The telematics market is the integrated use of telecommunications and informatics for sending, receiving and storing information to control remote objects. With the global use of advanced technology, the telematics market had widened its horizon to vehicle technologies, electrical engineering, computer science, and many more. The telematics market is largely driven by Wireless Connectivity
in automobiles, the industrial sector, and many others. Due to the various initiatives taken by the government for on-road public safety, the growth of the telematics market has increased many folds. Because of the changing market scenario, many crucial businesses are changing, their business strategy and starting to dealing cost-effectively.
Now the companies are keeping a keen insight on product development, acquisition, and mergers. Many big giants are investigating a lot of capital in the research and development of innovative telematics solutions. The telematics market is expected to grow at 16.20% CAGR during the forecast period (2020-2030) and reach a total valuation of USD 61.27 billion over the same period.
COVID 19 Analysis
The global pandemic of COVID 19 has badly impacted the lives of the people. It not only affected the health sector but also crushed the economic sector. Due to the downfall of the businesses economies have shifted towards forced recession across the globe. The shutdown of various manufacturing sectors and lack of labor had affected the telematics solutions market badly. It is expected that the companies will recover during the end of the first quarter and starting of the first quarter in the coming year.
To get out of this deep loss spiral, businesses have to strategize accordingly. They have to see what are their opportunities in the global market, and what can be the expected threat which is very much done by the telematics solutions market. They have analyzed their potential customers and planned their business strategies accordingly.Competitive Landscape
There are many giant key players in the telematics research market across the globe. Some of these giants are mentioned below:
- Verizon Communication Inc. (U.S.)
- HARMAN International Industries Inc. (U.S.)
- Tom-Tom International BV (Netherlands)
- AT&T (U.S.)
- Vodafone Group Plc. (U.K)
- Ford Motor Company (U.S.)
- BMW Group (Germany)
- Telefonica SA (Spain)
- Mix Telematics (South Africa)
- Trimble Navigation Ltd. (U.S.)
- Tantalum Corporation (U.K.)
- NXP Semiconductors (Netherlands)
- Calamp Corp. (U.S.)
- ORBCOMM Inc. (U.S.)
The increasing growth of the telematics solution market is possible because of the emerging advancement in digital technology. The telematics solutions market has made possible communication between humans and machines and they are expected to grow further during the forecasted period. Artificial Intelligence which is the root cause in transportation, automation, construction, and industrial applications is one of the fastest-growing technology.
Telematics solutions are evolving in themselves and covering all the broader areas such as infrastructure, automotive, road, and health, and much more behavior the telematics market Industry is at the boom. It is also increasing its logistics and transport sector because of the growing demand shortly. It is expected to grow with a high CAGR of 20% soon which has many opportunities in the global market.
Telematics solutions with various opportunities in the global market also come with many threats and restraints. The most prominent restraint is the high initial cost and the high maintenance cost of the telematics market products. Since telematics solutions is a concept based on technology, it attracts various cyber-attacks. Hence businesses should take proper cybersecurity-related measures.
Value Chain Analysis
The telematics solution is the new technology trend. With the help of the telematics solutions market, accidents have reduced many times as it reports speeding and aggressive braking. It helps in improving the performance categorize drivers and their behaviour included. It ensures road safety for the fleet of vehicles. The new trend of telematics solutions also helps in in-cab coaching device that gives instant feedback regarding driving skills.
The telematics solutions market has shown a new way in the world of driving. Because of the increasing standards of telematics solutions, now businesses are spending a lot in research and development for the production of new products and to improve the existing products. So that they can make good quality cost-effective products to increase their profit margins.
The telematics research market is categorised based on technology, services, and application.
By the Technology
The telematics research market, based on technology is divided into embedded, portable, and hybrid.
By the Services
The telematics research market, based on services can be categorized as navigation services, diagnostic services, on-demand infotainment service, and maintenance and security service.
By the Application
The telematics research market, based on the application can be sub-divided into commercial applications, automotive applications, IT and Telecommunication applications, healthcare, and government.
The global telematics research market is dominated by North America due to its high adoption of technology in recent years. Among all the countries in North America, the United States holds the major share for its growth mainly in commercial telematics. Not only this, high demand for a premium car with great comfort and advanced safety features has driven high growth in the global telematics research market.
