>
>

Cellular M2M Value-Added Services Market Size By Service, By Deployment Mode, By Technology, By End Use, Analysis, Share, Growth Forecast, 2025 – 2034

Download Free PDF

Cellular M2M Value-Added Services Market Size

The global cellular M2M value-added services market was valued at USD 5.6 billion in 2024 and is projected to grow at a CAGR of 16.2% between 2025 and 2034. The growth in the IoT technologies space will boost the sales in the market.
 

Cellular M2M Value-Added Services Market

A report by Global Market Insights noted an accelerating compound growth at eight percent for the sector in the year to come. In August 2024 Deutsche Telekom entered the Bridge Alliance, a partnership of 35 mobile communications companies based in Asia Pacific, Middle East, Africa and Europe, and so greatly propelled its global IoT business. Deutsche Telekom has set itself the goal to improve its worldwide IoT connectivity services by joining the Bridge Alliance. This enhances flexibility in addressing customer needs in different territories and thus enables easier entry into IoT markets for businesses in the Asia Pacific region.
 

This also shows an IoT surge that coincides with the growth of connected devices and the desire of users to have these devices interact seamlessly. Usage of IoT solutions in healthcare, automotive, agriculture, manufacturing, and smart cities is increasing the need for dependable telecoms services. Critical communication enabling these devices to connect with central systems, platforms and cloud services, is provided by Cellular M2M (Machine-to-Machine) networks,
 

The emergence of faster and more reliable networks is critical for the IoT ecosystem. In addition, the expansion of 5G networks will aid in the growth of cellular M2M value-added services market. As of Q1 2025, total globally circulation has reached nearly 2 billion this number is projected to rise due to improved 5g coverage. In industrial sectors such as health care, manufacturing, automotive, and smart cities, 5g technology is a key enabler of intricate and data demanding applications because of its wide range of features, including reduced latency, higher bandwidth, and low latency. With the rise of cellular-based IoT devices, remote device management, data analytics, real-time monitoring, and network optimization have become essential for maximizing the potential of such devices making those network features in high demand.
 

Cellular M2M Value-Added Services Market Trends

A shift is occurring whereby companies prefer to utilize edge devices for data processing rather than rely on a cloud based environment. Desirable response times, quicker informed decision making and robust systems are some of the reasons that have motivated this shift. This also explains the growing need for M2M value added services as IoT devices become increasingly data intensive and require real time processing. In an attempt to cut costs associated with cloud consumption, these services have been optimized and modified, including remote device management, data analysis, and distributed network control alongside IoT applications to boost their performance.
 

There is an increasing demand for quick data processing and analysis as IoT devices generate greater amounts of data. Multiple industries are leveraging AI and ML in order to automate processes as well as gain predictive insights. Utilizing AI-powered services enables businesses across various sectors predicting future trends based on previously collected data, allowing them to make informed decisions without additional input. Over time this can help improve efficiency and customer satisfaction while reducing downtime.
 

A significant hurdle for businesses trying to implement cellular M2M value-added services are the high initial costs required to install and manage the software and hardware. Companies need to invest into purchasing and integrating M2M devices with cellular networks to begin working on their IoT systems to further reap business benefits in the long run. Unfortunately, this prevents many companies, especially those unsure of the return on investment from their IoT systems, from proceeding with development.
 

Small and medium sized companies and enterprises that operate in industries that are cost-sensitive are specially impacted as the enhanced infrastructure that is required for cell M2M value-added services entails more computing resources and advanced software resulting in an increase in overall costs.
 

Cellular M2M Value-Added Services Market Analysis

Cellular M2M Value-Added Services Market Size, By Service, 2022 – 2034, (USD Billion)

Based on service, the cellular M2M value-added services market is segmented as security services, device management, data analytics, application enablement, and others. In 2024, the device management segment held a market share of over 28% and is expected to exceed USD 7 billion by 2034.
 

  • Device management is one of the services in the cellular M2M value added services market which ensures a seamless operation, protection and growth of the end devices. Its popularity stems from the expanding integration of the Internet of Things into businesses ranging from industrial automation and smart homes to healthcare. But as devices multiply, their management must also be appropriate to ensure operation, protection and performance.
     
  • Using device management platforms, a business can also control multiple devices from one place and retrieve device diagnostic data from remote locations and upgrade devices. This helps to minimize operational costs and increase efficiency. Additionally, these platforms increase security by managing remote installations of firmware updates, security patches, and authentication protocols to safeguard devices from weaknesses and cyber-attacks.

 

Cellular M2M Value-Added Services Market Share, By Deployment Mode, 2024

Based on deployment mode, the cellular M2M value-added services market is divided into cloud-based, on-premises, and hybrid.
 

The cloud-based segment held around 49% of the market share in 2024. Cloud platforms present the largest share. They are quite good at delivering inexpensive, agile and expandable solutions required to handle the massive data streams created by M2M devices. In line with the rise in the number of connected devices, which according to Statista grew about 22 percent from 2022 to 2023, more and more businesses are turning to the cloud to manage this onslaught of data without the need for large amounts of costly on-premises equipment.
 

