“First-mover advantage,” the benefit of occupying the high ground in a market, applies in just about any field. It is particularly valuable in technology markets, where change comes quickly, product life can be short, and the best margins come early. Second-place market participants work just as hard to get their products to market as those in first place, but they are playing for only half the market and those who come after that may end up fighting over the crumbs. The trick is to create a new market with your innovative product and move quickly to take and hold that high ground.
Beating the Competition in the Internet of Things
Being first with an idea is relatively easy. But a concept, no matter how original, only takes its place in the market and begins to pay after it has been developed into a viable product, manufactured, marketed, and delivered. The bad news is that a product can only be as fast to market as its slowest component. The good news is that, in today’s connected economy, some of the most challenging components of a product, whether physical or intellectual can be outsourced to specialists.
Those specialists may provide parts or sub-assemblies you need to make your concept work. They may provide expertise to help you overcome obstacles or optimize your design. Or they may help you turn the completed design into a quality manufactured product, quickly and at reasonable cost. The faster a market changes the more likely you are to benefit from this kind of outsourcing.
One of today’s fastest-growing and changing markets is machine-to-machine (M2M) connectivity, the technology behind the “Internet of Things”. In the IoT, sensors gather data from a site or system and send it to other systems, where it can be acted upon and/or stored. The resulting action may be automatic or manual, immediate or delayed, continual or event-triggered. But whatever the mode, the operation will depend on moving data from one place to another over a distance that can range from modest to vast.
Moving M2M data can be as simple as creating a wired connection over a short distance. Alternately, data can be sent wirelessly over short distances via Bluetooth or other specialized radio frequency connection. And over longer distances the data can hop onto a network using a wired connection or, where available, Wi-Fi. But one of the quickest, easiest ways to access a network from virtually any location or even a mobile data source is cellular. Cellular networks cover most of the populated world, and the cellular signaling channel that is used for transmitting data reaches even to places where voice connections can be spotty. In other words, while some locations and situations offer a variety of data connectivity choices, cellular works almost anywhere, and a data- only (non-voice) connection can be very inexpensive.
In considering cellular connectivity for your application you have several decisions to make.
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The right cellular technology for your application
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The right technology for accessing the cellular network
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Whether the cellular aspect of your project is one you want to outsource and, if so, what to look for in a
partner.
Choosing Cellular Network Technology
Your choice of cellular technology depends to a certain extent on your location and to a larger degree on the data throughput you will require.
2G Global System for Mobile Communications (GSM) and 2G Code Division Multiple Access (CDMA)
2G is second generation cellular technology in which all signals are transmitted in compressed digital form. Digital technology allows multiple messages to be transmitted in the bandwidth that would otherwise be occupied by a single analog call. The original data speed of 2G was around 9.6Kbps. 2G capabilities have been expanded to what is sometimes called 2.5G with data speeds that can be as high as 150 Kbps.
2G comes in several “flavors.” 2G GSM and 2G CDMA are competing standards. CDMA is used only in North America, while the rest of the Americas and the world use GSM. CDMA stands for code division multiple access and offers somewhat better range and clarity in voice calling than GSM, which doesn’t really matter for data communication. GSM stands for global system for mobile communication. Unlike CDMA, GSM stores subscriber and wireless provider information on interchangeable SIM (subscriber identification module) cards, allowing users to switch phones or providers by replacing SIM cards.
3G GSM and 3G CDMA
3G or third generation cellular technology supports data speeds up to 3Mbps and like 2G, 3G comes in CDMA and GSM versions. The US uses both CDMA and GSM versions of 3G technology although US GSM is not compatible with the 3G GSM used elsewhere in the world. 3G CDMA (CDMA EVDO as opposed to CDMA 1xRTT used for 2G) is used exclusively in the US. Much of the rest of the world uses 3G GSM.
Long Term Evolution (LTE)
LTE, sometimes referred to as 4G LTE supports data speeds of up to 100 Mbps. While LTE can be implemented over several different spectra, compatible devices should work across all LTE spectra around the world. Its high throughput rate makes it ideal for streaming data applications like video and for other high-volume processes.
