beside the GSM operators are as
Using automated GPS technology, companies can remotely locate, navigate and track their fleet
vehicles, to improve management and customer service. Mobile assets can be tracked not only for location,
but also for vehicle performance and driver safety.
The Security market is arguably the largest M2M segment to date, primarily with the adoption of
wireless technology based on antiquated analog cellular and proprietary data networks. Most of these security
applications have been designed to eliminate fixed line services to transmit alarm information to an alarm
company. But, the shutdown of the analog networks in 2008, coupled with customer demand for higher
value services including video monitoring is driving rapid migration to flexible digital network approaches.
According to ABI Research, the North American market for home security systems will reach almost 10
million devices by 2010. However, the real growth in Security will shift to digital wireless as the preferred
network technology as the legacy networks are retired and new security applications drive the bandwidth
requirement far beyond that supported on those older networks.
Beyond basic alarm, monitoring, new capabilities are being added to enhance and improve security
solutions. The use of video and still picture transmission allows alarm and security companies to view a
location, in real-time, prior to taking action. This allows false alarms to be disregarded without incurring the
cost of going to the location as well as avoiding false law enforcement dispatch. In addition, user interaction
with home or business security systems, via any mobile device, will allow for notifications to a mobile phone
as well as remote user control.
Healthcare and Telemedicine
Patients can be remotely monitored from their homes, with medical professionals able to monitor
diabetes, cardiac issues, prescription usage, and many other conditions and concerns
Inventory management, remote monitoring, alarm status, security, cash shortages and fleet
management are some of the important aspects of vending machine management. M2M applications can
improve that management, enhance customer service, assure consistent inventories, and enable companies to
pay the greatest attention to their high-revenue brands.
This is the delivery of strategic information when and where it is needed. These solutions are popular
in markets such as retail, leisure, sports, security, traffic management and others, with innovations such as
video messaging, communication of important or entertaining real-time information, and mobile advertising.
Organizations can better manage their vehicles through M2M solutions that leverage GPS technology
for location, navigation, and vehicle movement. The status of the vehicles can be gauged remotely to
minimize out-of-service time and improve driver safety.
Remote Monitoring and Control
M2M takes traditional applications such as SCADA, building automation, and remote diagnostics to
the next level. Today’s embedded routers and modems help assure reliable connectivity for critical
applications. Time and cost limited the actual amount of monitoring that could be accomplished, with
systems largely limited to occasional inspections by humans, with those sites that absolutely required
monitoring paying a high price. The use of M2M wireless technology, able to be delivered in often hostile
locations, yet with low power devices, both facilitates reduced monitoring costs while increasing the amount
of data that can be captured and transmitted. As Environmental Protection Agency (EPA) initiatives increase
the pressure on industry to report and file detailed and regular – not simply exception – reports on critical
facilities, wireless M2M is the obvious answer. One of the ‘original’ M2M markets, SCADA (Supervisory,
Control and Data Acquisition) control systems have been widely used in oil, gas and other process
management industries for more than 15 years. However, Industrial Monitoring and Control is a rapidly
growing M2M segment that is predicted to grow annually by almost 35% through 2010 to an estimated 5.76
million devices (ABI Research). Through SCADA standards, M2M technology is being used to extract data
from non-IT devices such as electrical, gas and oil meters as well as a myriad of other devices and deliver the
data to critical business and monitoring systems.
The ability to monitor and control electrical power systems, water, oil and gas networks provides
utility industries with a more cost-effective way to measure utilization (in real time), the ability to manage
supply and demand and to more effectively anticipate, identify and fix problems. The cost savings associated
with measuring utilization and providing maintenance functions is greatly enhanced when meters and other
network elements are in remote or hard-to-reach locations.
Harbor Research has called this “Pervasive Intelligence”; allowing businesses to make immediate decisions
based on accurate, real-time, data.
Nevertheless, this market is broadening to also include the use of a wireless networks to connect
specialized devices in a variety of new businesses, from retail outlets and fast-food restaurants to major
production and business facilities. For example, Burger King has implemented wireless M2M solutions where
devices capture alarms, send notifications, receive and process remote energy and security information and
then uploads this to centralized business systems. The implementation of these solutions drives cost savings
associated with energy efficiency, reduced peak demands and protection of perishable inventory or any other
asset that may negatively impacted by loss of electricity, refrigeration or light.
The use of M2M technology in Environmental monitoring has started expanding significantly, as wireless
technology is being applied to more and more monitoring applications. There are many already in early
adoption phases, using M2M technology:
• Measurement of air quality
• Irrigation, temperature and chemical monitoring
• Collection of water samples in rivers, lakes and even coral reefs
• Monitoring of gas and pollutant levels in landfills
• Measuring of water levels in wastewater treatment
• Flood management of bacterial and water levels
In the case of air quality and many other environmental conditions, the monitoring is required and
regulated by the EPA and other government agencies. Compliance to regulations at the lowest possible cost
will continue to drive the adoption of M2M technology as will the ability to more quickly identify and
respond to events where out-of-control conditions could be dangerous to people or property.
