5G

5G mMTC to provide cheap robust connection

18th June 2020
Alex Lynn

5G mMTC (Massive Machine Type Communication) 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.

5G mMTC module shipments and revenue began its first year in 2020 in 2020 and will ramp up quickly to reach more than one billion units and module revenues over $3bn in 2024, forecasts global tech market advisory firm, ABI Research.

“The implementation of mMTC allows for the automating of various processes, reducing the need for human interaction, increasing efficiency, and reducing costs,” explained Stephanie Tomsett, Analyst at ABI Research. “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 optimise 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.

“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 three million in 2020 to more than 278 million in 2024,” Tomsett added.

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.

While healthcare will see a lower number of shipments and revenue than other industries throughout the forecast period, it will still be important within the 5G mMTC market, due to opportunities to improve efficiencies for healthcare organisations, and patient care, notably with the advent and response to the COVID-19 pandemic.

With improved patient care, fewer further treatments will be required, reducing long-term healthcare costs. Modules within various medical equipment can connect to a centralised system, ensuring that medication and medical professional intervention is provided immediately, which has seen a marked increase in demand owing to the COVID-19 outbreak. Shipments will be lower within the healthcare industry simply due to the fewer number of devices that will be connected when compared to smart cities and manufacturing, despite the current boost from handling the pandemic.

The farming and agriculture industry will also see the lowest shipment and revenue numbers due to the relatively fewer numbers of equipment that will be involved in 5G mMTC deployments. However, 5G mMTC will still help the industry, with modules in various farming equipment allowing processes to be automated to improve efficiency and reduce costs.

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