Furthermore it expects M2M revenues to increase to $88 billion by 2023 as emerging region applications come on-stream and the cost of solutions decline.

The research firm's recent report - M2M device connections and revenue: worldwide forecast 2013–2023 - also finds that SMEs are scheduled to take a larger share of the market as it matures. Excluding utilities, the proportion of SME M2M connections will increase from 14.6 per cent of total connections now, to 24.6 per cent in 2023 - a CAGR of 33 per cent, predicts Analysys Mason.

At present M2M solutions are more of a stretch for SMEs than they are to large enterprises and the public sector, but this will start to change as they become more affordable and are packaged as off-the-shelf solutions. The hardware will also drop in price.

The report name-checks fleet management as one area where operators have already been successful selling productised M2M solutions and it expects to see a lot more SME buyers for functions like security, surveillance and perhaps healthcare

Emerging markets will really begin to take on M2M by 2015, meaning that developed markets' total share of connections will decline from 68 per cent to 62 per cent during the forecast period

Other insights.

• Utilities is the fastest-growing M2M sector and will account for 67 per cent of device connections worldwide by 2023.

• The automotive and transport sector now accounts for 28 per cent of total M2M connectivity revenue in 2013, but will decline slightly to 24% in 2023 as the utilities sector takes a larger share. Increasing adoption of consumer connected car solutions makes this sector resilient.