U.S. telecom behemoth Verizon Communications Inc. VZ is making headway in the Internet of Things (IoT) space. Notably, IoT allows seamless connection and data exchange between everyday electronic devices. Verizon recently announced new developments which will help amplify its IoT portfolio, thereby invigorating its global strategy of simplifying the IoT platform.
Cat1 LTE Support for IoT
Verizon has announced the availability of the world's first Cat1 LTE network features for IoT, ideal for use cases that were earlier designed for 2G. It thus aims to fill in the void in 2G network.
The new offering will service cheap, low-bandwidth applications like tracking and monitoring solutions and is economical as well. Notably, Cat1 LTE confines upload speeds to 10 Mbps, reduces the cost of modems and slashes power demand, allowing low-priced, connected devices to operate on the cellular network instead of only on Wi-Fi or Bluetooth.
Expands ThingSpace
Verizon has expanded its IoT development platform, ThingSpace, by supplying supplementary tools to developers. The platform will now offer an extended set of application program interfaces (APIs) and application enablement platforms (AEPs) as well as the integration of Bug Labs' dweet APIs and freeboard visualization engine.
This will help developers to quickly connect devices to the Internet, issue data and generate real-time interactive dashboards.
Notably, Verizon’s ThingSpace allows worldwide developers to obtain hundreds of APIs as well as Verizon’s Wide-Area Network (WAN) and big data analytics engine for the development of new solutions.
Why all the Fuss over IoT?
Verizon is highly bullish on the IoT platform and views it as a major breakthrough. Therefore, the company is making a momentous push into the rapidly growing IoT market and is already witnessing significant returns.
We note that, Verizon’s revenues from the IoT business stood at roughly $175 million in third-quarter 2015 and around $495 million in the first nine months of 2015.
Notably, Verizon currently provides IoT coverage in over 100 countries. Further, the carrier plans to expand its footprint to about 200 countries, going ahead.
Moreover, according to market research firm International Data Corporation (IDC), the IoT market is poised to scale to a worth of $1.7 trillion in 2020 from $655.8 billion in 2014.
Meanwhile, Verizon’s rival AT&T, Inc. T is forging ahead with its IoT plans through strategic partnerships and initiatives, in order to boost the performance of its enterprise segment and also enhance its services.
Marketing Plans for Go90
Recently, Verizon introduced its Internet-based mobile video service named – Go90 – for the young generation. The company is offering a combination of live shows and on-demand programs instead of traditional TV content.
As per recent reports, Verizon has planned to ramp up its marketing tactics for Go90 and back it up with roughly $80 million of campaigns comprising billboards and digital signage.
To Conclude
With the U.S. telecom industry continuously evolving, companies are fighting it out to stay abreast. Among the many, Verizon is undoubtedly leading the race.
The carrier, which was the first to deploy 4G LTE (Long-Term Evolution) network nationwide about six years ago, has now become the first to update its network exclusively for IoT devices. Moreover, with rapid expansion of its IoT platform, ThingSpace, Verizon intends to encourage IoT innovation.
We believe Verizon’s continuous advancements in the IoT space will benefit the company in the long run in view of the huge untapped opportunity in the IoT market.
Meanwhile, Verizon faces tough competition in the mobile video advertising space. Thus, such extravagant marketing campaigns to support its mobile video service should lend enough firepower to challenge established players like Alphabet Inc. GOOGL and Facebook Inc. FB.
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