Telematics solutions enable transmission of data extracted from different electronic control units (ECUs) fitted in the vehicle to identify the codes and send them to the data center for monitoring and checking vehicle performance against set standards. The adoption rate of telematics solutions is growing gradually due to concerns over maintenance notifications, duration of maintenance services and reduced overall operational costs. The consistent increase in global vehicle production is also expected to promote the deployment of telematics systems in vehicles during the forecast period.
Top 10 Players:
[180 Pages Report] Estimated at USD 29.9 billion in 2020, the telematics solutions market size is projected to reach USD 62.6 billion by 2025, growing at a CAGR of 15.9% during the forecast period. An increase in efforts by the government for developing an intelligent transportation system, developments in 5G connectivity, increasing demand for smartphone features in the car and automated driving technologies along with passenger safety features will boost the demand for telematics solutions market.
The fleet management segment for commercial vehicles is expected to hold the fastest market share owing to a decrease in the cost of running of business and fuel efficiency. Fleet management software helps running a business seamlessly by providing a plan for more efficient routes, lower excess fuel usage and eliminate risky driver habits by identifying the causes. Fleet management systems allow users to locate company vehicles on-demand, gather and store engine error codes and detect dangerous driver habits such as speeding, harsh braking, and idling. This data is invaluable for companies and it helps businesses to cut costs throughout their operation. In the forecasted period, it is expected that Asia Pacific will lead the market due to the high usage of fleet management services in commercial vehicles in China, Japan and South Korea.
The Embedded system is expected to hold the largest market for the telematics solutions market. The growth of embedded telematics solutions is attributed to various disruptive factors such as government mandates, cost optimization of service plans, and growth of cloud-based services. Many telematics services cannot be used efficiently without having an embedded connectivity solution in the car such as eCall, remote diagnostics, and many more which is increasing the adoption of embedded connectivity. Government regulations are the principal reason for the growth of embedded connectivity. Europe has already mandated eCall since March 2018. Brazil and Russia will start mandating the fitment of embedded telematics. In the longer run, it is expected that China will also introduce similar mandates for telematics, which, coupled with its rise in vehicle sales, would ensure that it becomes the leading market for embedded telematics globally.
The Asia Pacific market is expected to lead the market during the forecast period especially in China, followed by Japan and South Korea. The Asia Pacific market growth is majorly driven by upcoming government rules and regulations for telematics, increase in fleet management, and rise in concern regarding safety & security are the key factors that significantly contribute toward the growth of China, India and Southeast Asia automotive telematics solutions market. Moreover, a rise in the trend of connectivity solutions are expected to boost the growth of the APAC telematics solutions market. Also, vehicle diagnose due to the telematics systems is expected to fuel the market in Asia Pacific in the forecasted period for telematics solutions market
The global telematics solutions market is dominated by major players such as Robert Bosch GmbH (Germany), AT&T INC. (US), Continental AG (Germany), LG Electronics (South Korea), and Verizon (US). These companies have strong distribution networks at a global level and offer an extensive product range. These companies adopt strategies, such as new product developments, collaborations, and contracts & agreements to sustain their market position.
