Network operator KT said on Wednesday it has started offering long-term evolution-machine -- or LTE-M -- services, which allow cost-effective communication among small sensors and devices.

The machine-to-machine communication services can be deployed in a range of industries and have various applications, according to the firm.

At a press event to showcase the LTE-M services in Seoul, the company displayed a bicycle equipped with a GPS sensor, a thermal container for blood that can check blood temperature and track the location of the blood container, and smart controllers for electronic billboards and signs.

“Despite the small amount of data transferred, the Internet of Things for small items requires new infrastructure to accommodate the increasing number of connected sensors,” said Kim Joon-keun, head of KT’s GiGA IoT business unit, adding the company will try to have 40 million devices and sensors connected by 2018.

KT will provide LTE-M services for free this year in a bid to attract more subscribers, mostly small and medium-sized firms, who will utilize the connected technology in their businesses.

In partnership with start-ups at the Center for Creative Economy and Innovation in Gyeonggi Province, a start-up incubator, Korea’s largest telecom firm plans to roll out more diverse applications down the road.

The company will also invest around 150 billion won ($129 million) in developing Narrow-Band IoT technology, a telecom standard for low-cost indoor communications among devices.

“Coupled with the LTE-M, the NB-IoT network services will accelerate the growth of the IoT business here,” a KT official said.

KT said it will complete the testing process of NB-LTE this year.

By Kim Young-won (wone0102@heraldcorp.com)