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US Tracking as a Service Market

ID: MRFR/ICT/16678-HCR
100 Pages
Garvit Vyas
October 2025

US Tracking as a Service Market Research Report: By Deployment (On Cloud, On-premise) and By End User (Retail, Manufacturing, E-commerce, Transportation and Logistics, Healthcare, Other End-user Industries) - Forecast to 2035

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US Tracking as a Service Market Summary

As per MRFR analysis, the US tracking as-a-service market size was estimated at 474.42 USD Million in 2024. The US tracking as-a-service market is projected to grow from 489.46 USD Million in 2025 to 668.67 USD Million by 2035, exhibiting a compound annual growth rate (CAGR) of 3.17% during the forecast period 2025 - 2035.

Key Market Trends & Highlights

The US tracking as-a-service market is experiencing robust growth driven by technological advancements and increasing demand for real-time data.

  • The integration of AI and Machine Learning is transforming tracking solutions, enhancing accuracy and efficiency.
  • Data security and compliance are becoming paramount as businesses seek to protect sensitive information in tracking systems.
  • The IoT-enabled tracking solutions segment is the fastest-growing, reflecting the rising demand for interconnected devices.
  • Rising demand for real-time data and increased adoption of cloud technologies are key drivers propelling market expansion.

Market Size & Forecast

2024 Market Size 474.42 (USD Million)
2035 Market Size 668.67 (USD Million)

Major Players

Verizon (US), AT&T (US), Vodafone (GB), Telefónica (ES), T-Mobile (DE), Orange (FR), Cisco (US), IBM (US), SAP (DE)

US Tracking as a Service Market Trends

the tracking as-a-service market is experiencing notable growth, driven by the increasing demand for real-time data and analytics across various sectors. Organizations are increasingly recognizing the value of tracking solutions to enhance operational efficiency, improve customer experiences, and optimize resource allocation. This trend is particularly evident in logistics, retail, and healthcare, where precise tracking capabilities can lead to significant cost savings and improved service delivery. As technology continues to evolve, the integration of advanced features such as artificial intelligence and machine learning into tracking solutions is becoming more prevalent, further enhancing their effectiveness and appeal. Moreover, the rise of mobile technology and the Internet of Things (IoT) is reshaping the landscape of the tracking as-a-service market. Businesses are leveraging these technologies to gather and analyze vast amounts of data, enabling them to make informed decisions swiftly. The emphasis on data security and privacy is also influencing the market, as organizations seek solutions that comply with regulatory standards while providing robust tracking capabilities. Overall, the tracking as-a-service market appears poised for continued expansion, with innovations and evolving consumer needs driving its trajectory.

Integration of AI and Machine Learning

The incorporation of artificial intelligence and machine learning into tracking solutions is transforming the market. These technologies enhance data analysis, enabling businesses to derive actionable insights from tracking data. As a result, organizations can anticipate trends, optimize operations, and improve decision-making processes.

Focus on Data Security and Compliance

With the increasing reliance on tracking solutions, there is a heightened focus on data security and compliance. Organizations are prioritizing solutions that adhere to regulatory standards, ensuring that sensitive information is protected while still delivering effective tracking capabilities.

Growth in IoT-Enabled Tracking Solutions

The proliferation of Internet of Things devices is driving the demand for IoT-enabled tracking solutions. These technologies allow for seamless data collection and real-time monitoring, providing businesses with enhanced visibility and control over their operations.

US Tracking as a Service Market Drivers

Rising Demand for Real-Time Data

The tracking as-a-service market is experiencing a notable surge in demand for real-time data analytics. Businesses across various sectors are increasingly recognizing the value of immediate insights for operational efficiency and decision-making. This trend is particularly pronounced in logistics and supply chain management, where companies are leveraging tracking solutions to monitor assets in real-time. According to recent estimates, the market for real-time tracking solutions is projected to grow at a CAGR of approximately 15% over the next five years. This growth is driven by the need for enhanced visibility and responsiveness in operations, which is becoming a critical factor for competitive advantage in the tracking as-a-service market.

