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IoT networks: functions, selection and examples

IoT networks form the basis for smart applications in companies. They connect machines, sensors and systems with each other and transmit data reliably even under extreme conditions. However, not every network is suitable for every application: range, energy consumption and data security are decisive factors when choosing the right IoT network.

In this article, you will find out which network technologies are available, which projects they are suitable for and what you should look out for when making your choice.

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In brief

  • IoT networks connect sensors, machines or devices wirelessly or wired to platforms in order to automatically collect, transmit and process data - even under adverse conditions.
  • Typical network technologies are NB-IoT (very energy-efficient, good building penetration), LTE-M (for mobile applications with higher data rates), 5G (for latency-critical applications), LoRaWAN / Sigfox (for long ranges with low energy requirements) and satellite radio for remote locations.
  • Selection criteria: Energy consumption, range & building penetration, data rate & latency, security, costs and existing infrastructure - the right network type always depends on the specific use case.

What are IoT networks?

IoT is the abbreviation for "Internet of Things" and describes the networking of devices, sensors and machines via digital platforms. An IoT network connects technical devices or controllers to digital platforms via a wireless or wired infrastructure. The aim is to collect and transfer data automatically and independently of location and make it available for digital applications. The stable connectivity ensures that reliable data communication is guaranteed even under difficult conditions, such as in industrial halls or extensive outdoor facilities.

The basis for this is the interaction of various components: sensors and devices record relevant data from their environment and send it to central platforms via the appropriate network technology. This information is then processed in the cloud or on edge systems and utilised for further processes.

The result: companies gain real-time insights into their processes, can control workflows more efficiently, react to deviations at an early stage and develop new services. This makes IoT networks a strategic lever for innovation and competitiveness.

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Examples of IoT networks

IoT networks are used in very different areas. Two typical examples show how devices, connectivity and platforms interact:

  1. Smart parking with LoRaWAN
    An example of an IoT network is a smart parking system in a city. Here, parking sensors detect free parking spaces via a LoRaWAN network and send the data to a central platform. Drivers receive this information in real time via an app, which reduces search traffic and optimises parking space management.
  2. Water meter monitoring with NB-IoT
    In the utilities industry, NB-IoT enables reliable networking of water meters, even in hard-to-reach places such as basements or manholes. The smart meters continuously record consumption data and send it to central platforms via the energy-efficient NB-IoT network. Based on this real-time data, utilities can automate billing, detect leaks immediately and focus maintenance work on critical areas.

Network options for IoT networks

Depending on the application and requirements, various IoT networks are available, which differ in terms of range, energy consumption, data rate and infrastructure costs. The most commonly used IoT networks include

  • NB-IoT (Narrowband IoT) is a particularly energy-efficient mobile technology that has been specially developed for IoT applications. It is ideal for devices that only transmit small amounts of data and can be operated for many years on a single battery. The high building penetration and Telekom's comprehensive NB-IoT network coverage make this standard particularly attractive for smart meters, parking sensors and asset tracking solutions.
  • LTE-M complements NB-IoT by offering higher data rates and lower latency times. This makes LTE-M particularly suitable for mobile applications such as fleet management or mobile payment systems. Here, too, companies benefit from Deutsche Telekom's existing LTE infrastructure.
  • 5G is the next-generation mobile communications standard and offers high bandwidths, low latency times and, with network slicing, the option of dividing a network into several virtual sub-networks for individual requirements. 5G is particularly relevant for time-critical IoT applications such as autonomous vehicles, industrial automation and smart healthcare. The comprehensive 5G infrastructure enables reliable networking even in highly dynamic environments.
  • LoRaWAN stands for Long Range Wide Area Network and offers a licence-free, energy-saving wireless technology. The LoRaWAN network enables networking over long distances with minimal energy requirements. Typical areas of application are smart cities, agriculture or industrial IoT projects with many decentralised sensors.
  • Sigfox is another independent network that has been specially developed for the Internet of Things. The Sigfox network focusses on the transmission of small amounts of data with extremely low energy consumption. In both urban and rural areas, devices can communicate over many kilometres without having to rely on a traditional mobile communications infrastructure.
  • Satellite radio enables global IoT connectivity, independent of terrestrial networks. Satellite radio offers a reliable alternative, especially in remote or hard-to-access areas, for example for offshore monitoring, global tracking or disaster prevention. Modern IoT satellite solutions are increasingly energy-efficient and are suitable for transmitting small amounts of data over long distances.

