The Future of LTE-M and NB-IoT

as 5G IoT Technologies
Navigating the Evolution of Cellular Connectivity for the IoT
The Future of LTE-M and NB-IoT as 5G IoT Technologies sequans.com

LTE-M and NB-IoT: A Long-Term Connectivity Solution for IoT

To address wide-area challenges and ensure ubiquitous, energy-efficient, and cost-effective cellular coverage,
the evolution of cellular connectivity for IoT is crucial. While 2G and 3G provided widespread coverage until the
late 2010s, 4G LTE was adapted to meet IoT needs with LTE-M and NB-IoT, the prevailing LPWA (low power wide
area) standards. Despite the emergence of 5G NR networks, LTE-M and NB-IoT remain indispensable and are
seamlessly integrated into the 5G ecosystem. Their compatibility with 5G ensures long-term support and stability
for IoT deployments until at least 2040. We anticipate the evolution of LPWA standards in 3GPP Release 20, which
will mark the inception of the first 6G standard in 2027. This evolution will progressively replace LTE-M and NB-IoT
for new deployments within the 6G framework, commencing in the early 2030s.

An Evolution of Low-Power IoT Connectivity

In the early 2010s, the IoT connectivity landscape saw a paradigm shift with the introduction of LTE-enabled IoT.
The initial surge in machine-to-machine (M2M) communications, driven by consumer-focused LTE solutions,
revealed their unsuitability for M2M and IoT use cases. These solutions, designed for high-cost and power-hungry
consumer applications, failed to address the unique demands of industrial applications such as automotive
sensors, electric meters, streetlights, and medical equipment.

Recognizing the potential of optimized low-power solutions, the concept of LPWA networks emerged. Proprietary
LPWA networks like LoRa, Sigfox, and Weightless appeared in the mid-2010s. Simultaneously, the cellular industry
acknowledged the need for standardized solutions and, with the introduction of 3GPP Release 13 in 2015, LTE Cat
M1 (LTE-M) and LTE Cat NB1 (NB-IoT) were born. Sequans took a leading role by introducing Monarch, a dedicated
LTE-M/NB-IoT platform, setting new industry standards in low power consumption and cost for the IoT.

Since its inception, LTE-M and NB-IoT networks matured and expanded globally, playing a pivotal role in the IoT
landscape, enabling industries to benefit from LPWA connectivity. The underlying technology empowers the
creation of devices capable of seamless roaming across all regions, eliminating the necessity for region-specific
versions—a unique value proposition unmatched by any other LTE technology at a comparable cost level.

The Path to 5G NR: A Necessary Evolution Initially Targeting All but IoT
As telecommunications standards evolved, the transition from 4G to 5G introduced significant changes across
multiple technology areas. Enhanced Mobile Broadband (eMBB), Massive Machine Type Communications (mMTC),
and Ultra Reliable Low Latency Communication (uRLLC) shaped the 5G landscape. Additionally, New Radio
Reduced Capability (NR RedCap) addressed the rising cost of 5G platforms by bringing a solution that, if well
designed, can begin to address the needs of high-end IoT devices.

The coexistence of 5G with deployed technologies prompted network operators to allocate dedicated spectrum,
facilitating the migration of 2G and 3G applications to 4G and 5G. 4G’s harmonious coexistence with 5G ensures the
continuity of critical services. In other words, LTE-M and NB-IoT are here to stay in an evolving network supporting

© 2023 Sequans Communications | sequans.com 2

The Future of LTE-M and NB-IoT as 5G IoT Technologies sequans.com

Figure 1: How various IoT use cases can be served by evolving 5G technologies from eMBB and mMTC, to NR
RedCap and eRedCap

eMBB

URLLC
RedCap

mMTC eRedCap

5G NR since 3GPP has not yet come up yet with a 5G NR replacement for them. LTE-M and NB-IoT will thus
continue to fill the technology requirements of mMTC for several years. 5G NR RedCap and eRedCap (enhanced
RedCap) will support IoT devices requiring a few Mbps to a few 10s of Mbps --- albeit at a cost still exceeding
that of LTE-M and NB-IoT---even though semiconductor and module companies will strive to lower the cost of
eRedCap nearer to that of LTE-M.

A compelling rationale positions the evolution of LTE-M and NB-IoT within the ambit of 6G. The inception of 6G is
slated for 3GPP Release 20 in 2027, with initial deployments projected for 2028. The IoT domain stands to benefit
from power and cost-optimized LPWA solutions in the early 2030s, gradually supplanting LTE-M and NB-IoT in the
evolution of 6G networks.

Navigating the Massive IoT Connectivity Landscape

Choosing the right cellular connectivity for massive IoT product design is a complex task. Beyond cost
considerations, network vendor support and future-proof solutions are of paramount importance. As legacy 2G
and 3G networks phase out, LTE-M and NB-IoT have emerged as the clear technology choices for contemporary
IoT projects. Sequans’ Monarch solution stands out, offering a quick and dynamic switch between LTE-M and
NB-IoT, ensuring efficient connectivity across diverse deployment scenarios.

Sequans’ Monarch 2 platform addresses more than a mere cost and power-optimized solution for IoT. The
Monarch 2 module family brings a versatile toolbox of integrated features covering all IoT application needs,
including two variants: Monarch 2 SiP with specialized packaging, and Monarch 2 GM02SP with integrated GNSS.