Regulatory Compliance and Standards

Regulatory compliance is becoming a pivotal driver in the tracking as-a-service market. As industries face increasing scrutiny regarding data privacy and security, companies are compelled to adopt tracking solutions that adhere to stringent regulations. The implementation of standards such as the General Data Protection Regulation (GDPR) and the California Consumer Privacy Act (CCPA) has heightened the focus on compliance. Organizations are investing in tracking services that ensure data integrity and security, which is expected to account for approximately 25% of the market growth in the coming years. This emphasis on compliance not only mitigates risks but also enhances customer trust in the tracking as-a-service market.

Increased Adoption of Cloud Technologies

The shift towards cloud-based solutions is significantly influencing the tracking as-a-service market. Organizations are increasingly adopting cloud technologies to enhance scalability, flexibility, and cost-effectiveness in their tracking operations. The cloud enables businesses to access tracking services without the need for extensive on-premises infrastructure, thus reducing capital expenditures. As of November 2025, it is estimated that around 70% of companies in the US have migrated at least part of their tracking operations to the cloud. This transition not only streamlines processes but also facilitates the integration of advanced analytics and machine learning capabilities, further propelling the growth of the tracking as-a-service market.

Expansion of E-commerce and Delivery Services

The rapid expansion of e-commerce and delivery services is significantly impacting the tracking as-a-service market. As online shopping continues to gain traction, businesses are increasingly reliant on tracking solutions to manage logistics and enhance customer experience. The demand for efficient last-mile delivery solutions has surged, prompting companies to invest in advanced tracking technologies. It is projected that the e-commerce sector will contribute to a 30% increase in the adoption of tracking services by 2026. This growth is indicative of the critical role that tracking plays in ensuring timely deliveries and maintaining customer satisfaction in the tracking as-a-service market.

Technological Advancements in Tracking Solutions

Technological advancements are driving innovation within the tracking as-a-service market. The integration of cutting-edge technologies such as GPS, RFID, and blockchain is enhancing the accuracy and reliability of tracking solutions. These innovations are enabling businesses to track assets with unprecedented precision, thereby improving operational efficiency. As of November 2025, it is estimated that investments in technology-driven tracking solutions will account for over 40% of the total market expenditure. This trend suggests that companies are prioritizing technology to gain a competitive edge, ultimately shaping the future landscape of the tracking as-a-service market.

Market Segment Insights

By Deployment: On Cloud (Largest) vs. On-premise (Fastest-Growing)

The US tracking as-a-service market is currently dominated by the 'On Cloud' deployment model, which captures a significant share of the market. This model benefits from the increasing demand for scalable solutions, as organizations prioritize flexibility and cost-effectiveness. The convenience of cloud services offers businesses the ability to access resources from anywhere, contributing to a growing preference for this deployment type. Conversely, 'On-premise' solutions have seen a rise in adoption, fueled by specific industry needs and concerns over data security. This segment focuses on organizations that prefer to maintain direct control over their data and applications, thus allowing for tailored infrastructures.

Deployment: On Cloud (Dominant) vs. On-premise (Emerging)

The 'On Cloud' deployment model is characterized by its flexibility and ability to offer scalable solutions to businesses of all sizes. It is particularly dominant in sectors that require rapid deployment and the capacity to scale operations seamlessly. In contrast, the 'On-premise' model is emerging as companies seek to address specific regulatory or security concerns that mandate data to reside within their own facilities. While 'On Cloud' caters to a fast-paced, dynamic market, 'On-premise' solutions allow organizations to customize their environments extensively. Thus, while On Cloud leads in overall adoption, On-premise continues to grow rapidly as it appeals to enterprises focused on data control and security.

