Device manufacturer Connected IO (ASX: CIO) has grown its presence in the US automotive Internet of Things (IoT) market, having generated over $794,000 in revenue for the first five months of calendar year 2019.
It represents a 23% increase over total 2018 revenues and reflects the company’s focus on catering to the needs of customers as “the ever-increasing electronic sophistication of automobiles increases, particularly with the potential evolution of electric vehicles”.
Today’s news follows the company’s announcement last week that by the end of May, it had received $501,000 in cash for the June quarter, with shipped and invoiced products totalling $536,000.
Connected IO offers communication solutions which provide real-time streaming capability for surveillance cameras and digital video recorders in commercial vehicles such as buses and trucks.
Customers can report data via always-on SIM card data connection over WiFi-capable batteries; vehicle collision, cargo and temperature sensors; and artificial intelligence devices.
The company’s product portfolio and open platform lends itself to retro-fitting existing vehicles with state-of-the-art capabilities and capturing a significant slice of the hybrid and fully-electric vehicles market.
“Permanent internet connection enabled by our cloud routers and modems becomes a necessity as vehicles evolve and become more intelligent,” the company said.
Founded in 2014 as an engineering contractor to Verizon Wireless, Connected IO designs and manufactures rugged, industrial routers and modems for machine-to-machine (M2M) and IoT connectivity.
The company primarily services vertical markets with dispersed operations or businesses which need a degree of product customisation such as restaurants, kiosks, retail stores and commercial vehicles.
Global growth rates
In-vehicle surveillance technology can be an effective solution in reducing crime rates and ensuring the security of digital business transactions in crowded areas such as buses, trains and other public spaces.
The global in-vehicle surveillance market is expected to reach $42.89 billion by 2023, with a 26% compound annual growth rate.
North America has been projected to hold the largest market share followed by Europe, while the Asia Pacific ranks third.
Technology giants Bosch Group, Delphi Automotive PLC, Zhejiang Dahua Technology Co Ltd and Advantech Co Ltd currently comprise the market’s major players.
At midday, shares in Connected IO were up 33.33% to $0.004.