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Connected Truck Telematics Market Size, Share Global Analysis Report, 2023 – 2030
Connected Truck Telematics Market Size, Share, Growth Analysis Report By Component (Software And Hardware), By Vehicle (Heavy Commercial And Light Commercial Vehicles), By Services (Maintenance, Management, And Fleet), By Type (Long Range Network, Short Range, And Dedicated Short Range), And By Region - Global and Regional Industry Insights, Overview, Comprehensive Analysis, Trends, Statistical Research, Market Intelligence, Historical Data and Forecast 2023 – 2030
Industry Insights
[225+ Pages Report] According to Facts and Factors, the global connected truck telematics market size was around USD 21.47 billion in 2022 and is anticipated to reach USD 38.58 billion by the end of 2030. The connected truck telematics market industry is expected to grow with a CAGR of 7.55% between 2023-2030.
Market Overview
Connected truck telematics refers to the technology that makes use of information technology and telecommunication to manage, monitor, and track commercial trucks and related data. This technology is highly used in the transportation and logistics industry to improve the safety, efficiency, and performance of the fleet. The connected truck telematics helps in GPS tracking, which further assists the managers in checking the real-time location of the vehicles, thereby improving efficiency, helping optimize routes, and reducing fuel consumption.
Also, the telematic solution helps managers monitor the driver's behavior, like rapid acceleration, harsh breaks, speeding, and other metrics, which help companies promote safe driving practices, lower insurance costs, and reduce accident rates.
Key Insights
- As per the analysis shared by our research analyst, the global connected truck telematics market size is estimated to grow annually at a CAGR of around 7.55% over the forecast period (2023-2030).
- In terms of revenue, the global connected truck telematics market size was valued at around USD 21.47 billion in 2022 and is projected to reach USD 38.58 billion by 2030.
- High demand for fleet management solutions is driving the growth of the global connected truck telematics market.
- Based on the component, the software segment is growing at a high rate and is projected to dominate the global market.
- Based on the vehicle, the heavy commercial vehicles segment is projected to swipe the largest market share.
- Based on the services, the management segment is the fastest-growing segment in the global market.
- Based on the type, the long-range network segment is likely to dominate the global market.
- Based on region, North America is expected to dominate the global market during the forecast period.
Growth Drivers
- High demand for fleet management solutions is likely to drive the growth of the global market.
There is a high demand for telematic systems, particularly among businesses dealing in commercial vehicle fleets, improving efficiency, reducing cost, and optimizing fleet operations. The requirement for real-time visibility is further propelling the growth of the global connected truck telematics market.
Strict government rules associated with emission levels, vehicle safety, and driver behavior are other major reasons contributing heavily to the growth of the market. Telematic systems help companies report on factors like emission level, fuel consumption, hours of service, and several others, which also help the companies align with the regulatory requirements by the government.
Restraints
- High initial costs are expected to hamper the growth of the global market.
The high initial cost of implementing a connected truck telematics system is likely to restrict the growth of the connected truck telematics industry during the forecast period. It includes software integration, hardware installation, and training, which is expected to incur huge costs for the companies.
Opportunities
- Integration of advanced driver assistance systems (ADAS) is likely to foster growth opportunities in the global market.
The growing demand for the integration of advanced driver assistance systems (ADAS) features into the telematics software is likely to widen the scope of the global connected truck telematics market. These features help companies improve driver safety by offering real-time notifications for fatigue detection, collision avoidance, and lane departure.
Also, the emergence of predictive maintenance solutions is further expected to encourage the growth of the industry. These solutions help operators to schedule maintenance based on the current conditions of vehicles rather than going for fixed schedules. It lowers the maintenance cost, eliminates downtime, and also extends the lifespan of the vehicles.
Challenges
- Data privacy and integration complexities are a big challenge in the global market.
The collection of sensitive data like driver behavior and location information is expected to be a huge challenge in the connected truck telematics industry. The increasing cyber breaches and integration of telematics systems are also likely to hinder the market's growth. LocoNav is said to reveal AI-integrated Advanced Video Telematics and DashCam. It is expected to amp up the prices by 30-40% more than their current value in the market.
Segmentation Analysis
The global connected truck telematics market can be segmented into components, vehicles, services, types, and regions.
By component, the market can be segmented into software and hardware. The software segment accounts for the largest share of the connected truck telematics market. Telematics software can easily be integrated with enterprise systems to improve operational efficiency by streamlining the decision-making process and data flow.
These software comes with user-friendly interfaces that widen its accessibility to fleet management and other stakeholders, even without any sensitive technical knowledge. Software platforms help managers control and manage the entire fleet functions remotely, which is further expected to foster developments in the segment.
By vehicle, the market can be segmented into heavy commercial and light commercial vehicles. The heavy commercial vehicles segment is projected to witness notable growth during the forecast period. The heavy commercial vehicle includes the buses and trucks utilized for the long haul fleet logistics.
The major advantage these heavy commercial vehicles offer is helping manufacturers overcome the complex operation requirements as compared to the light vehicles. Heavy commercial vehicles are under strict regulations and compliance and, therefore, require proper telematics systems to assist the operators in aligning with the regulations by offering real-time monitoring and reporting capabilities. It also helps companies ensure the emissions levels, driver safety, and hours of service (HOS).