Choosing Cellular Access Technology
There are a variety of ways to incorporate cellular connectivity into a product or device. Key issues affecting your choice include location (as a factor in cellular network availability), product size, available expertise, time, cost, and your anticipated technology roadmap.
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You have to consider the cellular network you will be using in choosing access technology. If your product will have to access a range of network technologies, you will need to be able to support a corresponding range of cellular modems.
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If size is an issue (as it is in so many devices today) external modems will not be a viable option; even some internal modules/modems may be too large to be practical. Also, consider what components are built into the modem itself and what will have to be configured separately to make the module/modem work.
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If you have the time and resources you can design a cellular module into your board, or you can streamline the process by incorporating a certified modem. Designing in a module will take engineering time and certification cost and time, while adding one as a complete modem will save cost and time. But while a complete modem will take some engineering to incorporate into your design, a plug-in, carrier- certified modem with complete development kit will streamline the process.
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All products that access the network must have FCC certification, which can take months. A pre-certified cellular modem eliminates the cost of obtaining certification and allows your device to be immediately activated on a network, reducing risk and speeding ROI.
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Cost has many components. In comparing cost of various cellular access options, look at development cost versus purchase cost as well as manufacturing and operating costs. Also consider the cost of obtaining certification if your product is not pre-certified.
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The volume in which you will produce your product also helps determine your platform options. Designing a module into your board (as opposed to plugging in a certified modem) can make sense when the cost can be amortized over very large volumes (and when you can support the up-front cost). When your volume is less than huge, however, or when you need to pay as you go, purchasing modems makes more sense.
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Finally, consider the trajectory of your product’s future development. If you expect your cellular needs to change—in speed, in network technology, or in related capabilities such as GPS—consider buying rather than building. It’s easier to change direction when that means buying a different product (especially if the modem uses a standard form factor allowing easy swap-out) rather than having to develop it yourself.
Choosing a Partner
In today’s fast-moving markets, a commodity-oriented approach to product design can leave you vulnerable to all sorts of problems. When the entire operation of a device or system depends on the performance of individual components you need to know that you’re getting the capabilities you need, that the components will work in your architecture and your application, and that you’ll have access to technical expertise when you need it. Purchasing departments can be valuable in choosing among viable options, but technical staff needs to decide what is viable in terms of vendor capabilities, specifications, and determining which providers can actually deliver the needed capabilities.
This is particularly true if the provider is to be involved in a product’s development. Even if the relationship will be short, look for the same things you’d look for in a team member. Expertise and specialized knowledge will be critical, but so with the ability to listen, understand, and work with the rest of the team. And, when time is critical, you’ll want to know that your partner shares your sense of urgency and can deliver the resources you need when you need them.
NimbeLink Skywire Plug-in Modems
NimbeLink Skywire plug-in modems are a fast, easy way to add cellular connectivity to machine-to-machine products. Skywire modems were named a finalist for the ECN Impact Awards, Boards, Modules and Embedded Systems category. Benefits of NimbeLink Skywire products include
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Five different versions to work with virtually any 2G, 3G, or LTE network
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Smallest in the industry for easy incorporation into today’s compact designs
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Based on Telit’s proven 910 family of modules
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Pre-certified, eliminating the cost of obtaining FCC certification
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Skywire products are already certified on cellular carrier networks, currently including Verizon and
AERIS allowing devices to be immediately activated on a network
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Available complete with low-cost cellular service plans
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Use the standard XBEE form factor, simplifying design for deployment across multiple network types
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Support a wide range of voltages and antenna types for design flexibility
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Require only voltage and a UART connection
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Available with a complete, fully-documented development kit
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Plug compatible with Arduino processors
NimbeLink’s award-winning developers initially designed Skywire modems to enhance the company’s own cellular gateway products. The Skywire line has subsequently been expanded to include a full line of modems from 2G to LTE and has been recognized with industry awards for innovation. NimbeLink engineers have worked with product developers across the U.S. to speed their cellular-enabled products to market. The company is currently working with customers in medical, agricultural, and industrial fields to help them navigate the M2M market, define product requirements, and design, produce, and deliver solid solutions.