A new oneM2M whitepaper recommends that an open standards approach is essential for communication service providers (CSPs) to capture the revenue opportunities arising from Internet of Things (IoT) applications that use low power wide area (LPWA) networks.
Published under the title “Boost LPWA revenue through oneM2M,” the whitepaper is part of oneM2M’s ongoing effort to accelerate large-scale IoT deployment and unlock value for both CSPs and end users. Early deployments of IoT revealed that vertically siloed platform approaches limited flexibility and long-term growth. To avoid those limitations, oneM2M advocates open, standardized service layers that reduce vendor lock-in and support a broad ecosystem of applications and devices.
The document emphasizes the importance of normalizing data from multiple device types within a single, hardware- and connectivity-agnostic IoT service layer. By providing consistent, easy-to-use application programming interfaces (APIs), such a platform lets application developers build innovative services without needing to manage low-level device or connectivity differences. That simplicity enables faster time to market for new services and lowers development costs, making it easier for developers to collaborate with CSPs and device manufacturers.
For CSPs, adopting oneM2M principles can create direct pathways to monetize LPWA deployments beyond basic connectivity fees. Instead of treating IoT only as a volume business of connections, CSPs can move up the value chain by supporting application enablement: facilitating developer access, exposing standardized APIs, and offering platform capabilities that help produce differentiated services. When CSPs position themselves as enablers for the application ecosystem, they open additional revenue streams such as platform subscriptions, developer tools, marketplace transactions, and revenue-sharing agreements with application providers.
Dr. Omar Elloumi, technical plenary chair at oneM2M, highlights the scale of the LPWA opportunity but also cautions that per-device revenue will remain limited unless CSPs adopt application-centric strategies. Citing forecasts that project as many as 3.4 billion LPWA connections by 2025, he notes that the addressable revenue per connection is relatively low if CSPs focus solely on connectivity. By contrast, application enablement and an ecosystem-driven approach increase the potential total monetizable value per connected device.
With LPWA deployments gaining momentum around the world, an increasing number of CSPs are recognizing the oneM2M value proposition. To realize stronger returns from their IoT investments, they will need to accelerate strategies that improve how they capture value from applications and services. OneM2M provides the technical foundation for this shift by standardizing the service layer that connects devices, networks, and applications.
Key benefits of adopting a oneM2M-based approach for LPWA monetization include:
- Interoperability: A common service layer removes barriers between devices and platforms, enabling diverse hardware and connectivity types to work together.
- Developer empowerment: Stable, standard APIs reduce development complexity and increase confidence for third-party application creators, driving innovation and a larger app ecosystem.
- Faster time to market: Standardized interfaces and data models accelerate deployment of new services and reduce integration costs.
- Scalable monetization: CSPs can offer platform capabilities, developer tools, and marketplace services that provide recurring revenue beyond simple connection fees.
- Reduced vendor lock-in: Open standards lower the risk for enterprises and service providers, making long-term planning and investment more attractive.
Transitioning to an application-centric model does not eliminate the need for robust connectivity; rather, it complements it. LPWA technologies provide the low-cost, low-power connectivity required for many massive IoT use cases, while a oneM2M-aligned platform enables the higher-level functions needed to create value from the data those devices produce. Together, they form a compelling proposition: reliable, scalable connectivity paired with a standardized service layer that fosters a vibrant application ecosystem.
For CSPs aiming to maximize returns from their LPWA investments, the whitepaper’s message is clear: embracing open standards like oneM2M and actively supporting application enablement will be critical to unlocking the full commercial potential of large-scale IoT deployments.