The global telematics solutions market accounted for a value of USD 25.9 billion in 2019 and is expected to grow at a CAGR of 13.2% during forecast period.
COVID-19 has impacted telematics solutions market. COVID-19 has impacted the automotive market adversely. The vehicles sales have been declined and the companies were shut down for few months due to lockdown across the globe. The OEMs are not very much interested in investing in different features for next one or two years. The decline in vehicle sales lead to decrease in production activities which decreases adoption of telematics solutions in the automotive sector.
For more details, visit: Global Telematics Solutions Market By Form Type (Integrated, Embedded, Others), By Services (Billing Services, Driver Behavior, Others), By Connectivity, By Hardware, By Vehicle Type, By Region, Forecast & Opportunities to 2026
The focus is increasing towards improving the efficiency and governments of various countries are implementing various regulations for vehicle telematics to provide better and improved safety to consumers. The ease of vehicle diagnosis is increasing which increases adoption of telematics solutions. This drives growth in telematics solutions market during forecast period.
On the basis of services, the telematics solutions market is segmented into emergency calling, automatic crash notification, on-road assistance, navigation & infotainment, vehicle tracking/recovering (fleet management), remote diagnostics, insurance risk assessment, billing services, driver behavior and others. The vehicle tracking/ recovery (fleet management) segment is estimated to register growth at higher CAGR during forecast period. The adoption is increasing for fleet management as it provides various benefits such as reduces running cost, enhances safety and increases the safety. This increases the demand and adoption for fleet management systems and drives growth in this segment during forecast period.
On the basis of form type, the telematics solutions market is segmented into integrated, embedded and tethered. The embedded system segment is estimated to hold largest market share during forecast period. The government is implementing various mandates and cloud based services are growing immensely. The focus is shifting towards cost optimization of service plans. Telematics services can be efficiently used with embedded connectivity solution in the vehicles such as remote, diagnostics and eCall etc. The regulations imposed by government are the primary driving factor. This increases demand for embedded systems and drives growth in this segment during forecast period.
Asia-Pacific region is estimated to dominate the market during forecast period. The Countries such as China, South Korea and Japan are estimated to lead the market in Asia-Pacific region during forecast period. The government is implementing various policies for telematics solutions and regarding safety and security. This increases growth in telematics solutions market in Asia-Pacific region. The connectivity solutions trend is increasing in this region and this drives growth in Asia-Pacific region in telematics solutions market during forecast period.
The key market players in telematics solutions industry are Robert Bosch GMBH, Continental AG, LG Electronics, Verizon, Harman International, Delphi Automotive PLC, Visteon Corporation, Magneti marelli S.P.A., TOMTOM International, Qualcomm Technologies INC., Intel Corporation, Trimble INC., AT&T, Mix Telematics, Octo Telematics, Airbiquity INC., Masternaut Limited and CalAmp.
- What are the expected industry trends over the next three to five years?
- Which of the telematics solutions form type is likely to lead by 2025?
- Which of the vehicle type segments is expected to have the maximum potential to during the forecast period?
- Which region is going to have the highest smart meters market share by 2025?
- What are different organic and inorganic strategies implemented by companies to gain increased market share?