AT&T today launched its narrowband IoT (NB-IoT) network with pricing starting at $5 per device for a year of service. The nation’s second largest operator upgraded its nationwide network of 4G LTE cell sites for NB-IoT and says it plans to enhance the platform further with global standards for massive IoT on its 5G network later this year.

“There’s no need for businesses to wait for 5G to move forward with an IoT solution,” Chris Penrose, senior vice president of IoT at AT&T, wrote in a blog post. “NB-IoT and LTE-M are ready today and designed to support the most common IoT applications.”

AT&T describes its LTE-M network, which the operator launched almost two years ago across Mexico and the United States, as a complementary low-power wide area network that is more generally designed for low-bandwidth modules that can go dormant when not in use, such as pet trackers, asset management, and wearables.

LTE-M supports higher bandwidth and mobile use cases whereas NB-IoT is better suited for fixed applications. Because NB-IoT doesn’t require a gateway and uses direct-sequence spread spectrum modulation technology, operators can direct sensor data to the main server and sell connectivity at a lower cost.

“Both networks are designed for the IoT within licensed spectrum and provide carrier-grade security,” Penrose explained. “NB-IoT is optimized for stationary use cases with basic data requirements like simple sensors, on-off buttons, smart agriculture, smoke detectors, door locks, and industrial monitors.”

AT&T said it is working with suppliers to certify $5 modules that can connect devices to its NB-IoT network. It also expects multi-mode modules that can support NB-IoT and LTE-M to soon come to market.

“Starting now, [these IoT networks] have the potential to change the world, opening the door to use cases and applications that weren’t practical or possible before,” Penrose wrote. AT&T plans to begin deploying NB-IoT in Mexico later this year.

AT&T is targeting its NB-IoT network to four market segments: consumer for home sensors, appliances, and door locks; smart cities for parking garages and utility meters; agriculture for soil, wind, and air quality monitoring; and enterprise for waste management, on/off buttons, and storage container monitoring.

At least 110 operators have launched commercial IoT networks using NB-IoT or LTE-M technology as of this month, according to GSMA. The international trade group also predicts there will be 1.9 billion LTE-M and NB-IoT connections by 2025.