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.

For more information on companies in this article

Related Content

  • Transportation safety and security markets worth US$62.96 billion by 2018
    December 2, 2013
    The latest report from MarketsandMarkets forecasts the global transportation safety and transportation security market to grow from US$37.80 billion in 2013 to US$62.96 billion in 2018, at a Compound Annual Growth Rate (CAGR) of 10.7 per cent from 2013 to 2018. North America (NA) is expected to be the biggest contributor in terms of revenue contribution, while the growing markets Asia Pacific (APAC), Middle East and Africa (MEA) and Latin America (LA), are expected to experience increased market traction
  • First deployment of RTPIS in Texas
    May 16, 2012
    WebTech Wireless, a provider of vehicle fleet location-based services and telematics technology, has received a four-year contract from the Fort Worth Transportation Authority (FWTA), in Texas, to implement its NextBus Real-Time Passenger Information System (RTPIS) on an enhanced bus route. This will use nine dedicated buses equipped with NextBus GPS units, plus 17 NextBus LED signs installed at selected high-volume bus stops. The company also will implement its telephone information system to provide Fort
  • Peer-to-Peer carsharing in Europe projected to grow significantly
    August 24, 2012
    According to Frost & Sullivan, by 2020 more than 200 traditional carsharing organisations (CSOs) and another 24 Peer-to-Peer (P2P) CSOs are expected to take the European market for carsharing to new heights. More than 14 million new members are expected to use carsharing services in Europe by the same year, while three new sub-segments will emerge in the market: electric vehicle carsharing, corporate carsharing and one-way carsharing. While the new segments arise in particular due to continued urbanisation
  • Verizon Telematics acquires Movildata to expand European presence
    February 1, 2018
    Verizon Telematics (Verizon) has acquired Spain-based provider of commercial fleet management solutions Movildata as part of a strategy to expand its European footprint. Additionally, Verizon plans to make Fleetmatics’ Reveal platform available to Spanish fleet operators. Molivdata’s employees have joined Verizon’s team and will continue to drive sales and support for its current fleet management products. Luis Enrique Rodrigo, CEO of Movildata, said: "We are proud of what the company has accomplished in