China is global leader in deployment of the Internet of Things, finds new GSMA report

July 14, 2015

Report

GSMA

Rapid Market Growth, Government Investment, Operator Industry Partnerships and Adoption of Common Specifications Helping to Drive Internet of Things (IoT) to Scale

Shanghai: At Mobile World Congress Shanghai, the GSMA today issued a new report highlighting China’s leadership in the worldwide machine-to-machine (M2M) market. According to the report, “How China Is Scaling the IoT, China is the world’s largest M2M market with 74 million M2M connections and has now become the global leader in the deployment of the Internet of Things (IoT).* The in-depth report includes insights from the country’s major mobile operators China Mobile, China Telecom and China Unicom, as well as leading industry experts, and cites the combination of a strong economy, far-sighted government investment and international cross-sector partnerships as key factors in enabling the IoT to quickly reach scale.

“Clearly, China’s size offers economies of scale unavailable to other countries, but it’s been the government’s focused strategy, emphasis on common specifications and cross-sector collaboration that has allowed the Internet of Things to scale, delivering positive benefits to businesses and consumer alike,” commented Alex Sinclair, Chief Technology Officer, GSMA. “Connectivity is boosting major industries such as logistics, manufacturing and energy in terms of increased efficiency, but it has also created a new consumer market in areas such as connected vehicles, home appliances and wearables, putting China at the forefront of IoT deployment.”

Connected Consumers
Backed by government support, sectors such as transportation, energy, logistics, utilities and manufacturing have all benefited from the real-time information provided by mobile connectivity to increase efficiency, lower costs and manage infrastructure. However, the consumer market has also experienced incredible growth, with millions of Chinese consumers now owning multiple connected devices and experiencing the IoT in their daily lives. The wearables market in particular is a hotbed of innovation, with thousands of products available at accessible prices, including smartwatches, tracking devices and fitness bands with built-in connectivity. The connected car market is also growing apace, driven by the increasing availability of 4G network coverage which is providing a range of in-car services such as entertainment, navigation, safety and vehicle diagnostics. Machina Research forecasts that the number of connected devices, such as vehicle platforms, providing services within the connected car sector will increase from 16 million in 2015 to 67.9 million in 2020 and to 130 million by 2024, giving China the largest growth in the connected car market after Russia in the BRIC countries.

Positive Government Support
China has benefited from proactive government support in the development of the IoT with funding allocated as part of the country’s 12th Five-Year Development Plans and additional funding made available for research and development. China has also led in the development of standards, establishing an IoT standards association and promoting Chinese-developed standards internationally. Adoption of essential industry specifications and guidelines, such as the GSMA Embedded SIM Specification and the IoT Device Connection Efficiency Guidelines, will enable further growth and scale.** The central government has also selected 202 cities, including Beijing, Guangzhou, Hangzhou and Shanghai, to pilot smart city projects to collect, store and analyse information related to transportation, electricity, public safety and environmental factors.

Operator Partnerships
The report highlights that China’s leading mobile operators, China Mobile, China Telecom and China Unicom, are at the vanguard in the development of the IoT and are moving from a business-to-business focus to offering more sophisticated consumer-oriented propositions via partnerships with other companies such as automotive makers and wearables companies. They are also forging both domestic and international partnerships with vendors and manufacturers to bring the benefits of connectivity to a wide range of machines, vehicles and devices. Beyond the supply of ubiquitous, high-performance connectivity, operators are working to standardise platforms, simplify business processes and provide value-added services such as security, authentication and billing.

The GSMA Innovation City at Mobile World Congress Shanghai
The GSMA Innovation City at Mobile World Congress Shanghai offers visitors the opportunity to explore a real-life city environment packed with intelligent mobile-connected products and services that demonstrate how mobile technology is positively impacting the personal and professional lives of citizens around the globe. The GSMA Innovation City features interactive demonstrations from partners including Huawei, KT Corporation, Peel, Pittasoft, Oral-B, Qualcomm Incorporated, Thinfilm and Visa, as well as from the GSMA’s key industry programmes including Connected Living, Digital Commerce, Personal Data and Network 2020. The GSMA Innovation City is located in Hall 4 (West 4 B130 and E130) and will be open during Mobile World Congress Shanghai exhibition hours from 15-17July.  For more information, visit www.mwcshanghai.com/innovation-city-experience-centre/.

