According to a recent study from market research firm Graphical Research, the global LPWAN market size is set to register a significant growth through 2027.
Increasing demand for affordable cellular networks has been a key driver of the market. The utilities have been generating considerable opportunities for industry participants since the past few years. These seven trends are expected to influence the upcoming development in the industry:
Government support toward SMEs to accelerate LPWAN adoption as more smart factories emerge across APAC
By 2027, Asia Pacific low power wide area network market size is expected to be more than $20 billion. An increase in IoT adoption across manufacturing units located in South Korea, India, and Japan is stimulating product & service use. Regional governments are supporting businesses in their digitalization goals by offering subsidies and other benefits. They are encouraging smart and sustainable operations by investing in the construction of smart factories.
In September 2020, the government of South Korea announced that it has allocated over $414 million toward R&D initiatives for SMEs, who can adopt automated technologies. Keeping abreast of the recent trends, real-time monitoring and AI deployment have been major areas of upgrades in the region.
Smart gas & water metering applications in Asia Pacific to strengthen demand
Aided by the rising investments in smart city infrastructure, the smart gas & water metering application is anticipated to record a CAGR of more than 60% from 2021 to 2027. A growing number of regional entities are purchasing advanced technologies, including Wireless- M Bus, GPRS, and ZigBee, for a smoother remote gas & water meter monitoring process. Since these technologies provide safe and secure communication with exceptional ranges, users can monitor metrics remotely, eliminating the need for employee site visits.
Deployment of LoRaWAN networks to foster on-premise model uptake across North America
The on-premise model held more than 50% of North America LPWAN market share during 2020. The rising trend can be ascribed to higher security ensured by on-premise LPWAN solutions. These tools assist organizations to build and manage their LPWAN network for IoT-based applications. Entire network elements, including network servers and LORA gateways can be managed efficiently using these tools. As more control over the transmitted data means greater security, many organizations have been investing in private networks, strengthening the LoRaWAN market.
U.S. to register greater adoption across manufacturing facilities
U.S. LPWAN market size is expected to grow beyond $20 billion by 2027, thanks to the rising IoT deployment across manufacturing facilities. Leading American enterprises have been seeking latest upgrades to their network solutions across asset tracking, smart buildings, utilities & supply chain, and agriculture applications. For several companies, more focus toward LPWAN can translate to a higher market position. Smart city applications might surface as a major segment in North America market by 2027.
Management of fixed & mobile assets to remain a top priority for North American enterprises
North America market share from the asset tracking segment represented 15% of the total revenue during 2020. Since asset tracking technologies play a crucial role in the management of a host of fixed and mobile assets, they are being adopted numerous enterprises.
As network congestion has emerged as a major concern amongst businesses, they are seeking solutions for reducing dependence on telematics devices, smartphones, and Wi-Fi gateways. Numerous industry players have been diversifying their service offerings by introducing additional advantages to their existing suite of LPWAN technologies, especially addressing the need for asset location purposes.
Germany LPWAN market forecast to be powered by Industry 4.0
By 2027, Germany LPWAN industry share is expected to surpass $3 billion, pushed by the growing investments toward Industry 4.0 initiatives by the government. As the German government implements its High-Tech Strategy 2020 plan, IoT adoption in manufacturing units will gain traction.
Several leading industry participants are located across Germany. They are engaging in partnerships and collaborations. In March 2020, Kerlink announced its collaboration with ZENNER for deploying LoRaWAN throughout Germany with over 3,000 Kirlink Wirnet gateways.
Professional services to remain a preferred choice amongst British and French customers
The professional services segment accounted for more than 65% of Europe low power wide area network market share during 2020, fueled by the increasing adoption of secured network services. With the number of network devices as well as applications continually growing, enterprises across France and the U.K. have been embracing LPWAN technologies with the help of professional support.
Deploying these solutions can be a major task for enterprises who do not rely on professional services. Since these services ensure minimum impact on existing cellular networks, more organizations will continue to prefer professional LPWAN over managed solutions.
This UrIoTNews article is syndicated fromIoTBusinessNews