Commercial telematics: Key market research findings
- Availability of free telematics services
- Growth of embedded telematics solutions
Technavio has added released a new market research report on the global commercial telematics market, which is expected to generate revenues of $49 billion by 2020. Vehicle telematics is an integration of communication, vehicle monitoring systems, and location technology. Telematics provides anti-theft features, helps track vehicle location, and establishes direct communication with law enforcement agencies. The Americas is the major revenue-contributing region in the commercial telematics market, accounting for 49% of the total market share. The region is witnessing rise in M&As and increased adoption of connected vehicles.
Various applications of telematics
The new industry research report from Technavio discusses in detail the key drivers and trends responsible for the growth of this market and its sub-segments.
“Of late, the vehicle OEMs are offering free services such as free content upgrades and free subscriptions to new car buyers, to increase the sales of telematics systems. AUDI is coming up with free trial cloud-based telematics services. This initiative will facilitate the customization of service packages to meet customer demands effectively. Similarly, Ford offers subscription-free limited telematics services through its Ford SYNC system for the first three years of ownership. Such free services are encouraging the adoption of telematics worldwide,” says Rakesh Panda, Lead Analyst, ICT, Technavio Research.
Automotive companies are increasingly deploying embedded telematics in vehicles to monitor system failures and vehicle performance to meet the customer demand for wireless connectivity. Nearly 80% of the plug-in electric vehicles globally are likely to be equipped with advanced telematics systems by 2017. The growing volume of vehicles with embedded devices helps cut down device prices; it also encourages insurers and general consumers to adopt usage-based insurance (UBI) products.
The leading vendors in the global commercial telematics market are AirIQ, Fleetmatics, MiX Telematics, TomTom and Trimble Navigation. The market is gaining momentum due to global partnerships and increase in competition among the vendors. New entrants are likely to establish their presence during the forecast period by delivering advanced and intelligent telematics applications that provide personalized services. This market highly fragmented with a wide range of hardware and software suppliers.
A more detailed analysis is available in the Technavio report, Global Commercial Telematics Market 2016-2020.
We can customize reports by other regions and specific segments upon request.
Other related reports:
- Automotive Telematics: Market Research Report 2015-2019
- Commercial Vehicle Telematics Market in the Americas 2015-2019
- Global Commercial Vehicle Telematics Market 2014-2018
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