Europe region is giving tough competition to North America and hence gets the second position globally. Europe region is leading due to the advancement in the automobile industry. As the Asia-Pacific region is the fastest-growing region in all the perspectives, it holds the third position in the global market share of the telematics research market. This is also because of the increase in initiatives taken by the government.
- With the help of the telematics solution market, one can collect data regarding the behavior of a driver, location patterns, insurance, fleet logistics through GPS and mobile phone sensors. It helps in analyzing geo zones, driving style, performance, and point of interest.
- Due to its high accuracy in collecting data by adopting cost-effective UBI technology, the telematics solution market is used in the insurance sector also. Now the insurance company does not have pay to any other manufacturer for making UBI hardware. The smartphone-based UBI policies minimize the operating cost and hence increases profit margin.
- Shortly, it is estimated that the Advanced Driver Assistance System (ADAS), Mobility-as-a-Service providers (MaaS), and CASE, the entry of new industries utilizing internet of thing technology, and many others will also emerge along with autonomous vehicles technology.
- With the growth of the telematics solutions market, many start-ups harness mobile-based technology’s power to improve driving habits, including distracted driving. It also has a way of getting driving data from sensors on smartphones.
- Many insurance companies have launched a smartphone-based telematics platform to power new mobility telematics solutions. This uses a telematics platform to analyze data collected from smartphone sensors. It also detects excessive speeding, aggressive braking, and many other things.
- Telematics market research report consists of the following:
- Market overview
- COVID 19 Analysis
- Market Dynamics of Telematics market
- Value Chain Analysis
- Market Segmentation of Telematics market
- Regional Analysis
- Competitive Landscape
- Recent Developments
This report tells about the various growth opportunities available in the global market for the telematics solution market. This also captures the ill effects of the global pandemic of COVID 19 on the overall life of businesses. This report also covers various functions of the telematics solutions in the past. The estimation of future growth of the telematics solution market in the coming years is forecasted and mentioned.
Application programming interface, yard navigation, social media integration, direct connections with customers, photo reporting, video, OEM/Factory-Fit, improved prognostics for vehicle maintenance, cloud enablement.
Telematics solution market is used by smart components manufacturers, government agencies, electronic components manufacturers, value-added resellers, auto parts sellers, research firms, automation, and control networking technologies vendors, component manufacturers (sensors and controls), and many others.
USD 61.27 billion
Value (USD Billion)
Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
North America, Europe, Asia-Pacific, and Rest of the World (RoW)
Verizon Communication Inc. (U.S.), HARMAN International Industries Inc. (U.S.), Tom-Tom International BV (Netherland), AT&T (U.S.), Vodafone Group Plc. (U.K.), Ford Motor Company (U.S.), BMW Group (Germany), Telefonica SA (Spain), Mix Telematics (South Africa), and Trimble Navigation Ltd. (U.S.)
Key Market Opportunities
To get out of this deep loss spiral, businesses have to strategize accordingly. \r\nThey have to see what are their opportunities in the global market,
Key Market Drivers
The increasing growth of the telematics solution market is possible because of the emerging advancement in digital technology. \r\nThe telematics solutions market has made possible communication between humans and machines and they are expected to grow further during the forecasted period.
Frequently Asked Questions (FAQ) :
Increasing implementation of renewable sources of energy within an electric vehicle, mounting demand for wireless connectivity in automobiles, a surge in information and communication technology and telecommunications across various sectors, and rising government initiatives for on-road public safety are some factors that drive the market of telematics solutions.
The hybrid segment, portable segment, embedded segment are the two segments, in the technology segment.
Prominent vendors are constantly innovating their products and also making large investments in research and development to offer an expansive, cost-effective portfolio. In recent years, the market has experienced many mergers and acquisitions between the players, with the aim to better their position in the coming years.
Embedded, portable and hybrid are the top segments, depending on technology.
Rising application of telematics in industries such as automotive, transportation, logistics, supply chain, healthcare, IT & Telecommunication and retail are the factors responsible for the massive market growth in Europe.
The rising use of telematics solutions in various sectors like in automotive sector, logistics sector, transportation sector supply chain sector, healthcare sector, IT and telecommunication sector, and retail sector are responsible for the tremendous market growth rate in Europe
The most prominent market trend is the increase in Artificial Intelligence in the telematics solutions market.
Key Questions Answered
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