Automotive Telematics Market Trends, Expected to Reach US$ 193.8 billion by 2030

Automotive Telematics Market Snapshot

“The Automotive Telematics Market is estimated to increase at a CAGR of 17.78% from $ 40.59 Billion in 2023 to $ 193.8 billion by 2030.”

Automotive telematics can improve driver behavior by providing feedback on driving performance, identifying areas for improvement, and promoting safer, more efficient driving habits.

Automotive telematics is an interdisciplinary field that combines telecommunications, informatics, computer science, electrical engineering, and vehicular technologies to create vehicle telematics systems for enhanced driver efficiency and safety.

Vehicle telematics uses GPS systems, onboard diagnostics, wireless telematics devices, and black box technologies to collect and send vehicle data like speed, location, maintenance needs, and servicing. This data can be used for real-time analysis to enhance driver safety, save costs, and improve commercial vehicle performance.

Vehicle telematics devices are tracking devices in cars that transmit and store telemetry data via wireless networks and the vehicle's onboard modem and diagnostics (ODBII). Telecommunications companies handle data transmission to computers or mobile devices for access by drivers and fleet managers.

Vehicle telematics providers typically offer a combination of GPS tracking, fleet management software, cloud-based platforms, telematics sensors, reporting capabilities, automated notifications, alarms, compliance parameters, and real-time Artificial Intelligence integration for early warnings and instant insights.

>>>Download Sample Report Now:https://marketreportservice.com/request-sample/automotive-telematics-market-54652 

How Do Automotive Telematics Systems Work?

Telematics devices collect and transmit GPS and vehicle-specific data via satellite communication, 4G, cellular networks, or GPRS to a central server for classification, decoding, and optimization for user interfaces. Modern commercial vehicle manufacturers often integrate automotive telematics technology into their fleet cars.

Vehicle telematics analytics, which include variables like vehicle defects, location, speed, and fuel consumption, can reduce fuel costs, enhance driver safety, increase productivity, provide better visibility, and enable data-driven maintenance schedules. It also helps maintain ELD compliance and improves payroll management, thereby enhancing overall vehicle safety.

Market Dynamics

Growth Drivers

The increasing traffic and road congestion have led to a growing focus on people's safety, which is being integrated into all telematics solutions. The market for telematics solutions is driven by the advancement of ADAS systems in automobiles, which ensure higher levels of safety. Automakers are focusing on providing convenience and safety features, while governments worldwide are also requiring different ADAS and safety features.

Government mandates for ADAS and safety-related telematics solutions have increased demand for telematics solutions. The market is also expected to be driven by increased demand for automated crash notifications, on-road support, and driver behavior.

The global automotive telematics industry is experiencing growth due to increased connection solutions and easier vehicle assessment, but the risk of data hacking could pose a significant challenge.

Restraints

The absence of a unified platform in telematics presents several challenges for software and system developers trying to obtain pertinent vehicle-related data. Because devices made by different manufacturers lack standards and interoperability metrics, this might result in the absence or distortion of crucial information. Information technology use is also broken down into a number of connected phases.

Any mistake made when combining these information technology phases will have an impact on the system's effectiveness. For instance, the transportation systems of several European nations, including France, Spain, and Italy, use dedicated short-range communication (DSRC). Similar GPS/GSM-based systems are in use in the US and Canada. Because it wouldn't function, DSRC can't be a part of an integrated technology platform.

Trends

The automobile industry is increasingly adopting automotive telematics for communication in road infrastructure, security, mapping systems, and vehicular communication. The growing use of smartphones and improved internet networks is expected to drive the vehicle telematics market ahead.

The demand for automotive telematics technology has surged due to drivers' preference for in-car mobile communications. Automakers are integrating this technology into their products and marketing it as an upgraded commodity to boost sales.

Opportunity

Service providers are awaiting the release of new software that will enable advanced damage detection systems utilizing artificial intelligence and cloud computing techniques.

Tele-ICU facilities are the preferred option due to the shortage of intensivists, the aging population, and the high prevalence of severe ICU-related illnesses.

Competitive Landscape of the Automotive Telematics Market Analysis

• Harman International Industries, Inc.
• Magneti Marelli S.p.A
• Airbiquity Inc.
• Verizon Telematics, Inc.
• TomTom N.V.
• Masternaut Limited
• Trimble Inc.
• Visteon Corporation
• Robert Bosch GmbH
• Delphi Automotive Plc.

New Developments in Automotive Telematics Market

September 29, 2023- Airbiquity and Tessolve Enable Telematics Gateways With OTA And Data Logging Solutions To Easily Facilitate Connected Vehicle Development And Production

Airbiquity, a global leader in connected vehicle services, announced a partnership with Tessolve, a leading hardware platform company for silicon and system productization for various market segments, including automotive, motorcycles, scooters, industrial IoT, semiconductor, avionics, and defense.

