Meeting the Cost Requirements for IoT Devices

It seems many are convinced that the magic number for device cost in cellular M2M applications is $5. What should be the cost of a module, and how critical an issue is the device cost to start with, is a topic of debate and although I have my view on it, it is not what I will address here*. Instead, I like to focus on what needs to happen to get the cost to sub $5. So, how can we reach such a target price and what are the implications? Read more of this post

Canada AWS-3 Spectrum Result Summary

AWS-3 Auction CanadaThe AWS-3 auction in Canada has wrapped up raising a total of C$2.11 billion (US$ 1.68b) in a sealed-bid second-price format that was completed in a day. Of the 50 MHz auctioned, 30 MHz was set aside for challengers like Wind Mobile, Videotron and Eastlink who paid just over C$98 m in total, or on average C$0.105 (US$0.084) per MHz-PoP, in what is considered a subsidy to these challengers in a market dominated by incumbents with overwhelming market advantage in spectrum assets and subscriber base. Industry Canada estimates that these operators increased their spectrum holdings by 107% on average, which is considerable. Mobilicity which has filed for Chapter 11 did not bid. Read more of this post

MWC2015 Wrap-up Notes

MWCIf there’s a single theme to sum up this year’s MWC, it is the acquisitions that were announced. A number were announced and many are yet to be announced: NXP’s acquisition of Freescale ($11.8 bllion), HP of Aruba, Mitel of Mavenir, CommAgility of MIMOON are but a few examples. Consolidation is a natural outcome for an industry that transcends communications to offer multiple services including but not limited to entertainment, education, and financial services. So in a clear trend, we find more focus this year on how to enable mobile network operators (MNOs) generate more revenue as opposed to a focus on performance which is characteristics of past years. This represents a new level of maturity in a number of products and solutions that initially were brought upon as a mean to enhance performance but since have morphed into tools to generate revenue. It is also an acknowledgement that the status quo for MNOs characterized by eroding margins (EBITDA margins have dipped below 40% down from low 50% range a few years ago) has to change whereby data services are better monetized. Read more of this post