Skip to main content

OBD aftermarket telematics subscribers market forecast

According to new research from ABI, the number of subscribers to OnBoard Diagnostics (OBD) aftermarket telematics solutions is expected to increase from 9.5 million in 2014 to 117.8 million in 2019. “OBD-dongle telematics devices are gaining momentum in North America and Europe in segments such as UBI, fleet management, and consumer telematics. Their plug-and-play characteristics, low cost and flexibility for a range of applications including diagnostics and maintenance, location tracking and trip loggin
March 28, 2014 Read time: 2 mins
According to new research from ABI, the number of subscribers to OnBoard Diagnostics (OBD) aftermarket telematics solutions is expected to increase from 9.5 million in 2014 to 117.8 million in 2019.

“OBD-dongle telematics devices are gaining momentum in North America and Europe in segments such as UBI, fleet management, and consumer telematics. Their plug-and-play characteristics, low cost and flexibility for a range of applications including diagnostics and maintenance, location tracking and trip logging, driving behaviour monitoring, and even in-car Wi-Fi make them a great fit for aftermarket telematics players in a still largely underpenetrated market. Much of the marketing push is led by carriers such as 813 Vodafone, 1984 Verizon, 1018 Sprint, and 1970 AT&T leveraging their online and retail channel power combined with their customer-facing support expertise while partnering with OBD device vendors and service providers such as Audiovox, 7207 Delphi, and CalAmp,” says VP and practice director Dominique Bonte.

North America and Europe are the leading regions because OBD vehicle ports are mandatory combined with the advanced state of their telematics markets. However, beyond the 2019 forecast horizon, the window of opportunity for OBD-dongles will gradually close as open factory-installed OEM telematics becomes more widespread.

OBD solutions will also face competition from aftermarket telematics solutions based on smartphones connecting directly to the vehicle OBD port via Bluetooth or Wi-Fi adapters. Even standalone smartphone applications are starting to be explored for applications such as UBI and driver behaviour monitoring of truck drivers leveraging the built-in GPS, accelerometer, and connectivity.

However, the main weakness of OBD solutions is their closed nature, both from a vehicle port perspective with car OEMs not exposing all vehicle data in a standard format and from a device perspective lacking open APIs preventing third party developers from creating a rich set of applications to extend functionality.

Related Content

  • August 15, 2014
    Blind spot detection and adaptive cruise control systems markets forecast to 2019
    The MarketsandMarkets report, Blind Spot Detection (BSD) System and Adaptive Cruise Control (ACC) System Market for Passenger Cars; by Geography - Trends and Forecasts 2014 - 2019, indicates that the BSD market will be worth US$2.8 billion and the ADCC market worth US$6.1 million by 2019. The report classifies and defines the automotive BSD and ACC systems market in terms of volume and value. It report highlights potential growth opportunities in the coming years as well as covers review of the market dr
  • November 10, 2015
    Fleet management systems in the Americas ‘will exceed 13 million units by 2019’
    According to a new research report from analyst firm Berg Insight, the number of active fleet management systems deployed in commercial vehicle fleets in North America was 4.7 million in the fourth quarter of 2014. Growing at a compound annual growth rate (CAGR) of 15.5 percent, this number is expected to reach 9.7 million by 2019. In Latin America, the number of active fleet management systems is expected to increase from 2.1 million in the fourth quarter of 2014, growing at a CAGR of 14.6 percent to re
  • September 13, 2013
    Plug-and-lay connected car solution launched
    According to Delphi Automotive, its new cloud-based automotive connectivity service for European consumers, Delphi Connect, provides a ground-breaking car-to-cloud/cloud-to-car connectivity service and works in most vehicles built after 1996. To access the service, car owners simply plug the Delphi Connect module into the on-board diagnostics (OBD) port of their vehicle, which is usually located under the steering column. The service utilises a dedicated and secure cloud server to store data and provide
  • October 1, 2013
    Fleet management systems expected to reach 10.1 million units in the Americas
    According to a new research report from analysts Berg Insight, the number of fleet management systems deployed in commercial vehicle fleets in North America was 3.3 million in the fourth quarter of 2012. Growing at a compound annual growth rate (CAGR) of 15.6 percent, this number is expected to reach 6.8 million by 2017. In Latin America, the number of installed fleet management systems is expected to increase from 1.6 million in quarter four 2012, growing at a CAGR of 16.3 per cent to reach 3.3 million in