5G mMTC Module Shipments to Reach Over 3 Billion Revenue by 2024

According to a report by ABI Research, 5G mMTC module shipments are forecasted to exceed over 1 billion units with more than $3 Billion in revenue by 2024. Massive Machine Type Communication (mMTC) is designed to provide a cheap and robust simultaneous connection to billions of devices and modules over wired or wireless networks without overloading the network. Devices like monitoring sensors, execution control units, connected home appliances, smart lights, basic wearables, smart clothing, headsets, drones, Augmented Reality (AR)/Virtual Reality (VR), and sensors will soon take advantage of mMTC using the 5G network to collect data which will automate systems and improve efficiency, taking advantage of the increased speed.

Stephanie Tomsett, Analyst at ABI Research, commented, the implementation of mMTC allows for the automating of various processes, reducing the need for human interaction, increasing efficiency, and reducing costs. Smart cities, manufacturing, and transportation will lead the way in 5G mMTC shipments, followed by healthcare and farming.

Smart cities will see the highest shipment and revenue numbers for 5G mMTC modules due to the large amounts of equipment, including street lights, utility meters, waste disposal units, and security cameras which can all be connected to optimize various processes instantaneously based on real-time information. This allows cities to become more efficient, lowering the need for timely and expensive human interaction and thereby reducing costs.

The manufacturing sector will also see a high number of shipments and revenue of 5G mMTC modules as connecting large amounts of equipment within factories and other manufacturing processes can provide improved operations and flexible production. These modules will allow processes to be automated based on immediate demand without human interaction, improving efficiencies, and reducing costs. Tomsett further stated, the first 5G factories, for example, Ericsson’s 5G smart factory which is designed to boost network capacity and coverage to provide better operations and flexible production, will be operational in 2020, propelling the growth in manufacturing module shipments from 3 million in 2020 to more than 278 million in 2024.

Transportation, too, will see many shipments and high revenue for 5G mMTC modules throughout the forecast period due to the significant opportunity for adding modules to vehicles and road infrastructure equipment. Various processes will be connected with smart city applications to ensure that changing traffic lights or turning on streetlights, for example, are automated, improving efficiencies, reducing costs, and even improving driver safety.