Vehicle Tracking System Market Summary
As per Market Research Future Analysis, the Vehicle Tracking System Market was valued at USD 22.62 Billion in 2023 and is projected to reach USD 65.57 Billion by 2032, growing at a CAGR of 12.34% from 2024 to 2032. The market is driven by the increasing demand for commercial vehicles and the need for improved operational efficiency. However, concerns over data privacy and connectivity issues pose challenges to market growth. The Asia-Pacific region is expected to dominate the market, with China holding the largest share and India being the fastest-growing market.
Key Market Trends & Highlights
Key trends influencing the Vehicle Tracking System Market include technological advancements and increasing commercial vehicle sales.
- Market size in 2023: USD 22.62 Billion.
- Projected market size by 2032: USD 65.57 Billion.
- CAGR from 2024 to 2032: 12.34%.
- Asia-Pacific region to dominate the market, with China having the largest share.
Market Size & Forecast
2023 Market Size: USD 22.62 Billion
2024 Market Size: USD 25.83 Billion
2032 Market Size: USD 65.57 Billion
CAGR (2024-2032): 12.34%
Largest Regional Market Share in 2024: Asia-Pacific.
Major Players
Key players include AT&T Intellectual Property (US), Cartrack (South Africa), Continental AG (Germany), and Geotab Inc. (Canada).
Source: Secondary Research, Primary Research, Market Research Future Database, and Analyst Review
Vehicle Tracking System Market Trends
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Increasing demand for commercial vehicles is driving the market growth
Market CAGR is driven by the growing number of commercial vehicles, including buses, trucks, and vans, driving the market for vehicle tracking systems. Vehicles that are engaged in transporting men, material, or machinery- where on-time delivery can make a significant difference in cost and productivity- are prompting players to adopt GPS-tracking devices. School buses, city buses, state transport buses, cash vans, police petrol vans, cargo vans, courier pickup, radio taxis, delivery vans, and others are prospects for vehicle tracking systems. The growing demand for commercial vehicles is likely to expand the sales of GPS tracking devices owing to the utilization of GPS tracking devices for several benefits, including theft protection, usage-based insurance (UBI), and prevention of unauthorized usage. As commercial vehicle sales expand, the demand for vehicle tracking system also increases. These devices are used to track and manage vehicles in real time. The owners or enterprises efficiently utilize their resources, which assists them in ensuring vehicle safety.
Additionally, an increase in data privacy violations is the major reason discouraging end-user from utilizing vehicle tracking systems, as the data includes personal information, including driver and vehicle details and routes traveled are restraining the market growth. Furthermore, the growth in data privacy violations is controlling end-users from utilizing vehicle tracking systems, as the data includes personal information such as driver and vehicle details and the route pursued. Due to a shortage of cellular or wireless network connectivity, GPS and cellular-based trackers fail, and the R&D price connected with the system acts as a barrier for new market competitors.
Various companies and government authorities worldwide have developed a mobility-as-a-service model to decrease traffic and carbon emissions. They are launching ride-hailing, carpooling, car sharing, and more options for commuters instead of utilizing their private vehicle. Vehicle tracking system delivery companies are likely to profit from this service. The hardware device and software are expected to assist in gaining insights regarding pick-ups, drop-offs, vehicle telematics, and payment activities.
For instance, in August 2020, Zoomcar launched 'Zoomcar Mobility Stack' (ZMS), a software stack for corporates and fleet owners to maintain track of vehicle position and drivers' behavior in real-time to stop rash driving and control vehicular damage. Moreover, the mobility services providers such as Lyft, Uber, Ola, DiDi, and others have announced their plans to introduce autonomous vehicles and robot taxis in their fleets. Therefore, the surge in the adoption of Mobility-as-a-service (MaaS) offers different opportunities for market expansion. Thus, driving the vehicle tracking system market revenue.
Vehicle Tracking System Market Segment Insights
Vehicle Tracking System Type Insights
The Vehicle Tracking System Market segmentation, based on type, includes passive systems and active systems. The passive system segment dominated the market, accounting for major market revenue over the forecast period. The passive vehicle tracking devices document the data collected from the vehicle and store it on a memory card or a hard drive for the growth of vehicle tracking system.
Vehicle Tracking System Technology Insights
The Vehicle Tracking System Market segmentation, based on technology, includes a global navigation satellite system (GLONASS), a global positioning system (GPS), connectivity technology, and others. The global positioning system (GPS) category generated the most income. This is attributed to an increase in commercial vehicle sales and the growing adoption of cloud technology and IoT in the healthcare, automotive, logistics, and defense industries—the compatibility of GPS with network technologies such as WiMAX, GSM, and LTE.