Network technologies overview

Network typeTechnologyPropertiesTypical applications
Mobile radio-basedNB-IoT (Narrowband IoT)particularly energy-efficient,
high building penetration,
Telekom NB-IoT network coverage
Smart meters, parking sensors, asset tracking
Mobile radio-basedLTE-Mhigher data rates,
low latency times,
utilisation of the existing LTE infrastructure
Fleet management, mobile payment systems
Mobile radio-based5GExtremely high bandwidths,
very low latency times,
suitable for time-critical applications
Autonomous vehicles, smart healthcare, Industry 4.0
Independent wireless networkLoRaWAN IoTlicence-free wireless technology,
long ranges,
very low energy consumption
Smart cities, agriculture, Industry 4.0
Independent wireless networkSigfox networkExtremely low energy consumption,
communication over long distances,
no dedicated mobile phone infrastructure required
Environmental monitoring, asset tracking in rural areas
Satellite-basedSatellite radioGlobal coverage,
independent of terrestrial infrastructure,
suitable for remote locations
Offshore monitoring, worldwide tracking, emergency scenarios

IoT networks: Selection criteria

Depending on the requirements, application and location, different technologies can make sense. Various criteria play a central role here, which companies should consider when planning:

  • Energy consumption: Many IoT devices are battery-operated and should function for as long as possible without maintenance. Technologies such as NB-IoT or LoRaWAN are designed to be particularly energy-efficient. For example, if you want to use sensors in the field for years to come, you should ensure low energy consumption.
  • Range and building penetration: Not every network is suitable for every environment. For example, NB-IoT scores with excellent building penetration and is particularly suitable for use in underground car parks, basements or industrial halls. LoRaWAN, on the other hand, offers long ranges, but is more dependent on local network infrastructure. Satellite radio, on the other hand, enables global coverage, ideal for IoT applications in remote or hard-to-reach regions.
  • Data rate and latency: Some applications such as condition monitoring, also known as condition monitoring, or tracking only require small amounts of data and can rely on energy-optimised transmission. Others, such as mobile payment systems or vehicle communication, require higher bandwidths and lower latencies. LTE-M or 5G is often the better choice here.
  • Security: IoT solutions can only be operated reliably and scalably with consistent data security and stable network protection. Standardised mobile radio technologies such as NB-IoT or LTE-M offer particularly high protection mechanisms through proven encryption methods and comprehensive network integration. 5G also offers advanced security concepts such as network slicing.
  • Costs: In addition to the acquisition costs of the modules, operating and maintenance costs should also be taken into account. Network technologies such as Sigfox or LoRaWAN score points with low fixed costs, while mobile radio solutions often offer scalable tariffs and worldwide availability. Satellite radio is generally more cost-intensive, but can make economic sense in certain scenarios due to its nationwide access.
  • Infrastructure and integration: Companies should check whether existing infrastructures can be used or whether a separate network needs to be set up. With its solutions, Deutsche Telekom offers access to high-performance IoT networks that enable simple integration and professional management.

The right network technology should always be selected on the basis of the specific use case. A careful comparison of the requirements with the characteristics of the respective networks helps to future-proof investments.

The right network technology is crucial for IoT success

The variety of IoT networks opens up numerous new possibilities for companies. At the same time, they are faced with the challenge of finding the right solution for their individual requirements. It is crucial to not only pay attention to technical parameters, but to always keep the entire life cycle of a project in mind. There is no one best IoT network, but always the technology that best suits the respective objective. A precise analysis of the use case and careful planning form the basis for successful long-term projects.

IoT Network Technologies

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IoT Network Technologies

Our diverse portfolio offers comprehensive mobile communications solutions, customized campus networks, energy-efficient NB-IoT and LTE-M technologies, and satellite IoT for remote areas. This provides you with the right infrastructure for every application – secure, scalable, and future-proof.

Potrait photo Annalena Rauen

Annalena Rauen

Marketing Manager IoT

Back in 2016, Anna worked on IoT topics at Deutsche Telekom for the first time. Since then, she has been supporting customer best practices in a wide range of industries – always focusing on the benefits that the Internet of Things can provide. Her IoT blogposts describe real use cases and the value these innovations add to market players, their business models, and even entire industries.

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