By services, the market can be segmented into maintenance, management, and fleet. The management segment is expected to swipe the largest share of the connected truck telematics industry. The management solution helps companies save costs and increase efficiency by optimizing their operations, thereby helping in better route planning. Telematics also helps in aligning compliance with regulatory requirements, thereby assisting companies in adhering to safety standards and fulfilling environmental regulations.
Also, the management solutions help both the cargo and drivers in terms of safety and security. It offers various features like real-time monitoring and tracking, which help people avoid theft activities and ensure the right responses in emergency cases. The management solution also offers various other enterprise systems like logistic management and ERP to help companies view the entire supply chain, which is further expected to widen the scope of the segment in the forthcoming years.
By type, the market can be segmented into long-range networks, short-range, and dedicated short-range. The long-range network segment is likely to dominate the growth of the connected truck telematics market. The longer network range offered extensive coverage, thereby making it an ideal solution for managing and tracking vehicles over large geographical areas.
Also, it helps in real-time data transmission, which is of high importance for fleet management. The long-range network also allows remote diagnostics, which is a crucial telematics application that helps people get real-time data. The satellite and cellular base long-range network offers global reach, helping people with remote connectivity and international networking. These networks also offer OTA (over-the-air) updates, which help the telematic systems to update their parameters.
Report Scope
Report Attribute |
Details |
Market Size in 2022 |
USD 21.47 Billion |
Projected Market Size in 2030 |
USD 38.58 Billion |
CAGR Growth Rate |
7.55% CAGR |
Base Year |
2022 |
Forecast Years |
2023-2030 |
Key Market Players |
Transics (WABCO), Idelic, Spireon, CarrierWeb, Navistar International Corporation (OnCommand Connection), Cummins (Cummins Connected Diagnostics), Daimler Trucks (Detroit Connect), Volvo Group (Volvo Trucks), Zonar Systems, KeepTruckin, TomTom Telematics, CalAmp, Omnitracs, Samsara, Geotab, Teletrac Navman, Verizon Connect, Trimble Transportation, and Others. |
Key Segment |
By Component, By Vehicle, By Services, By Type, and Region |
Major Regions Covered |
North America, Europe, Asia Pacific, Latin America, and the Middle East &, Africa |
Purchase Options |
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Regional Analysis
- North America to dominate the global market.
North America is anticipated to experience a heavy growth rate in the global connected truck telematics market during the forecast period because of various factors like the growing need for GPS tracking, wireless communication, and sensors to collect data regarding fleet performance, location, and other important metrics.
Moreover, advanced government regulations like the mandate of electronic logging devices, particularly in the United States, are likely to drive the adoption of telematics solutions significantly in the forthcoming years. Also, the growing demand for fleet management solutions in the region for optimizing fuel efficiency and overall cost is further expected to positively impact the growth trajectory of the regional market.
Asia Pacific is also likely to grow steadily in the global connected truck telematics market because of the rapid economic growth. The region is known to be the home to the fastest-growing economies all across the globe, which is expected to boost the demand for transportation and logistics services in the region.
Also, the fast-growing e-commerce infrastructure in the region and the rise of online shopping have significantly increased the demand for logistics services in the region. The logistic vendors are investing heavily in telematics solutions to optimize the feet functions and improve delivery services. Kia said to come up with OTA capabilities in February 2023 across a full model line-up. These updates are said to offer more improvements.
Competitive Analysis
The key players in the global connected truck telematics market include:
- Transics (WABCO)
- Idelic
- Spireon
- CarrierWeb
- Navistar International Corporation (OnCommand Connection)
- Cummins (Cummins Connected Diagnostics)
- Daimler Trucks (Detroit Connect)
- Volvo Group (Volvo Trucks)
- Zonar Systems
- KeepTruckin
- TomTom Telematics
- CalAmp
- Omnitracs
- Samsara
- Geotab
- Teletrac Navman
- Verizon Connect
- Trimble Transportation
For instance, Mahindra Truck and Bus revealed iMAXX in August 2020. It is an innovative telematics platform installed into Mahindra's commercial vehicle.
The global connected truck telematics market is segmented as follows:
By Component Segment Analysis
- Software
- Hardware
By Vehicle Segment Analysis
- Heavy Commercial
- Light Commercial Vehicles
By Services Segment Analysis
- Maintenance
- Management
- Fleet
By Type Segment Analysis
- Long Range Network
- Short Range
- Dedicated Short Range
By Regional Segment Analysis
- North America
- The U.S.
- Canada
- Mexico
- Europe
- France
- The UK
- Spain
- Germany
- Italy
- Rest of Europe
- Asia Pacific
- China
- Japan
- India
- Australia
- Southeast Asia
- Rest of Asia Pacific
- The Middle East & Africa
- Saudi Arabia
- UAE
- Egypt
- Kuwait
- South Africa
- Rest of the Middle East & Africa
- Latin America
- Brazil
- Argentina
- Rest of Latin America
Table of Content
Industry Major Market Players
- Transics (WABCO)
- Idelic
- Spireon
- CarrierWeb
- Navistar International Corporation (OnCommand Connection)
- Cummins (Cummins Connected Diagnostics)
- Daimler Trucks (Detroit Connect)
- Volvo Group (Volvo Trucks)
- Zonar Systems
- KeepTruckin
- TomTom Telematics
- CalAmp
- Omnitracs
- Samsara
- Geotab
- Teletrac Navman
- Verizon Connect
- Trimble Transportation
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