Telematics Solutions Market, by Vehicle Type (Passenger Vehicle, Light Commercial Vehicle, Heavy Commercial Vehicle), Offering Type (Hardware, Service), Application (Fleet/Asset Management, Navigation & Location Based System, Infotainment System, Insurance Telematic, Safety & Security, V2X, Others), End-User (Automobile, Healthcare & Insurance, Media & Entertainment, Vehicle Manufacturing/Dealers, Government Agencies, Others): Global Opportunity Analysis and Industry Forecast, 2020–2027

The global telematics solutions market is expected to grow mainly due to the increasing need for fleet telematics, smart-car technology, and driver protection apps.High volumes of customer demand are projected to exhibit positive development across the forecast era.

Telematics SolutionsMarket,Analysis:

Telematics is an area involving telecommunications, road and health, automotive infrastructure, electrical engineering, and computer science.Market development is guided by factors such as increased policy initiatives to build an integrated transportation network, increasing demand for mobile apps in the automobile, and automatic pouring technologies.

Increase logistics and transport demands are expected to drive the global telematics solutionsmarket:

The global telematics solutions market is powered by the gradual growth in logistics and transport demand. The growth determinants of this market are increasing the need for operating performance, cost savings, and considerably better resource allocation. In addition, a decrease in accidents further eliminates the resources lost on the road by 15% owing to incidents, thereby lowering transportation control costs. Thus, these factors are anticipated to drive the global telematics solutions market.

The threat of data hacking is anticipated to restrain the growth of the global telematics solutions market:

Cybercriminals pose a potential risk to car safety. Infringements of protection may result in sensitive data released, risks to the critical health and safety systems of an automobile, and absolute remote control of the car. Data hacking involves security risks such as theft of personal data, vehicle theft, connection risks, and other risks. This factor is anticipated to restrain the market growth of global telematics solutions.

The rise of electric car and automated vehiclestechnologies is anticipated to create enormous opportunities for the global telematics solutions market:

With the arrival of electric cars and automated vehicle technologies, the global telematics solutions market is undergoing a major transition that involves the growth of new fields such as the Advanced Driver Assistance System (ADAS) and Mobility-as-a-Service Providers (MaaS). The introduction of new IoT-based sectors and digital utilities such as ride-sharing and car-sharing is foreseen to act as an opportunity for the globaltelematics solutions market in the forecasted period.

Telematics SolutionsMarket, by Vehicle Type:

Passenger vehicle will be most lucrative till 2027

By vehicle type, the global telematics solution market is divided into passenger vehicles, light commercial vehicles, and heavy commercial vehicles. Amongst these, passenger vehicle dominates the market shares mainly due to a rise in competition for telematics systems, including reliability and comfort.

Telematics SolutionsMarket, by Offering Type:

Telematics control unit & fuel managementare estimated to dominate the market till 2027

By offering type, the global telematics solution market is classified into hardware and services. Hardware is further segmented into the infotainment display unit and telematics control unit (TCU). The telematics control unit is anticipated to be the fastest growing market as advanced driver assistance (ADAS) technologies and applications are witnessing recent improved development and usage. On the other hand, services are further segmented into fuel management, location/usage tracking, maintenance & repair scheduling, navigation, diagnostics, and other services. Fuel management is anticipated to be the fastest growing segment due to growing awareness regarding usage of renewal energy sources and environmental concerns.

Telematics SolutionsMarket, by Applications:

Fleet management is estimated to dominate the market till 2027

By application, the global telematics solution market is categorized into fleet/asset management, navigation &location-based system, infotainment system, insurance telematics, safety & security, V2X, and others. Fleet management is estimated to dominate the market shares as this kind of application is primarily utilized by large commercial vehicle fleet operators.Fleet management organizations would provide better accessibility to the vehicle maintenance schedule, improved driver protection, and clear service routing.

Telematics SolutionsMarket, by End-Users:

The automobile sector is estimated to be the highest growing till 2027

By end-users, the global telematics solution market is categorized into automobile, healthcare & insurance, media & entertainment, vehicle manufacturing/dealers, government agencies, and others. Amongst these, the automobile sector is anticipated to dominate the market shares due to enhanced road protection fitted with security networks and strict government regulations. It can further be distinguished into owned and rental basis car services.

Telematics SolutionsMarket, by Region:

Asia-Pacific region will have lucrative opportunities for the market investors

The global telematics solutions market is analyzed across North-America, Europe, Asia-Pacific, and LAMEA regions.During the forecasted era, the Asia Pacific market is expected to lead the market, especially in countries like China, followed by Japan and South Korea. This is due to growing competition for insurance risk evaluation, driver conduct, and fleet management servicesin commercial vehicles.North America is predicted to be the fastest-growing market after the Asia-Pacific region. This is due to the advance diagnostic system in the telematics solutions market.

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Key Participants in the Global Telematics Solutions Market:

Merger & acquisition andadvanced product development are the frequent strategies followed by the market players

Source: Research Dive Analysis

Some of the key market players are LG Corp., Robert Bosch GmbH, Verizon Communications Inc., Continental AG, TomTom N.V., Qualcomm, KKR & Co. Inc., Visteon Corp., Nexteer Automotive, Harman International Industries Inc., and others.

Market Players tend to spread to local markets through inorganic growth strategies. Global market players in telematics solution concentrate mainly on mergers & acquisitions and innovative technology growth. These are the growing techniques that existing companies adopt. To focus more on the market player's competition research, the study discusses Porter’sfive forces model.