Cisco is abandoning the LoRaWAN space, and there's no lifeboat for IoT customers

Cisco has announced its exit from the LoRaWAN market, which is used for IoT device connectivity. The company will cease sales of its LoRaWAN gateways and related products by January 1, 2025, with support ending by December 31, 2029, and no planned migration options for existing customers. This decision follows a broader restructuring effort aimed at cost-cutting, which includes a workforce reduction of 7% and a shift towards AI and security initiatives. The LoRaWAN technology, which allows for long-range communication between devices, has been growing in popularity, with a market size estimated at $5.7 billion in 2023. Cisco's withdrawal may impact organizations that have relied on its products for IoT deployments, especially since the company had recently introduced new LoRaWAN products. Analysts suggest that the profitability of the LoRaWAN segment may have influenced Cisco's decision, as fewer gateways are needed compared to other technologies like Wi-Fi, and the market is competitive with many vendors. Customers can expect the last software maintenance release by December 31, 2026, while service contracts will remain valid until the end of 2029.

- Cisco is exiting the LoRaWAN market, ceasing sales by January 1, 2025.

- Support for existing products will end by December 31, 2029, with no migration options.

- The decision is part of a cost-cutting strategy amid declining revenues.

- The LoRaWAN market is growing, with an estimated size of $5.7 billion in 2023.

- Analysts indicate that profitability concerns may have driven Cisco's exit from this segment.