Cisco predicts #M2M traffic will grow 22-fold

According to their latest VNI (Visual Networking Index), Cisco predict a 22-fold rise in M2M traffic over the next 4-5 years. This is a huge CAGR (Compound Annual Growth Rate) of 86% and means that by 2016, monthly M2M traffic will reach a staggering 508,022 terabytes of data.

The report suggests that M2M will account for 5% of all cellular traffic by 2016 and the average module will be generating 266 megabytes of data every month. That’s a rise from 4% in 2011 and a measly 71 megabytes of date per module.

So what’s responsible for this? Cisco point to 4 business categories that they expect to drive the demand for M2M services over the next five years.

• Security and Surveillance. This is mainly at the enterprise and consumer level where Cisco predicts significant growth in mobile based security cameras for applications such as petcams, nannycams and the next generation of home security.
• Healthcar. MHealth is tipped to be a boom area as healthcare providers seek to deliver services remotely via mobile networks.
• Inventory and fleet management. With the number of shipping containers and high value assets on the rise, this aspect of asset tracking is predicted to grow significantly.
• Telematics. A broad and promising area for M2M services with applications that could range from intelligent motor insurance to sophisticated vehicle manegement systems.