They allow for effortless collection, fast analysis, and effortless access to analytic tools. This capacity enables companies to make better use of their data from devices. Also, avoiding storage or processing constraints implies that businesses using cloud services can expand their operations. This kind of flexibility is ideal for many logistics companies, as well as the healthcare and smart city advancements, where demand can be variable or even increasing.
 

U.S. Cellular M2M Value-Added Services Market Size, 2022 -2034, (USD Billion)

North America dominated the global cellular M2M value-added services market with a major share of over 33% in 2024 and U.S. holds a significant share of this region.
 

  • Due to its strong telecom and tech industry presence, the US stands out as a global leader in the cellular M2M value-added services market. With cutting-edge technology, a thriving IoT and M2M ecosystem, the US is unceasingly pushing for faster communication between devices with the help of 5G networks. Thanks to this advanced connectivity in place, more and more industries such as healthcare, automotive, manufacturing, agriculture and logistics are beginning to employ the use of M2M applications.
     
  • Moreover, innovation does not seem to be lacking in the US, ranging from well established companies to young startups are alright developing advanced M2M solutions, data driven tools, cloud services, device management frameworks, and the like. The positive regulatory environment in support of IoT and M2M technologies enhances the development of this market even further.
     

The growth of Europe cellular M2M value-added services market is largely driven by the rapid expansion of 5G networks.
 

  • In Germany, France, and UK, there’s a lot of development work in progress to establish 5G networks, and this has considerably triggered the need in cellular M2M value-added services. 5G technology provides high data rate, low latency, and greater capacity which are mandatory features for integrating increasing number of devices in industries, trade and cities. These capabilities assist the smooth functioning of smart city operations, interconnected automobiles and Industrial IoT systems that require advanced networks with minimal latency.
     
  • Moreover, Europe’s well-integrated social industries such as construction, transportation, and automobile, are also stimulating demand for M2M to enhance their operations, reduce expenses and become more efficient. The European Union attempting to construct smart cities with advanced connectivity are also fostering the need for M2M value added services such as remote access control, analytics and other applications requiring multiple sensing nodes.
     

Asia Pacific cellular M2M value-added services market is expected to observe significant growth during the forecast period.
 

  • The market for added value during Cellular M2M transactions in Asia is witnessing spectacular growth due to increase in technological advancements, onset of urbanization and significant investments in the smart infrastructure. Several countries in Asia such as China, India, Japan and South Korea are implementing a wide scale adoption of M2M solutions in manufacturing, transportation, healthcare, and agricultural industries. Driving force to the above systems is the 5G Network expansion that is taking place predominantly in China and South Korea, improving M2M connectivity, speed, and efficiency. Furthermore, the initiatives sailed towards industrial network automation and smart cities progress that the region has embarked on are increasing the use drafted M2M value-added services, this includes remote monitoring, predictive maintenance, and real time data analytics.
     
  • Moreover, Asia’s ever-growing pool of middle class and their accompanied demands over smart devices including wearables and smart home gadgets will further the expansion of M2M services. Similarly, IoT and M2M progress in Asian countries is greatly endorsed by the government thanks to policies and programs guiding towards digital transformation. All in all, Asian Markets stand as an emergent region for M2M value added services due to costly Investments made in future core infrastructure and innovation.
     

Cellular M2M Value-Added Services Market Share

AT&T dominates in the cellular M2M market space because of its vast expanse and 5G leadership. The firm provides IoT and M2M solutions across multiple approaches. With them, high quality and high-speed connectivity needed for extensive M2M applications is provided that enables real-time device-to-device communication.
 

Vodafone is in a strong position with respect of the cellular M2M value-added services market due to its geographical presence and skills in the IoT connectivity. The firm’s large footprint across various geographical regions supports well developed M2M services for fleet management, asset management and smart city applications. Their wide spectrum of IoT platforms and cloud services enables companies to better control connected devices and process data, thereby optimizing their operations.
 

To increase their share in the cellular M2M VAS market, Verizon is working on enhancing its IoT tools and focusing on the build out of its 5G infrastructure. It has invested substantially in the establishment of an IoT platform that provides businesses with device management, cloud hosting and analytics services. The development of its 5G solution allows the delivery of M2M communication services that are faster and more reliable, supporting healthcare, automotive and smart city applications.
 

KDDI Corporation, through its massive investments in IoT infrastructure as well as its core global partnerships, has further deepened its footprint into the cellular M2M value-added services market. The company is set to broaden its IoT platform and enable organizations to control, oversee, and evaluate connected devices in real-time. Moreover, KDDI is incentivizing the application of 5G in M2M macro applications within smart cities, the automotive sector, and the logistics industry.
 

International players dominate these markets through acquisitions and a range of innovative M2M offerings such as secured connectivity services, realtime monitoring tools, and analytics software. Their sustained efforts towards building M2M ecosystems through IoT integration as well as the growth of emerging economies has allowed these companies to penetrate and consolidate in many of the faster developing regions.
 

