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  Date: 15/07/2012

M2M AEP software to grow nearly 10x to $1.7 billion by 2017, ABI predicts

ABI Research practice director Sam Lucero said the market for Application Enablement Platforms AEP) software designed to provide core features for multiple M2M applications will grow from about USD $169 million in 2011 to roughly $1.7 billion by 2017.

ABI has reported despite the vast opportunity for merchant-market AEP solutions, the market at present is nascent, small, and comprised of a plethora of vendors coming to the market from differing backgrounds. ABI Research counts over 30 companies currently active in this space, ranging from “pure-play” providers like Axeda, ILS Technology, and ThingWorx, to M2M module and modem suppliers like Digi International, Sierra Wireless, Novatel Wireless, and Eurotech, to core network infrastructure providers like NSN and NEC.

ABI Research believes that at the present state of market development, the “pure-play” providers as well as those coming at the market from a module/modem background, are gaining the most traction in the market. This is a benefit of their close focus on the M2M market and their nuanced understanding of the needs of M2M application providers. However, there is clear opportunity for consolidation going forward, and ABI Research expects that as the M2M market becomes ever more mainstream, it is likely that large core network infrastructure and IT equipment vendors with deep pockets will start to “roll up” the smaller players in a natural process of consolidation.

 
          
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