Tata's models Tiago, Hexa and the new SUV Harrier will be tested with the new technology
State-owned Bharat Sanchar Nigam (BSNL) signed a machine-to-machine (M2M) communications deal with Tata Motors, under which the telecom company will supply embedded SIM cards to make the automaker's car models 'smart', The Economic Times reported.
It will be tried on models like the Tiago, Hexa and the new SUV Harrier. BSNL Chairman Anupam Shrivastrava told the paper that five lakh SIMs have already been provided, adding: "We have partnered for embedded SIM functionality. We will provide another 10 lakh in a year's time."
BSNL anticipates nearly 50 million M2M SIM cards, with 5G capability, to be sold in the next one year, mainly for auto and home automation. Shrivastava told the newspaper this could earn BSNL Rs 1,200 crore annually in revenues.
The M2M technology basically ensures automated communication between two networked devices using sensors and applications. This technology is being used to develop smart cities, smart homes and healthcare. With respect to cars, M2M apparently creates an Internet of Things (IoT) ecosystem through which your appliances, machines and cars can be connected to the internet.
With the telecom sector under stress and debt for the past five years, there is intense competition among the players and they are constantly looking to innovate their products and come out on top. This is one such opportunity for BSNL.
"Automotive and transport have been an early adopter of IoT and telecos are tapping the emerging revenue streams from fleet management, navigation and fuel management and positioning services," Prashant Singhal of EY is quoted as saying, adding that telecos should tap into the $4 billion IoT ecosystem by 2021.
