According to a report by Counterpoint, global cellular internet of things (IoT) module shipments grew by 7 per cent year-over-year (YoY) in the first quarter (Q1) of 2024. The growth was driven primarily by demand in China and India, while other regions continued to face inventory and demand challenges.
The report noted that Quectel emerged as the market leader, followed by Fibocom and China Mobile. Together, these three companies held a combined 50 per cent market share in Q1 2024. Excluding China, the top vendors were Quectel, Telit Cinterion, and Fibocom.
Commenting on the report, Mohit Agrawal, associate director, Counterpoint, said, “China and India registered positive growth driven by the strong performance of smart metre, point of sale (POS), asset tracker, and router/customer premises equipment (CPE) segments. However, markets outside China experienced a 2 per cent YoY decline due to low demand and inventory buildup at the customer end. Notably, 4G Cat 1 bis technology maintained its momentum, capturing one-third of the market. In China, Cat 1 bis is gaining share from narrowband internet of things (NB-IoT) and Cat 1, thanks to the reduced price differential.”
Agrawal further added, “The demand for cellular IoT in applications such as smart utilities, router/CPE, automotive, and asset tracking remained robust during the quarter. Conversely, the demand across retail, healthcare, and industrial verticals continued to be subdued.”
As per report, Quectel, Fibocom, and China Mobile led the global market in Q1 2024, with Quectel maintaining a significant lead in markets outside China. Fibocom achieved impressive growth, particularly in the router/CPE and telematics segments, securing a top-three position internationally. China Mobile experienced double-digit YoY growth, driven by smart metres, asset trackers, and POS applications. Additionally, Chinese vendors such as Neoway, Lierda, and Unionman have seen significant growth in key applications like smart metres, asset tracking, and POS.
Meanwhile Hanumant Pawar, research analyst, Counterpoint, said, “The global cellular IoT module market is expected to partially recover by the second half of this year as inventory levels normalise with improved demand. The market is anticipated to rebound fully by 2025, aided by the widespread adoption of affordable 5G RedCap modules, particularly in China. Government subsidies in China will further drive the adoption of 5G in the IoT module market. It is projected that IoT module shipments will grow at a compound annual growth rate (CAGR) of 9 per cent between 2023 and 2030.”
