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BSNL and Tata Motors have announced a new partnership to promote a one-of-a-kind M2M (machine-to-machine) connectivity solution. BSNL (Bharat Sanchar Nigam Limited) will supply in-built SIM cards on future products from Tata Motors, in order to make them 'smart' vehicles.
ET Auto shares that five lakh SIM cards have already been provided to Tata Motors. "We have already partnered with Tata Motors for embedded SIM functionality. Five lakh SIM cards were already provided while another 10 lakh will be supplied in a year's time," said Anupam Shrivastava, Chairman of BSNL.
BSNL anticipates a sales figure of over 50 million 5G-enabled M2M SIM cards by the end of next year. This includes the sales to automotive as well as home automation sectors. Under the new partnership between Tata Motors and BSNL, popular models such as the Tiago, Hexa and even the new Harrier, will soon get 'smarter'.
Explained in terms of a rough estimate, if Rs 20/month is applicable for each SIM, the partnership has the potential to return close to Rs 1200 crore annually to BSNL.
M2M connectivity essentially enables communication between a wired and a wireless device via sensors and other forms of device application. This is beneficial for advanced projects such as smart transportation, smart cities, smart homes and smart healthcare.
M2M also helps create an efficient Internet of Things (IoT) ecosystem, wherein cars or other machines can be connected to 5G internet.
"Automotive and transport have been an early adopter of IoT and telcos are tapping the emerging revenue streams from fleet management, navigation and fuel management, infotainment and positioning services," stated Prashant Singhal, Global Telecommunications Leader at Ernst & Young.
"With the right mix of enablers, telcos can go a long way in enhancing their play in the $4 billion IoT ecosystem by 2021," he further added.
Thoughts On The New BSNL-Tata Motors Partnership
Smart cars are getting a lot of traction across global markets and it is high time that India should also join the party. BSNL and Tata Motors are one of the key players in their respective fields of expertise and with the new partnership, they will definitely bring a change to the industry.