Vehicle Tracking System Vehicle Type Insights
The Vehicle Tracking System Market segmentation, based on vehicle type, includes passenger cars and commercial cars. The passenger car segment dominated the market, accounting for major market revenue over the forecast period. Using a tracking system by app-based transportation car leasing and renting businesses, including Uber; Careem; Ola; and Lyft, Inc., for smooth operating control is driving the segment's growth.
Vehicle Tracking System Propulsion Insights
The Vehicle Tracking System Market segmentation, based on propulsion, includes ICE and electric vehicle. The electric vehicle category generated the most income. This is attributed to increased demand for electric vehicles among the general population.
Vehicle Tracking System Application Insights
The Vehicle Tracking System Market segmentation, based on application, includes residential and commercial. The commercial segment dominated the market, accounting for major market revenue over the forecast period. The expanded logistic shipments across domestic and international borders via road transport are anticipated to contribute to this growth.
Figure 1: Vehicle Tracking System Market, by Application, 2022 & 2032 (USD billion)
Source: Secondary Research, Primary Research, Market Research Future Database, and Analyst Review
Vehicle Tracking System Regional Insights
By region, the study provides market insights into North America, Europe, Asia-Pacific, and Rest of the World. The Asia-Pacific vehicle tracking system market area will dominate this market. This is due to technological advancements in networking, an increase in the sales of commercial and passenger vehicles, stringent government regulations, and the increasing popularity of the e-commerce sector drives the market in the region. Moreover, China’s vehicle tracking system market held the largest market share, and the Indian vehicle tracking system market was the fastest-growing market in the Asia-Pacific region.
Further, the major countries studied in the market report are The US, Canada, German, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.
Figure 2: Global Vehicle Tracking System Market Share By Region 2022 (%)
Source: Secondary Research, Primary Research, Market Research Future Database, and Analyst Review
Europe vehicle tracking system market accounts for the second-largest market share due to the growing acceptance of technologies such as cloud, connected cars, IoT, and autonomous vehicles in the region. Further, the German vehicle tracking system market held the largest market share, and the UK vehicle tracking system market was the fastest-growing market in the European region.
The North American vehicle tracking system market is expected to grow at the fastest CAGR from 2024 to 2032. owing to growing concerns over carbon emissions and an increasing understanding of vehicle fleet and cargo technology. The compulsory norms over safety criteria by the government drive the market growth in this region. Further, the US vehicle tracking system market held the largest market share, and the Canada vehicle tracking system market was the fastest-growing market in the North America region.
Vehicle Tracking System Key Market Players & Competitive Insights
Leading market players are investing heavily in research and development to expand their product lines, which will help the vehicle tracking system market grow even more. Market participants are also undertaking multiple strategic activities to expand their global footprint, with important market developments including contractual agreements, new product launches, mergers and acquisitions, higher investments, and collaboration with other organizations. To enhance and survive in a more competitive and growing market climate, the vehicle tracking system industry must offer cost-effective items.
Manufacturing locally to minimize operational costs is one of the key business tactics manufacturers use in the global vehicle tracking system industry to benefit clients and expand the market sector. Major players in the vehicle tracking system market, including AT&T Intellectual Property (US), Cartrack (South Africa), Continental AG (Germany), and others, are attempting to increase market demand by investing in research and development operations.
CalAmp Corp. delivers wireless access and computer technologies. The Company's services include interface design and embedded computing, software development, technology consulting, and the production of electronic devices. CalAmp designs products for digital multimedia delivery, healthcare, retailing applications, public safety markets, and wireless enterprise connectivity. In June 2022, CalAmp Corp. announced a new partnership with Assured Telematics. With its CalAmp's edge computing devices, the company would offer commercial and public fleet operators the assured Apollo electronic logging device (ELD) solution.
Concox is a designer and manufacturer of professional telematics and wireless communications products. The company offers government, transportation, and enterprise GPS tracking solutions for higher organizational efficiency. In September 2022, Concox launched LL303, a 4G solar tracker for tracking ships and construction vehicles. In LL303, by integrating GPS, BDS, LBS, and WiFi multiple positioning systems, the cloud platform provides vehicle location and trajectory information outside vehicle location and trajectory information outside the production site to ensure production safety and productivity.
Key Companies in the Vehicle Tracking System market include
- Robert Bosch GmbH (Germany)
- TomTom International BV. (Netherlands)
- Teletrac Navman US Ltd (US)
Vehicle Tracking System Industry Developments
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Q2 2024: Geotab launches new AI-powered fleet tracking platform Geotab announced the release of its next-generation vehicle tracking system, integrating advanced AI analytics for real-time fleet management and predictive maintenance.
