floLIVE last Thrusday published a sponsored study titled, Connectivity Management Platforms, in collaboration with leading IoT industry analyst firm, Transforma Insights.
The Connectivity Management Platform (CMP) is one of the key underlying pieces of middleware that Mobile Network Operators (MNOs) and Mobile Virtual Network Operators (MVNOs) use to manage connections, handling activation/deactivation, billing, analytics, reporting and various other functions. This part of IoT is going through a period of pronounced transition, as highlighted in the report.
The key findings of the report are:
- CMP functionality is evolving and has become much more differentiated. Most notably there is a distinction between ‘Thin CMP’ offerings, which feature little more than SIM management, and the ‘Thick CMP’, which includes a much broader range of connectivity-related functionality including core network, eSIM management and connectivity orchestration.
- Many IoT connectivity providers are being more proactive in reviewing their CMP strategy, due primarily to concerns over unit economics and how to address low margin connections with scalable solutions incorporating low-touch on-boarding and management.
- Established vendors in the space are also going through some pronounced changes, reflecting the economics of delivering CMPs. Ericsson took the radical approach of divesting its loss-making IoT Accelerator platform in December 2022, while Cisco has been evolving its offering, adding additional features and a tiered offering but also increasing prices to reflect the reality of the cost of managing a CMP.
- New, more scalable, cloud-based offerings have become available, with a rich set of features, delivered in a more financially viable way, to provide a greater degree of competition to the established players.
To read the complete report please visit: go.flolive.net/changing-connectivity-management
Matt Hatton, Author
If we look back 3-5 years, the Connectivity Management Platform (CMP) space was relatively stable. Functionality was well-established and the market landscape was well defined. This has changed and will change further in the coming few years. We are currently in a period of transition with ownership, functionality, market structure and buying behaviour all in a period of flux. Hence why the CMP space was the first we considered for our Transition Topics. Ultimately, 3-5 years from now we expect there to be a ‘new normal’ in CMPs based on a more pluralistic market structure, with a wider range of, in many cases very feature-rich, platforms.
Nir Shalom, CE0, floLIVE
Over the past few years, we’ve witnessed an evolution for OEMs and global enterprises. They have become more knowledgeable over market dynamics, their business needs, and the technical and operational barriers in their journey towards achieving a globally connected business. Many MNOs have come to the understanding that a shift in mindset and in their approach to connectivity is necessary in order to continue supporting the growing needs of these educated and aware customers. With its modern, cloud-native approach, floLIVE is best placed to address this exciting market as it faces a major transition, and as OEMs and enterprises demand greater visibility and control. We strongly believe that floLIVE’s unique hyperlocal global network is the right solution, at the right time.