Download ‘How China Is Scaling the IoT’

中国物联网规模化发展之路

Back

Huawei: NB-IoT Ecosystem Partner list This document provides a list of Huawei’s NB-IoT partners, detailing the solutions offered by each organisation. The brochure also contains a list of regions and sectors ...

Read more | See all Resources

Webinar Highlights: Deploying Mobile IoT – Ask the Experts Mobile IoT (licensed spectrum low power wide area) networks are a high-growth area of the IoT and will play an important role in connecting billions of new devices. Low power wid...

Read more | See all Resources

The IoT Opportunity: Mobilising the Internet of Things Representing the mobile industry, the GSMA’s Internet of Things programme is working to accelerate the deployment of new connected solutions. In this short video, discover mor...

Read more | See all Resources

LPWA: Enabling Extreme Wildlife Tracking To protect threatened species, conservationists need to fully understand their behaviour and which habitats are key to their survival. To that end, Vodafone is working with the ...

Read more | See all Resources

The importance of Embedded SIM certification to scale the Internet of Things As a provider of connected devices why should you care about test and certification of Embedded SIM? Because it enables your devices to reach market faster since they do not need...

Read more | See all Resources

Mobile Privacy and Big Data Analytics Big data analytics can have a significant impact on societal aims such as the UN Sustainable Development Goals and has the potential to deliver more effective health outcomes, be...

Read more | See all Resources

Interview: Putting NB-IoT to the Test Cao Ming explains how Huawei’s Shanghai lab is enabling developers to test a wide variety of innovative Internet of Things solutions   Cao Ming, President of FDD Product L...

Read more | See all Industry News

LPWA: Tracking Pallets Across Borders (Use Case) Pallet specialist RM2 and mobile operator AT&T are using the Mobile IoT to streamline international logistics   The global logistics industry has about 15 billion pallet...

Read more | See all Industry News

How to Support the Development of Smart Cities in Asia-Pacific Asia is experiencing exceptionally high rates of urbanisation and population growth. As pointed out by the World Bank Group, the number of people in South Asia’s cities ros...

Read more | See all Industry News

Interview: Oi Brasil Crowdsources Internet of Things Innovation Alberto Boaventura explains how Oi’s new IoT Lab is working with developers, universities and businesses to develop smart solutions and services   Alberto Boaventura, Tech...

Read more | See all Industry News

The IoT Masterclass: Securing the Connected Future By 2025, the world will be composed of 27 billion connected devices.[1] From waste management to water meters, a whole host of new services and devices will share data. This open...

Read more | See all Industry News

Interview: Priming the Pipeline of Opportunity Simon Glassman of module supplier u-blox explains how the company is racing to meet pent-up demand for low power wide area connectivity   Simon Glassman, Head of Strategic P...

Read more | See all Industry News

ETSI Workshop: “Making Smart Cities Sustainable” June 07, 2017 In cooperation with the European Commission and Eurocities, ETSI is pleased to announce the ETSI workshop “Making Smart Cities Sustainable” from large scale pilots ...

Read more | See all Connected Living Events

4th GSMA Global Mobile IoT Summit June 27, 2017 Moving to Global Deployment After seeing more than 40 successful Mobile IoT pilots globally in the last year by a range of mobile operators, the industry is now moving ...

Read more | See all Connected Living Events

Mobile World Congress Shanghai June 28, 2017 The Internet of Things will be central to Mobile World Congress Shanghai  – Asia’s biggest mobile event. Bringing together the global mobile industry’s ...

Read more | See all Connected Living Events

IoT Summit at MWC Shanghai 2017 June 29, 2017 With 27 bn connected devices forecast by 2025, including 6bn in China, mobile technology is playing an increasingly crucial role in the Internet of Things (IoT) –...

Read more | See all Connected Living Events

GSMA Connected Vehicle Summit June 30, 2017 Shanghai New International Expo Centre (SNIEC), W3, Auditorium B   The increasing consumer demand for car connectivity and intelligence has been a key driver of th...

Read more | See all Connected Living Events

Contact GSMA Legal Email Preference Centre Copyright © 2017 GSMA. GSM and the GSM Logo are registered and owned by the GSMA.