PUBLISHER: The Business Research Company | PRODUCT CODE: 1428153
PUBLISHER: The Business Research Company | PRODUCT CODE: 1428153
Passenger vehicle telematics involves the integration of telematics technology into cars used for personal transportation. This technology fuses telecommunications and information systems to collect, transmit, and analyze data concerning vehicle performance, driver conduct, and other pertinent details. Its implementation significantly enhances driving safety, operational efficiency, user convenience, and overall security.
Key categories within passenger vehicle telematics encompass remote message processing systems, brake mechanisms, transmission control systems, navigation interfaces, infotainment units, and safety and security frameworks. A remote message processing system denotes a platform facilitating the remote management and processing of messages, often centralized through servers or cloud-based infrastructure. This incorporates various communication types such as vehicle-to-vehicle (V2V), vehicle-to-everything (V2X), vehicle-to-infrastructure (V2I), and vehicle-to-pedestrian (V2P). These applications cater to diverse vehicle types including passenger cars, light commercial vehicles, and heavy commercial vehicles.
The passenger vehicle telematics market research report is one of a series of new reports from The Business Research Company that provides passenger vehicle telematics market statistics, including passenger vehicle telematics industry global market size, regional shares, competitors with a passenger vehicle telematics market share, detailed passenger vehicle telematics market segments, market trends and opportunities, and any further data you may need to thrive in the passenger vehicle telematics industry. This passenger vehicle telematics market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.
The passenger vehicle telematics market size has grown rapidly in recent years. It will grow from $7.39 billion in 2023 to $8.37 billion in 2024 at a compound annual growth rate (CAGR) of 13.2%. The growth observed in the historical period can be attributed to several factors. These include a notable shift towards digitalization in the automotive sector, driven by increasing consumer demands for enhanced connectivity features. Additionally, the evolution of insurance models, coupled with cost reductions in both hardware and connectivity, has significantly contributed to market competitiveness and product differentiation strategies.
The passenger vehicle telematics market size is expected to see rapid growth in the next few years. It will grow to $13.08 billion in 2028 at a compound annual growth rate (CAGR) of 11.8%. The anticipated growth in the forecast period is expected to stem from several key drivers. These include the application of telematics for more efficient traffic management, an increased focus on robust cybersecurity measures, and a noticeable shift towards Mobility as a Service (MaaS). Additionally, the rising demand for connected infotainment systems and the integration of advanced 5G technology are significant contributors. Notable trends in this period encompass sophisticated analysis of driver behavior, the integration of Vehicle-to-Infrastructure (V2I) communication, broader implementation of over-the-air (OTA) updates, improved remote vehicle control, and the exploration of telematics data monetization opportunities.
The growth of the passenger vehicle telematics market is anticipated to be fueled by an increase in demand for passenger cars. Passenger cars, designed for people transportation, are incorporating telematics technology to enhance various aspects of vehicle performance, safety, and connectivity. This technology contributes to increased security, enhanced comfort, reduced maintenance costs, and offers services such as speed monitoring and fleet management. In May 2023, the Society of Motor Manufacturers and Traders (SMMT) reported a 16.7% rise in UK passenger car sales to 145,204 units. Additionally, the European Union produced 10.9 million passenger automobiles in 2022, marking an 8.3% increase from the previous year. This surge in passenger car demand is a driving force behind the growth of the passenger vehicle telematics market.
The passenger vehicle telematics market is poised for further expansion due to the increasing implementation of smart city initiatives. These initiatives, encompassing urban development plans that leverage Information and Communication Technology (ICT), are aimed at enhancing city efficiency, environmental sustainability, and overall quality of life. The integration of telematics in automobiles is a pivotal aspect of smart city endeavors, contributing to traffic control, parking assistance, and improved urban mobility. As of January 2023, London has been actively implementing projects to enhance technological innovation and smart city capabilities. Initiatives include a pilot project to improve cellular connectivity rates and plans for providing free Wi-Fi stations with additional features such as phone calls, maps, charging capabilities, and environmental sensors by 2021. Moreover, as of September 2022, over 56% of projects under India's Smart Cities Mission have been completed, indicating a commitment to technological advancements and smart city development. The increasing emphasis on smart city initiatives worldwide is a significant driver for the passenger vehicle telematics market.
