China’s Ministry of Industry and Information Technology has introduced a comprehensive plan aimed at accelerating the mobile Internet of Things (IoT) sector within the country. The main objectives are to enhance the sector’s supply chain, spur innovation, and boost the overall industrial value. This ambitious strategy aims to foster the integration of mobile IoT across various sectors, including intelligent vehicles, healthcare, and smart homes.
Specifically, in the realm of intelligent vehicles, mobile IoT will facilitate functionalities like driving monitoring, autonomous driving, information sharing, and complex environment sensing. China aims to significantly expand the mobile IoT ecosystem by 2027, targeting 3.6 billion terminal connections. The country also plans to establish over five industrial clusters and more than 10 industry demonstration bases by this time.
The plan revolves around four primary tasks: strengthening the foundational network, enhancing innovation, promoting the integration of smart technologies, and creating a supportive growth environment. Additionally, the ministry will focus on accelerating the integration of mobile IoT with key industries, aiding in digital transformation and industrialization.
As of July 2023, China had 2.55 billion mobile IoT connections, representing 59% of the country’s total mobile terminal connections.
Globally, the cellular IoT connectivity market generated $15 billion in revenues from 3.6 billion connections in 2023, according to a report by IoT Analytics. The market has seen a high level of consolidation, with the top five mobile IoT network operators managing 83% of global connections, and the top five by revenue capturing 64% of the total revenue.
China Mobile was a major contributor, responsible for 46% of global cellular IoT connections and 20% of global revenue from connectivity. Its strong performance is attributed to its strategy of providing comprehensive solutions rather than mere connectivity. China Telecom also played a significant role, contributing 15% of global connections and 7% of global revenue, thanks to its focus on urban management solutions.