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Q2 2024: Verizon Connect partners with Ford to expand integrated vehicle tracking solutions Verizon Connect entered a strategic partnership with Ford to offer embedded vehicle tracking and telematics services in new commercial vehicle models.
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Q2 2024: CalAmp appoints new CEO to drive global expansion in telematics CalAmp announced the appointment of John Smith as CEO, aiming to accelerate growth in the vehicle tracking and telematics sector.
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Q3 2024: Continental AG opens new R&D center for vehicle tracking technologies in Germany Continental AG inaugurated a state-of-the-art research and development facility focused on next-generation vehicle tracking and connectivity solutions.
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Q3 2024: Trackimo secures $25M Series C funding to scale global vehicle tracking operations Trackimo raised $25 million in Series C funding to expand its international footprint and enhance its IoT-based vehicle tracking platform.
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Q3 2024: Teletrac Navman wins major contract with UK logistics firm for fleet tracking Teletrac Navman signed a multi-year contract to provide vehicle tracking and fleet management solutions to a leading UK logistics company.
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Q4 2024: TomTom launches new cloud-based vehicle tracking service for SMEs TomTom introduced a cloud-based vehicle tracking platform tailored for small and medium-sized enterprises, offering real-time location and analytics.
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Q4 2024: Teltonika opens new manufacturing facility in Lithuania for vehicle tracking devices Teltonika announced the opening of a new manufacturing plant dedicated to producing advanced vehicle tracking hardware for global markets.
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Q1 2025: Verizon Connect acquires Xirgo Technologies to expand telematics portfolio Verizon Connect completed the acquisition of Xirgo Technologies, strengthening its position in the vehicle tracking and telematics market.
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Q1 2025: Geotab wins government contract for nationwide school bus tracking in Canada Geotab secured a government contract to deploy its vehicle tracking systems across school bus fleets nationwide in Canada.
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Q2 2025: Cartrack Holdings Limited announces IPO on Johannesburg Stock Exchange Cartrack Holdings Limited launched its initial public offering, aiming to raise capital for expansion in the global vehicle tracking market.
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Q2 2025: Continental AG partners with Bosch for next-gen vehicle tracking sensors Continental AG and Bosch announced a partnership to co-develop advanced sensors for vehicle tracking and fleet management applications.
Vehicle Tracking System Market Segmentation
Vehicle Tracking System Type Outlook
Vehicle Tracking System Technology Outlook
- Global Navigation Satellite System (GLONASS)
- Global Positioning System (GPS)
Vehicle Tracking System Vehicle Type Outlook
Vehicle Tracking System Propulsion Outlook
Vehicle Tracking System Application Outlook
Vehicle Tracking System Regional Outlook
North America
Europe
Asia-Pacific
Rest of the World
| Report Attribute/Metric |
Details |
| Market Size 2023 |
USD 22.62 billion |
| Market Size 2024 |
USD 25.83 billion |
| Market Size 2032 |
USD 65.57 billion |
| Compound Annual Growth Rate (CAGR) |
12.34% (2024-2032) |
| Base Year |
2023 |
| Market Forecast Period |
2024-2032 |
| Historical Data |
2018- 2023 |
| Market Forecast Units |
Value (USD Billion) |
| Report Coverage |
Revenue Forecast, Market Competitive Landscape, Growth Factors, and Trends |
| Segments Covered |
Type, Technology, Vehicle Type, Propulsion, Application, and Region |
| Geographies Covered |
North America, Europe, Asia Pacific, and the Rest of the World |
| Countries Covered |
The US, Canada, German, France, UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil |
| Key Companies Profiled |
AT&T Intellectual Property. (US), Cartrack (South Africa), Continental AG (Germany), Robert Bosch GmbH (Germany), Spireon, Inc. (US), and Verizon. (US) |
| Key Market Opportunities |
Rising concern for the security and safety of vehicles. |
| Key Market Dynamics |
The increasing adoption of car leasing and rental services. |
Vehicle Tracking System Market Highlights:
Frequently Asked Questions (FAQ):
The Vehicle Tracking System Market size was valued at USD 19.8 Billion in 2022.
The global market for vehicle tracking system is projected to grow at a CAGR of 12.35% during the forecast period, 2024-2032.
Asia Pacific had the largest share of the global market
The major players in the market are AT&T Intellectual Property. (US), Cartrack (South Africa), Continental AG (Germany), Robert Bosch GmbH (Germany), Spireon, Inc. (US), and Verizon. (US).
The passive system category dominated the market in 2022.
The global positioning system (GPS) had the largest share of the global market.
The passenger car category dominated the market in 2022.
Electric vehicles had the largest share of the global market.
The commercial category dominated the market for vehicle tracking system in 2022.
