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With New Applications on the Horizon, the Czech M2M Market is Poised for Growth

Prague – WEBWIRE

The Czech machine-to-machine (M2M) market is expanding, with revenue climbing by 15% year on year in 2014, according to a new report by global IT market research company IDC. This growth is one of the few positive highlights of the year for telecom service providers, but it is also a boon to a wide range of other equipment vendors, software developers, and solution providers that are also generating tremendous growth from this emerging opportunity.

Fleet management and automated security represent the two largest categories in terms of M2M SIM volumes. These categories are expected to continue growing during IDC’s market forecast period (2014-2018), but at a decelerating pace. Although they are still expected to jointly dominate active M2M SIM cards on the market in volume terms by 2018, their market share will decline from 2013 mainly due to uptake of other emerging applications, such as health-related commercial applications, remote monitoring applications, applications in the automotive industry, and those deployed in smart homes. A national roll-out of smart meters is not expected during the forecast period.

Mobile connectivity represented the smallest portion of total M2M revenue in 2013 compared to hardware, and software, services, and integration. This value chain revenue split is expected to shift gradually more toward software, services, and integration.

“As a trend in the M2M industry, ecosystem players are exploring opportunities to expand to higher-margin business,” says IDC analyst Ina Malatinska. “For instance, Czech mobile operators are now increasingly positioning themselves beyond connectivity providers and have started to introduce their own platform solutions, M2M applications, and support services. We expect more of these initiatives in the future.”

It is also not uncommon to see end-to-end solution providers expanding to new growth-promising areas. Secar Bohemia, a Czech company known primarily for its car security solution Sherlog and a fleet management solution run with its partner O2, has broadened its scope into monitoring pipelines for detection of liquid and gas leakage and into telemedicine. Jablotron, another Czech M2M player, famous for its security solutions for residential and business real estate, also expanded into high-potential markets and added two new business lines ─ Comfort Systems, for remote control of home appliances and energy monitoring, and Medical Alarm solutions for babies’ breathing monitoring and emergency alarm system for seniors.

An increasing adoption of M2M in the Czech Republic is supported by advances in technology and falling prices of hardware and mobile data. The overall market potential, however, is hindered by a number of issues, including regulation in certain industries (such as healthcare).

About the research : The Czech Republic M2M Market Analysis and 2014-2018 Market Forecast provides an analysis of the machine-to-machine (M2M) market in the Czech Republic, including information on the number of active M2M SIM cards and total M2M spending. It covers the activities of key ecosystem players, accompanied by profiles of select companies. In addition, it provides an overview of applications that have been adopted or have the potential to succeed in the Czech market, together with key market drivers and inhibitors. This study closes with market size forecasts for 2014–2018 and essential guidance for market participants.

This M2M study is part of a regional series, and also part of IDC’s new Internet of Things research practice, which includes extensive forecasts of dozens of applications that together are becoming known as the Internet of Things.

About IDC :IDC leads the ICT innovation discussion through events, research, and consulting. For nearly five decades, it has been giving ICT and business professionals data and insight for making strategic and practical decisions. IDC is a subsidiary of IDG, the world’s leading technology media, research, and events company. Learn more at


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