Commercial telematics shipments set for solid growth

At a CAGR of 27 per cent, commercial telematics systems shipments are set for solid growth. However, the fleet management industry continues to be haunted by structural problems: extreme levels of fragmentation with too many ‘me too’ and ‘dots-on-a-map’ providers and proprietary solutions littering the landscape.
April 18, 2012 Read time: 2 mins
RSSAt a CAGR of 27 per cent, commercial telematics systems shipments are set for solid growth. However, the fleet management industry continues to be haunted by structural problems: extreme levels of fragmentation with too many ‘me too’ and ‘dots-on-a-map’ providers and proprietary solutions littering the landscape.

According to 5725 ABI Research telematics and navigation group director Dominique Bonte, “The commercial telematics industry faces aggressive consolidation which should ultimately result in the reduction of the hundreds of vendors into at most ten major global players. This process is already well underway with recent mergers and acquisitions including 748 Masternaut and 1060 Cybit, 1985 Trimble and Punch Telematics, and, most recently, Trimble and PeopleNet.”

ABI Research says that 213 Qualcomm, 1692 TomTom Business Solutions, Mix Telematics, 2069 Daimler Trucks, 609 Volvo Trucks, Digicore / Ctrack, and Trimble are emerging as true global players. However, consolidation is only effective when tight technical and commercial integration is achieved, a process which can take years. Also required are the adoption of open software approaches, scalable Software as a Service (SaaS)-based platforms, telematics standards, and new business models, as well as the embrace of convergence and a far-reaching willingness to cooperate across the whole value chain in the form of partnerships.

ABI Research’s new Commercial Telematics Market Data report contains forecast data per region on hardware shipments, hardware revenue, system users, subscribers and service revenues in the commercial telematics sector. Statistics on vehicle sales and vehicles in operation are also included.
Location Based Systems

For more information on companies in this article

Related Content

  • Volvo Trucks develops I-See to save fuel
    June 28, 2012
    Volvo Trucks has announced it has developed I-See, which operates like an autopilot and takes over gear-changing and utilises gradients to save fuel. The system, which will be available on the market next year, is linked to the transmission’s tilt sensor and obtains information about the topography digitally. The fact that the system is not dependent on maps makes it more dependable since it always obtains the very latest information. I-See can recall about 4,000 gradients, corresponding to a distance of 5,
    Read More
  • Tolling: it’s time to open up
    May 24, 2023
    Europe sees more and more tolling schemes being implemented based on GNSS technology and an ‘open marketplace’ model. What are the drivers behind this trend and do those schemes show how toll systems will look in the future? Peter Ummenhofer of Go Consulting goes out on the road
    Read More
  • Init wins biggest order in group history
    July 24, 2012
    In one of the largest telematics projects for public transport ever deployed in Germany, Init, a provider of ITS and electronic fare management for public transport, will be the general contractor in a project for a joint tendering group led by Rheinbahn Düsseldorf. For this project, Init will set up a Tetra trunked system and install a new intermodal transport control system (ITCS) for the group over the next four years.
    Read More
  • ‘Need for sustainable transportation infrastructure drives the ITS market’
    October 30, 2012
    According to a new report by Global Industry Analysts (GIA), the global Intelligent Transportation Systems market is projected to reach US$22.7 billion by the year 2018, driven primarily by the need to enhance road safety by efficiently managing traffic, enforcing speed limits and easing traffic congestion. Rising demand from developing nations to incorporate ITS solutions also bodes well for the future of the market. The report provides a comprehensive review of trends, product developments, mergers, acqu
    Read More

Highlighted Content