How Big will Telematics Become? Try Really Big!
If you’re wondering how much bigger the telematics industry can become, think big, really big.
Consider this: according to a recent research report, the global commercial telematics market is expected to reach $114.28 billion by 2025. That translates into a 24.4% CAGR over the forecast period.
Why? New technologies have permitted the rapid penetration of smart connectivity systems in passenger cars as well as commercial vehicles. Continuous software developments to link smartphones to the vehicle to improve drive quality, increase road safety, and monitor real-time positioning of automobiles to avoid congestions in case of any emergency situations are key parameters contributing to the growth of the market.
Features such as vehicle tracking, fleet management, satellite navigation, and wireless vehicle safety ensure improved ride quality. Such features are expected to fuel the market over the forecast period.
Solutions such as infotainment systems and services such as maintenance & training services are gaining momentum pertaining to rising awareness regarding driver and passenger safety. Furthermore, supporting government regulations regarding implementation of automotive telematics are expected to drive the market over the forecast period. For instance, in March 2016, the Japanese government joined hands with the U.S. and Europe for R&D on autonomous vehicles where commercial telematics have a wide scope.
Insurance telematics accounted for 10.2% of the overall market share in 2016. The segment is anticipated to experience high demand for commercial telematics over the forthcoming years attributed to the need to increase safety and reduce the loss from accidents.
Browse full research report with TOC on “Commercial Telematics Market Size & Forecast By Solution (Fleet/Asset Management, Navigation & Location Based, Infotainment, Insurance, Safety & Security, Remote Alarm & Incident Monitoring, V2X), By Service (Integration & Deployment, Consulting & Design, Maintenance & Training Services), By Vehicle Type, By Product (Hardware, Software), By Source (Aftermarket, OEM), & Analysis, 2014 – 2025” at: https://www.hexaresearch.com/
In terms of geography, North America and Europe together dominated the global market contributing to over 65% of the revenues generated in 2016. The rise in concern of security, driver safety, and the increase in the need for vehicle tracking are some of the key factors resulting in the technology establishing a strong foothold in the regions over the past few years.
Among the players in the space are: PTC, Inc., TomTom, Zonar Systems, Inc., OCTO Telematics Ltd, Trimble Inc., Verizon, Inc., Mix Telematics International (PTY) Ltd, Koito Manufacturing, Omnitracs, LLC, Masternaut Limited, Inseego Corporation and Volkswagen Commercial Vehicles are some of the key players in the market.
Category: Connected Fleet News, General Update, News
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