October 04, 2023, AutoTech Breakthrough Recognizes HARMAN As 2023 “Vehicle-to-Everything (V2X) Company Of The Year”

HARMAN, an automotive technology company and subsidiary of Samsung Electronics Co., Ltd., announced it has been selected as “Vehicle-to-Everything (V2X) Company of the Year” in the fourth annual AutoTech Breakthrough Awards conducted by AutoTech Breakthrough, a leading market intelligence organization that recognizes the top companies, technologies and products in the global automotive and transportation technology markets today.

In January 2021, Harman International Industries Inc. announced the introduction of HARMAN Turbo Connect (TBOT). The software anticipates and mitigates connectivity discrepancies on the road. This addition to the current portfolio satisfies current demand for high speed connectivity with low latency, especially when used with 5G-enabled technologies, including its Smart Conformal Antenna.

In November 2021, Robert Bosch GmbH introduced its Ridecare services, equipped with a sensor box, to detect damage to a vehicle and smoke inside the vehicle. The sensor deploys a cloud-based data analysis using artificial intelligence, disbursing information on whether a vehicle has been damaged, or someone has smoked in it. Pilot projects are being initiated across North America, Asia and Germany.

Masternaut, a Michelin Group company, today announced the launch of its new Move Electric solution in June 2021 to assist fleet managers in transitioning away from internal combustion engines.

Ford released 'FordLiive,' an integrated uptime system created to assist Ford commercial vehicle operators to improve productivity, in March 2021. The system helps to maximize vehicle uptime while decreasing vehicle breakdowns and maintenance requirements.

Segment Analysis

The report predicts that the OEM segment will continue to dominate the automotive telematics market due to its strong sales channels and strategic partnerships among leading automakers, ensuring its dominance in the global vehicle telematics market.

The embedded sector is expected to dominate the market by 2030 due to increasing vehicle mishaps and traffic accidents, as well as the growing need for GPS navigation and emergency systems in the logistics industry. The segment is expected to command the most value in the market, exceeding US$ 6 billion. Major product launches, such as Teltrac Navman's AI dual-dashboard camera, aim to prevent accidents.

The growth of embedded automotive telematics is driven by increasing vehicle mishaps and traffic accidents, while the logistics industry's need for GPS navigation and emergency systems has also grown exponentially.

Regional Outlook

Country	CAGR
China	14%
U.S.	15%
Australia	13%
France	13.5%

 “In 2022, North America held the largest revenue share in the Automotive Telematics market.”

The UK is the primary market for telematics due to its ability to locate cars. The future of telematics technology may see advancements in AI, machine learning, and IoT, as well as integration with automotive systems like ADAS and vehicular networking. Major manufacturers in the UK are investing in telematics research and development for future vehicles, demonstrating the potential of this technology.

 “APAC is projected to be the fastest-growing region in the projected period in the Automotive Telematics market.”

China is expected to experience the fastest revenue growth in the future due to the increasing demand for telematics solutions in fleet management. Startups like FutureMove, Qoros, and Nio are utilizing telematics technology. The country's adoption of technical improvements and digitization, coupled with a high 4G network penetration rate, has boosted the sales of car telematics.

Segments Covered in the Automotive Telematics Market Report

By Channel Type

• OEM
• Aftermarket

By Vehicle Type

• Passenger Vehicle
• Commercial Vehicle
• Two Wheeler

By Application  

• Fleet/Asset management
• Navigation & location-based system
• Infotainment system
• Insurance telematic
• Safety & security
• V2X
• Others

By Connectivity Solutions          

• Embedded
• Integrated smartphones
• Tethered

The above information has been provided for the following regions and countries:

North America

• U.S.
• Canada

Europe

• UK
• Germany
• France
• Italy
• Russia

Asia Pacific

• China
• India
• Japan
• South Korea

Latin America

• Brazil
• Mexico

MEA

• UAE
• Saudi Arabia
• South Africa

Frequently Asked Questions

What is the expected growth rate of the Automotive Telematics market over the next 7 years?

The Automotive Telematics Market is estimated to increase at a CAGR of 17.78% from $ 40.59 Billion in 2023 to $ 193.8 billion by 2030.

Who are the major players in the Automotive Telematics market and what is their market share?

Harman International Industries, Inc., Magneti Marelli S.p.A, Airbiquity Inc., Verizon Telematics, Inc., TomTom N.V., Masternaut Limited, Trimble Inc., Visteon Corporation, Robert Bosch GmbH, Delphi Automotive Plc., are prominent players operating and dominating in the market.

What is the demand projection for Automotive Telematics by 2030?

Demand for Automotive Telematics is projected to reach a market value of US$ 193.8 billion by 2030-end.

What is the sales growth projection for Automotive Telematics?

Revenue from sales of Automotive Telematics is projected to increase at a CAGR of 17.78% through 2030.