By End User: Retail (Largest) vs. E-commerce (Fastest-Growing)

The US tracking as-a-service market shows a diverse distribution of end-users with Retail leading the market due to its extensive integration of technology in supply chains. Manufacturing follows closely, utilizing as-a-service models to enhance operational efficiency. E-commerce is rapidly gaining traction, leveraging these services to streamline operations and respond to consumer demand in real time. Transportation and Logistics, Healthcare, and other sectors also contribute significantly, driving the overall market growth. Recent trends indicate a shift towards digital transformation across industries, with E-commerce emerging as a key driver due to increased online shopping demands. Retail continues to adapt by enhancing customer experiences through innovative service models. Healthcare is also on the rise, prompted by the need for efficient service delivery. As technology evolves, the demand for flexibility and scalable solutions in various end-user industries will further accelerate growth in the US tracking as-a-service market.

Retail (Dominant) vs. Healthcare (Emerging)

Retail stands as the dominant end-user in the US tracking as-a-service market, fostering a customer-centric approach to service delivery that emphasizes speed and efficiency. This sector utilizes advanced data analytics and supply chain optimization to meet consumer expectations and stay competitive. On the other hand, Healthcare is an emerging segment that is increasingly adopting as-a-service solutions to streamline operations and enhance patient outcomes. The growth in telehealth and digital health services reflects a significant shift towards technology-driven solutions, albeit at a slower pace compared to Retail. Both sectors are leveraging these services to address operational challenges, improve efficiency, and respond effectively to market demands.

Get more detailed insights about US Tracking as a Service Market

Key Players and Competitive Insights

The tracking as-a-service market is currently characterized by a dynamic competitive landscape, driven by technological advancements and increasing demand for real-time data analytics. Major players such as Verizon (US), AT&T (US), and Cisco (US) are strategically positioning themselves through innovation and partnerships. Verizon (US) focuses on enhancing its IoT capabilities, while AT&T (US) emphasizes its 5G network to support tracking solutions. Cisco (US) leverages its expertise in networking to provide integrated tracking services, thereby shaping a competitive environment that prioritizes technological integration and customer-centric solutions.

Key business tactics within this market include localizing manufacturing and optimizing supply chains to enhance service delivery. The competitive structure appears moderately fragmented, with several key players exerting influence over market dynamics. This fragmentation allows for diverse offerings, yet the collective strength of major companies like Verizon (US) and AT&T (US) creates a formidable presence that shapes market trends and customer expectations.

In October 2025, Verizon (US) announced a partnership with a leading logistics firm to enhance its tracking capabilities through advanced AI analytics. This strategic move is likely to bolster Verizon's position in the market by providing clients with more accurate and timely data, thereby improving operational efficiency. The integration of AI into tracking services may also set a new standard for data-driven decision-making in logistics.

In September 2025, AT&T (US) launched a new suite of tracking solutions specifically designed for the transportation sector, leveraging its extensive 5G network. This initiative is significant as it not only showcases AT&T's commitment to innovation but also addresses the growing need for reliable tracking solutions in an increasingly mobile world. The enhanced connectivity provided by 5G is expected to facilitate real-time tracking, which could transform operational practices across various industries.

In August 2025, Cisco (US) unveiled a new platform that integrates IoT devices with its tracking services, aiming to provide a seamless user experience. This development is indicative of Cisco's strategy to capitalize on the convergence of IoT and tracking technologies. By offering a comprehensive solution, Cisco may enhance its competitive edge and attract a broader customer base seeking integrated services.

As of November 2025, current trends in the tracking as-a-service market include a strong emphasis on digitalization, sustainability, and AI integration. Strategic alliances among key players are increasingly shaping the competitive landscape, fostering innovation and enhancing service offerings. Looking ahead, it appears that competitive differentiation will evolve, with a shift from price-based competition to a focus on technological innovation and supply chain reliability. Companies that prioritize these aspects may find themselves better positioned to meet the demands of a rapidly changing market.

