The cellular IoT boom: 5G Redcap drives Asia's technology lead!

The cellular IoT boom: 5G Redcap drives Asia's technology lead!

In a world that is increasingly shaped by networked devices and intelligent technologies, the focus is on developments in the field of cellular IoT. A new report by Omdia shows that the current connections will be doubled by 2030. The market is expected to grow to a remarkable 5.1 billion cellular IoT connections. This impressive number is not only a result of the growing need for cost efficiency, but also from groundbreaking technologies such as 5G Redcap, Massive IoT and LTE CAT-1BIS modules that will decisively advance the market. According to [Silicon Canals] (https://siliconcanals.com/omdia-forecasts- Cellular-Iot-Connections-to-Reach-5-1-Billion-BY-2030/), the introduction of 5G Redcap, a meantivality solution for 5G devices, is crucial for the development of the sector from 2025 be.

But what exactly is behind 5G Redcap? This technology stands out through its ability to offer inexpensive, latent-rod-to-be connections for applications that do not require premium specifications. Especially at a time when the industry is preparing for the gradual switch-off of the 4G networks, many questions about their rapid adaptation and implementation. This development comes at a particularly exciting point in time, since the automotive industry-a driving factor in the IoT sector-is increasingly relating to intelligent vehicles with integrated 5G functions.

growth markets and regional trends

Asia-Pacific, as a dominant region, will cover over 67% of the global IoT module deliveries alone and make up about 80% of the total IoT connections in 2024. This is clearly shown in the competitive environment, where companies such as Quectel and FiboCom are not only a leader, but also record significant growth figures: quectel with 40% and FiboCom with 8% market share, like AINVEST. Solid partnerships and strategic flexibility, such as those with Eagle Electronics, also strengthen the market position of these companies.

Investments in cellular IoT technology have received an enormous thrust in the automotive industry. The demand for intelligent telematic solutions and autonomous driving will achieve a potential of USD 32 billion in the Asia-Pacific region by 2025. Redcaps low latency (below 10ms) and wide cover are perfect for communication between the vehicle and the infrastructure (V2X). This can also be seen in the already successful implementations of Quectels XR series in networked cars in India and Southeast Asia.

outlook and challenges

The forecasts for the market are optimistic, but there are also challenges that need to be mastered. Geopolitical tensions, especially between the USA and China, could influence the supply chains, while regulatory requirements such as the EU Directive for Radio devices (Red), which will come into force from August 2025, can cause additional costs. Nevertheless, analysts are convinced of the scale effects in 5G chip production that will reduce the costs. Regulatory clarity could also help to reduce development risks and to further promote the mass acceptance of Redcap.

Market growth is particularly strong with an average annual growth rate of 34.08%, which is reflected in a forecast of $ 55.86 billion for 2028, with @ mordorintelligence @ from an increase in IoT applications and the number of networked devices. The automotive industry will take a key position here, which is characterized by the decisive advantage of increased networking and faster transmission capacities in the 5G range.