© 2023 Sequans Communications | sequans.com 3

The Future of LTE-M and NB-IoT as 5G IoT Technologies sequans.com

Figure 2: Monarch 2 module family for dual-mode LTE-M/NB-IoT connectivity with or without GNSS

GM02S GM02SP
Monarch 2 Monarch 2

IMEI: xxxxxxxxxxxxxxx IMEI: xxxxxxxxxxxxxxx

ICCID: xxxxxxxxxxxxxxx ICCID: xxxxxxxxxxxxxxx
S/N: xxxxxxxxxxxxxxxx RoHS S/N: xxxxxxxxxxxxxxxx RoHS

Monarch 2 Monarch 2 Monarch 2 SiP

GM02S GM02SP (SKY66431)

Both modules deliver remarkably high levels of security and reliability and are based on a TAA (Trade Agreement
Act) compliant chipset.

With integrated capabilities, including a world-first GSMA-compliant integrated eSIM (or ieUICC), an open SDK
environment allowing customer application development, and a FOTA client, Sequans’ Monarch 2 modules can
provide LPWA connectivity for a variety of IoT applications, including utility meters, industrial sensors, health and
fitness bands, asset trackers, and smart home devices.

More information is available on the Products and Solutions page of our website.

Going Beyond the Standard

At Sequans, we strive to facilitate seamless access to cellular connectivity across diverse use cases, offering top-
tier customer service and features that are unequalled in the industry.

Having dedicated years to refining and maturing our Monarch 2 LTE-M/NB-IoT solution, which is now in its second
generation, we have tailored it to meet the specific requirements of today’s most in-demand IoT use cases.

For smart home applications, the appeal of Monarch lies in its dual-SIM and integrated SIM connectivity, providing
unparalleled flexibility in network availability. Recognizing the fixed nature of these assets, our engineering
team has innovatively incorporated a secondary antenna selection to ensure optimal signal quality. Additionally,
Monarch 2 implements a robust scanning and attach mechanism that excels in challenging conditions, especially
in high signal quality cell scenarios where alternative solutions may falter.

© 2023 Sequans Communications | sequans.com 4

The Future of LTE-M and NB-IoT as 5G IoT Technologies sequans.com

Figure 3 – Monarch 2 solutions include two external SIM interfaces and a secure enclave that can host an
integrated SIM

UICC1

GM02S
Monarch 2 UICC3
UICC2
IMEI: xxxxxxxxxxxxxxx
ICCID: xxxxxxxxxxxxxxx
S/N: xxxxxxxxxxxxxxxx RoHS

Smart utility meters benefit from Monarch 2’s power-optimizations and advanced scanning algorithms that
ensure extended battery life. Through a strategic partnership with Skyworks, Sequans has introduced Monarch
2 SiP, a unique module package designed specifically for gas and water meters. It is a pioneering solution widely
recognized in the industry.

Asset trackers or health devices benefit from Monarch 2’s expansive voltage range, enabling operation down to
2.2 V. This not only reduces the bill of materials cost but also extends the battery life, offering a crucial last-gasp
functionality for devices running on depleting dry batteries.

Conclusion
Over the coming two decades, LTE-M and NB-IoT will remain the de facto solution for a majority of IoT devices
that seek reliable, scalable, and ubiquitous connectivity. Sequans offers best-in-class chip and module solutions to
serve this growing market. Sequans is a fabless designer, developer, and supplier of cellular connectivity solutions
for massive and broadband IoT. Sequans’ product portfolio is a comprehensive set of 5G/4G chips and modules
that are fully optimized for non-smartphone devices. Sequans owns the majority of the technology used in its
chipsets and can therefore serve long lifecycle project needs, create product derivations when necessary, and
combine technologies to help ease the market transition to dual mode 4G/5G solutions.

© 2023 Sequans Communications | sequans.com 5

The Future of LTE-M and NB-IoT as 5G IoT Technologies sequans.com

About the Authors

Imad MIKAIEL has a product marketing management role at Sequans Communications. In his early years at Sequans,
he occupied the role of technical account manager for Sequans’ strategic accounts, including infrastructure vendors
and carriers, and he represented Sequans locally and internationally, establishing customer support offices in various
countries, including USA, Russia, India, China, Japan, Korea, and Brazil. Imad also manages Sequans partnership
programs with major MCU vendors. Imad has more than 30 years of experience in the telecommunication industry.
Prior to joining Sequans, Imad held the position of embedded software manager at VLSI Technology / Philips
Semiconductors and filled customer support roles at Mentor Graphics and later at Texas Instruments. Imad holds
a master’s degree in electrical engineering from “Université de Nice Sophia Antipolis”. Imad is an enthusiastic
technologist and is particularly interested in the role of ubiquitous connectivity for all kinds of objects, for the
betterment of life everywhere.

Jeremy GOSTEAU has a product marketing management role at Sequans Communications where he has held various
positions, including product manager where he helped Sequans define the company’s first 4G LTE modem in 2009,
and the company’s first IoT dedicated semiconductors: Calliope for Cat 1 and Monarch for LTE-M and NB-IoT in 2014
and 2016, respectively. He launched major features with key partner operators, for example, with China Mobile at the
Shanghai expo in 2010, and with Verizon at the Super Bowl in 2014, and with Deutsche Telekom and its tech incubator,
hubraum, in 2019. As a product marketer, Jeremy, identified the main market segments that Sequans’ product
portfolio should target in the IoT space, and he contributed to the company’s long term product strategy. Jeremy has
represented Sequans in France, the UK and the USA where he is currently located. He is passionate about enabling a
better- connected world, through the convergence – in the semiconductor space – of cellular communications, satellite
connectivity, enhanced security, and AI-powered networks towards 6G.

© 2023 Sequans Communications | sequans.com 6