Operators form global M2M alliance to attract multinational enterprises

Seven global operators--KPN, NTT DoCoMo, Rogers, Singtel, Telefonica, Telstra and Vimplecom--have created a global alliance to streamline the machine-to-machine market. Specifically, the operators plan to develop a global SIM and launch a single Web interface and a central management system for M2M devices that will be powered by Jasper Wireless.

The companies said that the goal of the alliance is to promote the sale of more M2M devices across various verticals such as consumer electronics, automotive and energy. In addition, the group of operators hopes that by aligning they can create more business models, new products and services and reduce the time to market and operational costs for companies interested in M2M solutions within these various vertical markets.

Although there is little detail about how this new alliance will work, analysts are bullish on the deal because it strives to eliminate some of the barriers to widespread M2M growth, such as fragmentation in the market. Jamie Moss, senior analyst at Informa Telecoms & Media, noted that each operator involved in the alliance already has a service delivery platform supplied by Jasper Wireless, so it's not surprising that Jasper is acting as a pipeline to funnel business among the carrier customers. He also noted that this is just one more example of high-profile M2M collaborations among operators. 

Indeed, earlier this year Orange inked a roaming agreement with Sprint Nextel (NYSE:S) that enabled Sprint to offer its multinational customers global machine-to-machine data services to 180 countries. Likewise, in 2010 Vodafone and Verizon Wireless (NYSE:VZ) formed an M2M joint venture with Qualcomm to accelerate global M2M deployments.

Analyst firm Analysys Mason forecasts 124.4 million M2M device connections by the end of 2012, growing to 2.1 billion connections by 2021.  

For more:
- see this release

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