Skip to main content

Commercial telematics shipments to exceed 6.4 million by 2016

A new report from ABI Research predicts that global shipments of commercial telematics equipment will increase from 1.94 million in 2011 to 6.43 million in 2016. While North America is still the leading market, Asia-Pacific is set for strong growth driven by economic expansion, a booming automotive industry, and urgent requirements to use increasingly scarce resources more efficiently.
May 18, 2012 Read time: 2 mins
RSSA new report from 2130 Allied Business Intelligence Research predicts that global shipments of commercial telematics equipment will increase from 1.94 million in 2011 to 6.43 million in 2016. While North America is still the leading market, Asia-Pacific is set for strong growth driven by economic expansion, a booming automotive industry, and urgent requirements to use increasingly scarce resources more efficiently.

ABI Research senior practice director Dominique Bonte comments: “The renewed post-recession dynamics observed in the commercial telematics industry do not conceal the structural problems which still haunt this vertical industry: extreme levels of fragmentation with too many ‘Me Too,’ ‘dots on a map’ providers and proprietary solutions still dominating the industry. This results in penetration levels remaining low."

However, positive signs are visible. The industry is finally embracing convergence, as demonstrated by Mix Telematics (Mix Mobile iPad tracking application) and PeopleNet’s Windows 7 tablet on-board computer. At the same time awareness grows about the need for better business intelligence tools – tools that allow fleets to use the wealth of available data and achieve deeper integration of the concept of “location” into existing business processes and technology investments through the use of SaaS (Software as a Service) models.

Many traditional fleet management vendors such as 213 Qualcomm, 1985 Trimble and 5635 Transics remain largely focused on the high-end trucking segment, offering customised solutions via a consultative sales process. Non-trucking segments such as delivery, utility, service, oil and gas, and public and private transport are addressed by a second tier of vendors such as Mix Telematics, 1692 TomTom Business Solutions, DigiCore, and Pointer Telocation which adopt indirect sales models based on distributors, solution sellers and integrators, and offer more standardised solutions and/or APIs while leaving the integration challenge to third party vendors.

Trailer tracking is gaining momentum as awareness grows about the benefits of telematics solutions for what until recently were considered dumb assets. New players such as Transics are entering this segment. Other promising segments include construction and off-road vehicles, and the government market.

ABI Research’s new “Fleet Management and Trailer Tracking Systems” study covers both in-cab trucking and non-trucking fleet management systems and trailer tracking solutions. It contains detailed descriptions of segments and verticals, applications and functionality, market drivers and barriers, ROI, regulation and legislation, as well as subscribers, shipment and revenue forecasts.

Related Content

  • Ricardo to acquire international rail business
    April 20, 2015
    International engineering and technology company Ricardo has announced an agreement to acquire the business, operating assets and employees engaged in the businesses of LR Rail, from Lloyd's Register Group. The acquisition will be materially complete on or before 1 July 2015 and the business will operate as the core of a new international rail business within Ricardo and combined with Ricardo's existing rail industry expertise, to be branded Ricardo Rail. Current LR Rail managing director Paul Seller wi
  • Flexibility, interoperability is key to future traffic management
    February 3, 2012
    Jon Taylor of Faber Maunsell and Tabatha Bailey of Transport for London describe how an unusual mix of traffic practitioners, researchers and industry are working together to build new tools for the future. As we face higher expectations for managing congestion from both citizens and politicians, and as more and more data is becoming available from new sources, our traffic management challenge is changing.
  • Container tracking systems set for major growth
    March 14, 2012
    According to a new research report from the analyst firm Berg Insight, the number of active remote container tracking units deployed on intermodal shipping containers was 77,000 in Q4-2011.
  • RFID market will be worth over $70 billion over next five years
    April 17, 2012
    The market for RFID transponders, readers, software, and services will generate US$70.5 billion from 2012 to the end of 2017. The market was boosted by a growth of $900 million in 2011 and the market is expected to grow 20 per cent YOY per annum. Government, retail, and transportation and logistics have been identified as the most valuable sectors, accounting for 60 per cent of accumulated revenue over the next five years. “To date, the automotive sector has been a strong proponent of RFID, largely for immo