Key Companies in the US Tracking as a Service Market market include

Industry Developments

The US Tracking as a Service Market has experienced significant growth, driven by increasing demand for innovative tracking solutions across various sectors. Notably, SAP and IBM have recently expanded their service offerings, enhancing their cloud-based tracking solutions to incorporate advanced analytics capabilities. In October 2023, Twilio announced the acquisition of a startup focused on improving location tracking APIs, further solidifying its position in the market. Trimble and Microsoft have also reported substantial growth in their integrated tracking systems, aligning their services with cloud infrastructure to support logistics and supply chain operations more efficiently.

Current affairs highlight an increasing adoption of Tracking as a Service among small to medium businesses seeking to enhance operational visibility and customer engagement. Over the past few years, significant trends include the rise of IoT integration into tracking services and the growing emphasis on data security and compliance among providers like Salesforce and Adobe. This market evolution reflects the ongoing transition towards digital transformation in the US economy, making tracking solutions pivotal in various industries and fostering competitive innovation.

Future Outlook

US Tracking as a Service Market Future Outlook

The tracking as-a-service market is projected to grow at a 3.17% CAGR from 2024 to 2035, driven by technological advancements and increasing demand for real-time data analytics.

New opportunities lie in:

  • Integration of AI-driven analytics for predictive maintenance
  • Development of customizable tracking solutions for niche industries
  • Expansion of subscription-based models for enhanced customer engagement

By 2035, the market is expected to achieve robust growth, driven by innovation and evolving customer needs.

Market Segmentation

US Tracking as a Service Market End User Outlook

  • Retail
  • Manufacturing
  • E-commerce
  • Transportation and Logistics
  • Healthcare
  • Other End-user Industries

US Tracking as a Service Market Deployment Outlook

  • On Cloud
  • On-premise

Report Scope

MARKET SIZE 2024 474.42(USD Million)
MARKET SIZE 2025 489.46(USD Million)
MARKET SIZE 2035 668.67(USD Million)
COMPOUND ANNUAL GROWTH RATE (CAGR) 3.17% (2024 - 2035)
REPORT COVERAGE Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
BASE YEAR 2024
Market Forecast Period 2025 - 2035
Historical Data 2019 - 2024
Market Forecast Units USD Million
Key Companies Profiled Verizon (US), AT&T (US), Vodafone (GB), Telefónica (ES), T-Mobile (DE), Orange (FR), Cisco (US), IBM (US), SAP (DE)
Segments Covered Deployment, End User
Key Market Opportunities Integration of advanced analytics and IoT enhances efficiency in the tracking as-a-service market.
Key Market Dynamics Growing demand for real-time data analytics drives innovation in the tracking as-a-service market.
Countries Covered US

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FAQs

What is the expected market size of the US Tracking as a Service Market in 2024?

The market size is expected to be valued at 540.0 million USD in 2024.

What is the projected market size for the US Tracking as a Service Market by 2035?

By 2035, the market is projected to reach approximately 3637.34 million USD.

What is the expected CAGR for the US Tracking as a Service Market between 2025 and 2035?

The expected CAGR for the market during this period is 18.935 percent.

Which segment will have a higher market value in 2035, On Cloud or On-premise?

The On-premise segment is expected to have a higher market value of approximately 2424.987 million USD in 2035.

What is the market value for the On Cloud segment in 2024?

The On Cloud segment is expected to be valued at 216.0 million USD in 2024.

Who are the major players in the US Tracking as a Service Market?

Key players in the market include SAP, Oracle, IBM, Microsoft, and Amazon, among others.

What is the expected market growth rate for the US Tracking as a Service Market?

The market is expected to grow significantly, driven by various emerging trends and technologies.

What are some key applications driving the US Tracking as a Service Market growth?

Key applications include logistics and supply chain management, asset tracking, and real-time data monitoring.

How does regional development affect the US Tracking as a Service Market?

Regional development plays a crucial role, as different areas may have varying demands and technological adoption rates.

What challenges does the US Tracking as a Service Market face?

The market faces challenges such as data privacy concerns and the need for technological advancements to keep pace with customer expectations.

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