Market size available for years
Base year considered
Volume (Thousand Units) & Value (USD)
By Service, Form, Vehicle Type, Components, Aftermarket, Connectivity, Service Type (Fleet Management) and Region
North America, Asia Pacific, Europe and Rest of the World
Robert Bosch GmbH (Germany), AT&T INC. (US), Continental AG (Germany), LG Electronics (South Korea) and Verizon (US)
This research report categorizes the given market based on service, form, vehicle type, aftermarket, components, connectivity, service type (fleet management) and region
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TABLE OF CONTENT
1.2 MARKET DEFINITION
1.3 MARKET SCOPE
2 RESEARCH METHODOLOGY
2.1 RESEARCH DATA
2.2 SECONDARY DATA
2.2.1 KEY SECONDARY SOURCES FOR BASE NUMBERS
2.2.2 KEY DATA FROM SECONDARY SOURCES
2.3 PRIMARY DATA
2.3.1 SAMPLING TECHNIQUES & DATA COLLECTION METHODS
2.3.2 PRIMARY PARTICIPANTS
2.4 MARKET SIZE ESTIMATION
2.5 MARKET BREAKDOWN
2.6 ASSUMPTIONS AND RISK ASSESSMENT & RANGES
3 EXECUTIVE SUMMARY
4 PREMIUM INSIGHTS
5 MARKET OVERVIEW
5.2 YEARS CONSIDERED FOR THE STUDY
5.3 CURRENCY & PRICING
5.4 MARKET DYNAMICS
5.5 REVENUE MISSED/SHIFT: OPPORTUNITIES FOR TELEMATICS MANUFACTURES
5.5.1 TELEMATICS: MOST LIKELY SCENARIO
5.5.2 TELEMATICS: OPTIMISTIC SCENARIO
5.5.3 TELEMATICS: PESSIMISTIC SCENARIO
6 TELEMATICS SOLUTIONS MARKET, BY SERVICES
6.2 AUTOMATIC CRASH NOTIFICATION
6.3 EMERGENCY CALLING
6.4 NAVIGATION & INFOTAINMENT
6.5 ON-ROAD ASSISTANCE
6.6 REMOTE DIAGNOSTICS
6.7 VEHICLE TRACKING/RECOVERY ( FLEET MANAGEMENT)
6.8 INSURANCE RISK ASSESSMENT
6.9 DRIVER BEHAVIOUR
6.10 BILLING SERVICES
6.11 OTHERS(FUEL EFFICIENCY GUIDANCE, GEO FECING, ECO DRIVING)
7 TELEMATICS SOLUTIONS MARKET, BY FORM FACTOR
8 TELEMATICS SOLUTIONS MARKET, BY COMPONENTS
8.2 TELEMATICS CONTROL UNIT (TCU)
8.3 NAVIGATION SYSTEM
8.4 COMMUNICATION DEVICES (BLUETOOTH, WIFI, 3G, 4G, 5G)
8.5 AUDIO/VIDEO INTERFACE
8.6 CAN BUS
9 TELEMATICS SOLUTIONS MARKET, BY VEHICLE TYPE
9.1.1 PASSENGER CARS
10 TELEMATICS SOLUTIONS MARKET, BY CONNECTIVITY
10.1.1 Satellite Technology
10.1.2 Cellular Technology
11 TELEMATICS SOLUTIONS MARKET, BY AFTERMARKET
11.1.1 PASSENGER CAR AFTERMARKET
11.1.2 LCV AFTERMARKET
11.1.3 BUS AFTERMARKET
11.1.4 TRUCK AFTERMARKET
12 TELEMATICS SOLUTIONS SERVICES MARKET, BY TYPE
13 TELEMATICS SOLUTIONS MARKET, BY REGION
13.2 ASIA PACIFIC
13.2.4 South Korea
13.2.6 Rest of Asia Pacific
13.3.7 Rest of Europe
13.4 NORTH AMERICA
13.5 REST OF THE WORLD (ROW)
13.5.4 South Africa
13.5.5 Rest of Row
14 COMPETITIVE LANDSCAPE
14.2 MARKET RANKING ANALYSIS
14.3 PRODUCT COMPARISON MAPPING, BY KEY COMPETITORS
14.4 COMPETITIVE LEADERSHIP MAPPING, BY SERVICE
14.4.1 VISIONARY LEADERS
14.4.3 DYNAMIC DIFFERENTIATORS
14.4.4 EMERGING COMPANIES
14.5 STRENGTH OF PRODUCT PORTFOLIO
14.6 BUSINESS STRATEGY EXCELLENCE
14.7 WINNERS/TAIL ENDERS
14.8 COMPETITIVE LEADERSHIP MAPPING, BY HARDWARE
14.8.1 VISIONARY LEADERS
14.8.3 DYNAMIC DIFFERENTIATORS
14.8.4 EMERGING COMPANIES
14.9 STRENGTH OF PRODUCT PORTFOLIO
14.1 BUSINESS STRATEGY EXCELLENCE
14.11 WINNERS/TAIL ENDERS
14.12 COMPETITIVE SCENARIO
14.12.1 NEW PRODUCT DEVELOPMENT
14.12.4 SUPPLY CONTRACT/PARTNERSHIP
15 COMPETITIVE PROFILE
15.1 ROBERT BOSCH GMBH
15.2 CONTINENTAL AG
15.3 LG ELECTRONICS
15.5 HARMAN INTERNATIONAL
15.6 DELPHI AUTOMOTIVE PLC
15.7 VISTEON CORPORATION
15.8 MAGNETI MARELLI S.P.A.
15.9 TOMTOM INTERNATIONAL BV
15.10 QUALCOMM TECHNOLOGIES INC.
15.11 INTEL CORPORATION
15.12 ADDITIONAL COMPANY PROFILES
15.12.1 Trimble Inc
15.12.3 MiX Telematics
15.12.4 Octo Telematics
15.12.5 Airbiquity Inc.
15.12.6 Masternaut Limited
15.12.8 The Descartes Systems Group Inc.
15.12.9 Astrata Group
15.12.10 AirIQ Inc.
15.12.11 Garmin Ltd.
15.12.12 Box Telematics
15.12.13 Act soft
15.12.14 Teletrac Navman
16.1 INSIGHTS FROM INDUSTRY EXPERTS
16.2 DISCUSSION GUIDE
16.3 KNOWLEDGE STORE: MARKETSANDMARKETS SUBSCRIPTION PORTAL
16.4 AVAILABLE CUSTOMIZATION
16.5 RELATED REPORTS
16.6 AUTHOR DETAILS