Advanced AI technologies have emerged as a prominent trend in the passenger vehicle telematics market. Major companies within this market are actively developing innovative AI solutions to enhance their competitive standing. An illustrative example is Mix Telematics, a South Africa-based software company, which introduced MiX Vision AI in May 2021. This cutting-edge, AI-powered video telematics solution utilizes artificial intelligence to identify risky driving behaviors such as distraction, phone usage, and seat belt negligence. MiX Vision AI not only improves driver safety but also contributes to increased fuel efficiency, better compliance, and cost reduction. It achieves this through features such as AI-powered detection, real-time driver alerts, and comprehensive video footage analysis.
Major companies are strategically forming partnerships to leverage embedded vehicle data for applications such as fleet management and dealership lot management. This collaborative approach is geared towards combining the strengths of different entities to pioneer innovative solutions and technologies for more efficient fleet management. A case in point is the strategic partnership announced in November 2023 between CerebrumX Labs Inc., a US-based developer of AI-driven automotive data platforms, and Guidepoint Systems, a US-based provider of vehicle telematics solutions. The joint solution addresses the growing demand from fleet businesses and dealerships for advanced data solutions, aiming to reduce costs, enhance customer experiences, improve operational efficiency, and elevate safety in inventory operations. The collaboration aims to revolutionize fleet management and dealership operations by offering a seamless inventory management system without the need for additional hardware installation. CerebrumX's Augmented Deep Learning Platform (ADLP) seamlessly integrates with Guidepoint's software platform, providing real-time connected vehicle data for accurate and remote inventory management, creating a contactless and streamlined customer experience.
In September 2021, Bridgestone Americas Inc., a prominent US-based manufacturer specializing in tires and rubber products, completed the acquisition of Azuga Holdings Inc. for $391 million. This strategic move is geared towards enhancing Bridgestone Americas Inc.'s offerings and services, extending its market presence, and strengthening its position in the competitive fleet management market. Azuga Holdings Inc., also based in the US, specializes in developing telematics solutions for vehicles, primarily focusing on providing comprehensive fleet management services.
Major companies operating in the passenger vehicle telematics market report are Verizon Communications Inc., AT&T Inc, Robert Bosch GmbH, Vodafone Group plc, Qualcomm Inc., Continental AG, Bridgestone Corp., Danaher Corp., Telefonaktiebolaget LM Ericsson, Valeo SA, Harman International Industries, Garmin Ltd., Delphi Technologies plc, Visteon Corp., Trimble Inc., Agero Inc., Omnitracs LLC., Telenav Inc., Fleet Complete, MiX Telematics, OCTO Telematics S.p.A, Masternaut Limited, Bynx Ltd., Airbiquity Inc., AirIQ Inc.
North America was the largest region in the passenger vehicle telematics market in 2023. The regions covered in the passenger vehicle telematics market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa
The countries covered in the passenger vehicle telematics market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Italy, Spain, Canada.
The passenger vehicle telematics market consists of revenues earned by entities by providing passenger vehicles telematics services such as vehicle tracking and location services, navigation and routing assistance, remote diagnostics, and maintenance, safety, and emergency services. The market value includes the value of related goods sold by the service provider or included within the service offering. The passenger vehicle telematics market also includes sales of GPS tracking devices and electronic logging devices, sensors, an onboard diagnostics (OBD) port adapter, and telematics control units that are used in providing passenger vehicle telematics services. Values in this market are 'factory gate' values, that is, the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
Passenger Vehicle Telematics Global Market Report 2024 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses on passenger vehicle telematics market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Where is the largest and fastest growing market for passenger vehicle telematics ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The passenger vehicle telematics market global report from the Business Research Company answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.
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