Vehicle analytics market ‘to grow by 26 per cent by 2022’

A new market research report by MarketsandMarkets estimates that the market for vehicle analytics will grow from US$1124.1 million in 2017 to US$3637.4 million by 2022, at a Compound Annual Growth Rate (CAGR) of 26.5 per cent. According to the report, the major driving factor for this market remains advances in technologies, such as machine learning, artificial intelligence (AI) and predictive maintenance to enhance fleet management, as well as increasing use of real-time data collected from sensors and
September 19, 2017 Read time: 3 mins
A new market research report by 6418 MarketsandMarkets estimates that the market for vehicle analytics will grow from US$1124.1 million in 2017 to US$3637.4 million by 2022, at a Compound Annual Growth Rate (CAGR) of 26.5 per cent.


According to the report, the major driving factor for this market remains advances in technologies, such as machine learning, artificial intelligence (AI) and predictive maintenance to enhance fleet management, as well as increasing use of real-time data collected from sensors and global positioning system (GPS) tracking devices. Automotive players leveraging vehicle analytics to enhance customer experience and advances towards autonomous vehicles are the key opportunities that would fuel the growth of the vehicle analytics market.

With connected traffic management systems offering digital road maps of cities, this application is expected to be adopted significantly. Robust navigation systems would not only be helpful to the drivers in identifying the fastest route but would also help them to distinguish the most fuel-efficient route. Cab aggregators such as Uber and Ola are expected to leverage more of this application.

Moreover, with the increasing adoption of smart cities, real-time mobility is expected to gain a substantial adoption. Real-time analytics of data captured from sensors of other cars would be used in smart parking and other similar areas.

The on-demand deployment model makes use of the cloud to deliver solutions to users. Scalability and agility of cloud-based technologies are increasing the adoption of cloud-based vehicle analytics solutions. In the cloud deployment model, organisations do not have to deal with the complexities involved in integration, installation, configuration, optimisation, maintenance and support, as these are in most cases managed or hosted by a third-party service provider.

The vehicle analytics market is segmented based on regions including North America, Asia Pacific (APAC), Europe, Middle East and Africa (MEA), and Latin America. North America has always been a frontrunner in adopting new paradigms related to innovative technologies and disruptive practices. The reason behind the early adopters is due to well-established and financially intensive economies and the presence of mostly all the largest conglomerates of the world such as IBM, Microsoft, SAP, and SAS Institute. Technology companies such as Google, Apple and AT&T have all contributed to the growing US market. Communications provider AT&T has contributed a fair share in the connected car ecosystem in the region. The company added 2.7 million connected cars in the first three-quarters of 2015. The region propelled by the electronic logging device (ELD) mandate, CSA Compliance, Safety, and Accountability (CSA), and Hours of Service Solution (HOS) revisions would be the key drivers for the massive adoption of vehicle analytics software and services in the region.

Location Based Systems

For more information on companies in this article

Related Content

  • Investments in autonomous driving are accelerating, says report
    January 7, 2015
    Google and various automakers have increased their activity and investments toward the goal of self-driving vehicles, while Google has shifted from its previous strategy to now focus on fully driverless vehicles for the future. If successful, it will have significant implications for the auto industry, according to IHS Automotive, based on findings in its new report, Autonomous Driving: Question is When, Not If, which is an update to a previous report issued early in 2014. OEMs remain geared toward aug
    Read More
  • Detection analysis technology successfully predicts traffic flows
    February 3, 2012
    David Crawford investigates new detection analysis technology from IBM. Locations on both the East and West Coasts of the US are scheduled for early deployments of IBM's new Traffic Prediction Tool (TPT) statistical analysis model for the fine-time resolution and near-term prediction of road flow conditions. Developed by IBM's Watson Research Laboratories, TPT is designed to analyse data from the the key detection indicators - average vehicle volumes and speeds passing a location in a given time interval -
    Read More
  • Ertico coordinates big data debate
    November 2, 2016
    David Crawford finds that agreeing a common data standard for auto manufacturers’ onboard sensors, navigation system companies and map makers is proving a complex task.
    Read More
  • Brazil is guest of honour at CARTES Secure Connexions Event 2013
    October 30, 2013
    Brazil may be hosting the world in the upcoming FIFA World Cup but this autumn CARTES Secure Connexions Event 2013 will be hosting Brazil as Guest of Honour Country in recognition of its growing importance in the marketplace. Brazil has become a hotbed of innovation in the secure transactions industry, thanks to a long tradition of technology and industrial development supported by a tech savvy populace, said Isabelle Alfano, CARTES Events Director. “Brazil has the best combination between local industria
    Read More

Highlighted Content