Regional vendors remain active by leveraging their knowledge of local market conditions and providing cost-effective and customized products and services to SMEs and other local markets. The case of US market is particularly buttressed by the fact that service delivery is expected to push up demand for additional business value added features like maintenance, asset management and cross-regional competition.
 

Additionally, the cellular M2M value-added services market is likely to undergo major structural changes, notably substantial merger and acquisition activities, as local firms attempt to develop technologically advanced products and services to better position themselves within the marketplace. Such combining of firms is also expected to alter the global competition for cellular machine to machine value added services and the adoption of connected products across the globe.
 

Cellular M2M Value-Added Services Market Companies

Major players operating in the cellular M2M value-added services industry are:

  • AT&T
  • Aeris Communications
  • Amdocs
  • Digi Interntional Inc
  • eDevice
  • Intel
  • KDDI Corporation
  • KORE Wireless
  • Orange SA
  • Oxio
     

Cellular M2M Value-Added Services Industry News

  • OptConnect, a capable provider of cellular IoT solutions headquartered in Salt Lake City Utah, has been pursuing growth through strategic acquisition. In October 2024, OptConnect finalised the acquisition of Dutch based Capestone IoT solutions provider of 4 and 5g solutions, as a part of subcontracting strategy of expanding the reach. Through this acquisition, OptConnect dramatically improves its European currency and range of wireless connectivity solutions. Capestone will maintain its brand and serve out of Leiden Netherlands headquarters, as well as branches in Germany in Dusseldorf and UK London.
     
  • In April 2024, OXIO made an announcement regarding the remarkable international growth of its Telecom as a Service platform. This only guarantees a greater competitive international M2M and IoT Russia. Currently, OXIO is able to deliver its services to 180 countries across 800 networks with the ability to guarantee seamless coverage to the has. This allows M2M and IoT businesses to consolidate all of their operations on a single cloud platform. Such expansion enables the elimination for companies to having to integrate several vendors from several geographies.
     
  • In December 2022, Telit continues with the acquisition of Thales' cellular IoT products, and creates a new product, Telit Cinterion, IoT solutions. This allowed the company to latter build on top of its existing product range with more IoT equipment of edge computing solutions for M2M and LPWA.
     

The cellular M2M value-added services market research report includes in-depth coverage of the industry with estimates & forecasts in terms of revenue ($Bn) from 2021 to 2034, for the following segments:

Market, By Service

  • Security services
  • Device management
  • Data analytics
  • Application enablement
  • Others

Market, By Deployment Mode

  • Cloud-based
  • On-premises
  • Hybrid

Market, By Technology

  • 2G/3G
  • 4G/LTE
  • 5G

Market, By End Use

  • Manufacturing
    • Security services
    • Device management
    • Data analytics
    • Application enablement
    • Others 
  • Healthcare
    • Security services
    • Device management
    • Data analytics
    • Application enablement
    • Others
  • Transportation & logistics
    • Security services
    • Device management
    • Data analytics
    • Application enablement
    • Others
  • Energy & utilities
    • Security services
    • Device management
    • Data analytics
    • Application enablement
    • Others
  • Automotive
    • Security services
    • Device management
    • Data analytics
    • Application enablement
    • Others
  • Others

The above information is provided for the following regions and countries:

  • North America
    • U.S.
    • Canada
  • Europe
    • UK
    • Germany
    • France
    • Italy
    • Spain
    • Russia
    • Nordics
  • Asia Pacific
    • China
    • India
    • Japan
    • Australia
    • South Korea
    • Southeast Asia 
  • Latin America
    • Brazil
    • Mexico
    • Argentina 
  • MEA
    • UAE
    • South Africa
    • Saudi Arabia

 

Authors: Preeti Wadhwani, Aishvarya Ambekar
Frequently Asked Question(FAQ) :
Who are the major players in the cellular M2M value-added services industry?
The key players in the industry include AT&T, Aeris Communications, Amdocs, Digi International Inc, eDevice, Intel, KDDI Corporation, KORE Wireless, Orange SA, and Oxio.
What is the size of the North American cellular M2M value-added services industry?
Why is the device management segment significant?
How big is the global cellular M2M value-added services market?
Cellular M2M Value-Added Services Market Scope
  • Cellular M2M Value-Added Services Market Size
  • Cellular M2M Value-Added Services Market Trends
  • Cellular M2M Value-Added Services Market Analysis
  • Cellular M2M Value-Added Services Market Share
Related Reports
    Authors: Preeti Wadhwani, Aishvarya Ambekar
    Buy Now
    $4,123 $4,850
    15% off
    $4,840 $6,050
    20% off
    $5,845 $8,350
    30% off
        Buy now
    Premium Report Details

    Base Year: 2024

    Companies covered: 16

    Tables & Figures: 200

    Countries covered: 21

    Pages: 180

    Download Free PDF

    Top