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

  • Snack company invests in TomTom fleet management
    July 29, 2013
    UK snack manufacturer Tayto has partnered with TomTom, supported by official TomTom partner Fleet Simplicity, to deploy Link tracking units and ecoPlus fuel management and diagnostics devices across its 117-strong vehicle fleet. This combined tracking, performance monitoring and fuel management system provides improved visibility and insights into its mobile teams of sales, management and distribution professionals. The system enables information on how vehicles are being driven, from speeding and idling t
  • Europe will lead global hybrid and electric truck and bus market
    August 14, 2012
    Europe will emerge as the most competitive regional market for hybrid and electric medium-heavy trucks and buses, globally, according to Frost & Sullivan. This will be particularly true for the transit bus segment, which is expected to experience proliferation of competitors, both on the original equipment manufacturer (OEM) and supplier side. Strategic Analysis of the Medium- to Heavy-duty Hybrid and Electric Commercial Vehicle Market in EMEA Region, from Frost & Sullivan, estimates that nearly seven per c
  • Australia’s ITS market predicted to grow almost 15 per cent by 2020
    December 16, 2016
    According to a new market research report published by MarketsandMarkets, Australia’s intelligent transportation systems is expected to grow at a CAGR of 14.41 per cent between 2015 and 2020, and reach US$1,130.2 million by 2020. The report is combined with an in-depth analysis of the various market dynamics such as drivers, restraints, and opportunities. Along with the market dynamics, the report also gives an insight about various market parameters, such as market share analysis, value chain analysis,
  • Telenor Connexion in strategic deal with Ericsson
    May 21, 2012
    Having been an early pioneer in the M2M market in automotive, security and smart metering industries, Telenor Connexion developed an advanced M2M dedicated platform in 2009. This platform and managed M2M solutions were subsequently chosen by companies such as Omron, Nissan, TomTom, and Qualcomm for their embedded connectivity solutions. Telenor Connexion has announced the next step in the company's evolution - a strategic deal with Ericsson where Ericsson acquires the advanced M2M platform in order to allow