Automatic Teller Machines/Point of Sale
Wireless M2M communication can increase transaction speeds and enable new products such as
wireless card transactions, tableside payment, and more.
M2M solutions help assure that the wireless equipment used by first responders and others is
operational at all times, as well as manage medical equipment, vehicles, and more.
M2M enables a vast range of utility, SmartGrid, and automated metering applications. Customers
can use these applications to remotely monitor critical utility applications and track, monitor, and manage
Asset tracking permits a user to determine the locations of virtually any type of asset 7x24 anywhere
in the world. Businesses can track delivery and repair vehicles, cargo containers, construction equipment and
even its own personnel, especially those living or working in areas where there is threat of crime or
For businesses and consumers, the asset tracking provides the functionality known as “geo-fencing”.
This allows the user to set a “logical fence” as a boundary. If the asset goes outside of the boundary, the user is
immediately notified via a message (call, email, text). This is useful in terms of theft protection. One
application of particular focus for SkyTrace is tracking laptops. This application is material due to the theft in
the market. Some statistics to support this effort are:
• Safeware The Insurance Agency claims that over 600,000 laptops are stolen annually, resulting in
an estimated $5.4 billion loss of proprietary information.
• According to the FBI, 97% of stolen computers are never recovered.
• Laptop theft accounted for 50% of reported security attacks. CSI, The 12th Annual Computer
Crime and Security Survey, 2007
• Lost or stolen laptops and mobile devices are the most frequent cause of a data breach, accounting
for 49% of data breaches in 2007. Ponemon Institute, U.S. Costs of a Data Breach, November 2007
• 12,000 laptops are lost in U.S. airports each week, and two-thirds are never returned. (Dell &
Ponemon Institute, Airport Insecurity: the case of lost laptops, June 30, 2008)
Cargo / Asset Protection
• Web or PDA Web locate capabilities – immediate results
• Can also locate from cell phone for immediate results
• Geo-Fence – pre-set border control by the user
• Connect with expensive shipping materials that require security measures
Public Transportation Management, Intelligent Transportation Systems (ITS), workflow, mobile job
planning, M2M Applications – Pay As You Drive.
Here is a true M2M Application that is being rolled out commercially that will impact you. The
application allows users to pay for car insurance based on usage. You pay for as much as you consume – you
drive 100 miles you pay insurance for 100 miles – you drive 100,000 miles you pay insurance for 100,000
miles. This is could change the face of the car insurance industry and if widely adopted / deployed on a
standardized platform will allow other ancillary products and services to be offered to car drivers – Internet,
Yellow Pages, Drive By/Localized Ad’s (won’t we love that), Streaming Music (everyone one wants a radio
on the car) and more.
The application (PAYD) as you go is being used by insures in UK/Europe to offer drivers a means to
pay for insurance based on actual miles driven. The cars have a built in GPS system that track the movement
of the vehicle in real time – where you drive, when you drive and how often you drive (AKA Big Brother).
Cool technology concept – but to make it a commercial success it needs to assuage consumer fears about Big
Brother is watching.
The Smart Grid refers to the introduction of new information and control technologies to the
electricity system that allow the system to be planned and operated in a dynamically-optimized manner. An
example of such technology is the smart meter, which provides new information and communication ability
for utilities to use to better manage and reduce the cost of their business operations. Another example is new
technology that automates and increases the operational efficiency of substations and other parts of the utility
The smart grid is not limited, however, to infrastructure or the smart meter. It goes into the home
or business by way of new pricing, control, and information options that help users reduce their usage and
their bill. It will also connect to smart appliances that will automatically accept price and control signals that
allow them to be used in a way that better supports grid optimization and attainment of climate change
Demand Response, for example, is the practice of incentivizing customers to modify their electricity
usage in ways that help make the electric grid more efficient and reliable, particularly during periods of peak
demand. Because demand response reduces peak demand, it complements resources that tend to be available
during off-peak periods, such as wind energy. Demand response, in this way, supports the use of greater
amounts of renewable energy.
The smart grid also includes important new technologies such as energy storage and plug-in hybrid
electric vehicles (PHEVs). Energy storage is a form of demand response that allows renewable energy to be
used not only when it is produced but also when it is needed. With storage options, peak demand can be met
by renewable energy generated during off-peak periods. PHEVs, meanwhile, have the potential to be mobile
energy storage units. They charge from the grid, store electricity they don’t use, and have the ability to
return excess electricity to the grid during peak demand periods.