The study involved four major activities in estimating the current size of the telematics solutions market. Exhaustive secondary research was done to collect information on the market, the peer market, and the parent market. The next step was to validate these findings, assumptions, and sizing with the industry experts across value chains through primary research. The bottom-up and top-down approaches were employed to estimate the complete market size. Thereafter, market breakdown and data triangulation processes were used to estimate the market size of segments and subsegments.
In the secondary research process, various secondary sources such as company annual reports/presentations, press releases, industry association publications [such as publications of vehicle sales’ OEMs, Canadian Automobile Association (CAA), country-level automotive associations and trade organizations, and the US Department of Transportation (DOT)], telematics magazine articles, directories, technical handbooks, World Economic Outlook, trade websites, and technical reports have been used to identify and collect information useful for an extensive commercial study of the telematics solutions market.
In the primary research process, various primary sources from both supply and demand sides were interviewed to obtain qualitative and quantitative information on the market. The primary sources from the supply side included various industry experts, such as CXOs, vice presidents, directors from business development, marketing, product development/innovation teams, and related key executives from different key companies. Various system integrators, industry associations, independent consultants/industry veterans, and key opinion leaders were also interviewed.
Primary interviews have been conducted to gather insights such as vehicle production forecast, connected car market forecast, future technology trends, and upcoming technologies in the related car industry. Data triangulation of all these points was done with the information gathered from secondary research as well as model mapping. Stakeholders from demand as well as supply-side have been interviewed to understand their views on the points mentioned above.
Primary interviews have been conducted with market experts from both the demand- (OEMs) and supply-side (telematics services and hardware providers) players across four major regions, namely, North America, Europe, Asia Pacific, and Rest of the Worl. Approximately 40% and 60% of primary interviews have been conducted from the demand and supply sides, respectively. Primary data has been collected through questionnaires, emails, and telephonic interviews. In the canvassing of primaries, we have strived to cover various departments within organizations, such as sales and operations, to provide a holistic viewpoint in our report.
After interacting with industry experts, we have also conducted brief sessions with highly experienced independent consultants to reinforce the findings from our primaries. This, along with the in-house subject matter experts’ opinions, has led us to the findings as described in the remainder of this report.
To know about the assumptions considered for the study, download the pdf brochure
The top-down and bottom-up approaches were used to estimate and validate the total market size. These methods were also used extensively to determine the size of various sub-segments in the market. The research methodology used to estimate the market size includes the following:
After arriving at the overall market size-using the market size estimation processes as explained above-the market was split into several segments and sub-segments. To complete the whole market engineering process and arrive at the exact statistics of each market segment and subsegment, the data triangulation, and market breakdown procedures were employed, wherever applicable. The data was triangulated by studying various factors and trends from both the demand and supply sides.
With the given market data, MarketsandMarkets offers customizations in accordance to the company’s specific needs.
Note: North America (US, Canada and Mexico), Europe (France, Germany, Spain, Italy, UK, Russia and Rest of Europe), Asia Pacific (China, India, South Korea, Thailand and Rest of Asia Pacific) and RoW (Iran, Brazil, Argentin, South Africa and Rest of RoW)
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