The Asia-Pacific automotive telematics market size is expected to reach USD 91.76 billion by 2030, registering a CAGR of 15.8 % over the forecast period. Increasing integration of telematics in three-wheeler and two-wheeler vehicles, development in the telematics control module, and enhancement in IoT and AI technologies for automotive telematics are driving the market growth. In addition, the rising adoption of telematics systems in the insurance sector to track driving attributes is further propelling the growth.
The Asia Pacific market for automotive telematics is witnessing significant transformation owing to digitalization in the automotive industry. Connected and autonomous vehicles involve the integration of a plethora of sensors and ECUs, which telematics utilizes to gather large volumes of data. The data gathered through these sensors are used to analyze parameters such as vehicle idle time, vehicle location, fuel and battery level monitoring, vehicle component health, and driver behaviors. The integration of IoT in telematics also aids logistic companies, governments, and educational institutes' fleet managers in providing analysis of the fleet's performance, safety, and availability through the culmination of streamed line data.
The embedded telematics segment is expanding; owing to the increasing integration of wireless communication features in vehicles coupled with the adoption of usage-based vehicles telematics insurance in vehicles. The segment is further expected to witness high-pace growth over the forecast period as connected sensors are becoming cost-effective, connected technology is being integrated into basic passenger vehicle models, and shared mobility fleets have become a prevalent mode of public transport in major economies, therefore these factors are supporting the growth of Asia Pacific automotive telematics industry.
Additionally, the integration of a telematics system into a vehicle allows one to observe, transmit, analyze, and archive real-time vehicle data. The data gathered through the telematics system is utilized by manufacturers to improve vehicle performance, auto service providers to know the schedule of maintenance, by insurance insurance-providing companies for driver behavior analysis among others. Therefore, increasing the use of real-time data collected through telematics systems is expected to propel the growth of the Asia Pacific market for automotive telematics.
Moreover, the growing adoption of ADAS systems with embedded telematics is aiding in reducing the number of road accidents in Asian countries. For instance, according to the statistics released by the National Police Agency, Japan, nationwide traffic accidents reduced by 1.3 in 2021 to 301, 193, and traffic fatalities have reduced to 2, 610 in 2022, witnessing a drop of 1.0 % as compared to 2021.
The major telematics services providers operating in the APAC automotive telematics market are taking various strategic initiatives such as partnerships, collaborations, product launches, mergers, and acquisitions to establish their footprint in the regional market. For instance, in November 2022, ATrack Technology Inc., a telematics device designer and manufacturer, launched 4G fleet management products, namely the AK500 telematics gateway and AX300 OBD tracker. These devices facilitate logistics operators to enhance efficiency and reduce their operating costs, thereby providing a competitive edge to manufacturers in the market.
The Asia Pacific market for automotive telematics is witnessing significant transformation owing to digitalization in the automotive industry. Connected and autonomous vehicles involve the integration of a plethora of sensors and ECUs, which telematics utilizes to gather large volumes of data. The data gathered through these sensors are used to analyze parameters such as vehicle idle time, vehicle location, fuel and battery level monitoring, vehicle component health, and driver behaviors. The integration of IoT in telematics also aids logistic companies, governments, and educational institutes' fleet managers in providing analysis of the fleet's performance, safety, and availability through the culmination of streamed line data.
The embedded telematics segment is expanding; owing to the increasing integration of wireless communication features in vehicles coupled with the adoption of usage-based vehicles telematics insurance in vehicles. The segment is further expected to witness high-pace growth over the forecast period as connected sensors are becoming cost-effective, connected technology is being integrated into basic passenger vehicle models, and shared mobility fleets have become a prevalent mode of public transport in major economies, therefore these factors are supporting the growth of Asia Pacific automotive telematics industry.
Additionally, the integration of a telematics system into a vehicle allows one to observe, transmit, analyze, and archive real-time vehicle data. The data gathered through the telematics system is utilized by manufacturers to improve vehicle performance, auto service providers to know the schedule of maintenance, by insurance insurance-providing companies for driver behavior analysis among others. Therefore, increasing the use of real-time data collected through telematics systems is expected to propel the growth of the Asia Pacific market for automotive telematics.
Moreover, the growing adoption of ADAS systems with embedded telematics is aiding in reducing the number of road accidents in Asian countries. For instance, according to the statistics released by the National Police Agency, Japan, nationwide traffic accidents reduced by 1.3 in 2021 to 301, 193, and traffic fatalities have reduced to 2, 610 in 2022, witnessing a drop of 1.0 % as compared to 2021.
The major telematics services providers operating in the APAC automotive telematics market are taking various strategic initiatives such as partnerships, collaborations, product launches, mergers, and acquisitions to establish their footprint in the regional market. For instance, in November 2022, ATrack Technology Inc., a telematics device designer and manufacturer, launched 4G fleet management products, namely the AK500 telematics gateway and AX300 OBD tracker. These devices facilitate logistics operators to enhance efficiency and reduce their operating costs, thereby providing a competitive edge to manufacturers in the market.
Asia-Pacific Automotive Telematics MarketReport Highlights
- The automotive telematics market in Asia Pacific is expected to witness new growth opportunities owing to the growing inclination towards connected vehicles, increased level of autonomy in vehicles, and government mandates on installing tracking devices in commercial vehicles
- The embedded segment is expected to witness significant growth over the forecast period. Factors such as the inclusion of embedded telematics systems by automobile manufacturers, increasing level of autonomy in vehicles, and enhancement in connected technology are driving segmental growth
- The commercial vehicle segment is expected to grow significantly over the forecast period. The expanding e-commerce sector in the region creates demand for the logistics and transportation segment. Truck and bus fleet managers are integrating telematics for efficient fleet management
- The OEM segment is expected to register the highest CAGR from 2023 to 2030. Telematics solution providers and hardware manufacturers generally partner with automotive OEMs, government organizations such as oil corporations, schools, and logistics service providers
- The service segment is expected to grow significantly over the forecast period. In the Asia Pacific region three-wheelers, buses, and 4-wheelers are the preferred mode of public transportation, and the rising integration of telematics systems in these vehicles has increased the number of telematics services subscribers, which contributed to high pace segmental growth
- The safety security segment is expected to grow significantly over the forecast period. The government mandates to installation of several ADAS features in commercial and passenger vehicles is a major factor driving the segmental growth. ADAS uses video-based telematics solutions to monitor your driver’s actions on the road. Based on ADAS and vehicle sensors, the integration takes data and video feeds, resulting in the mapping of the driver’s behavior
Table of Contents
Chapter 1. Methodology and Scope
Chapter 2. Executive Summary
Chapter 3. Asia Pacific Automotive Telematics Market Variables, Trends & Scope
Chapter 4. Asia Pacific Automotive Telematics Market Technology Outlook
Chapter 5. Asia Pacific Automotive Telematics Market Solution Outlook
Chapter 6. Asia Pacific Automotive Telematics Market Vehicle Outlook
Chapter 7. Asia Pacific Automotive Telematics Market Sales Channel Outlook
Chapter 8. Asia Pacific Automotive Telematics Market Application Outlook
Chapter 9. Asia Pacific Automotive Telematics Market: Country Outlook
Chapter 10. Competitive Landscape
List of Tables
List of Figures
Companies Mentioned
- Guangzhou Xingwei Information Technology Co. Ltd
- Shenzhen Huabao Electronic Technology Co. Ltd
- MiX Telematics Ltd
- Concox Information Technology Co. Ltd
- Trimble Inc.
- Tata Consultancy Services Ltd
- Tech Mahindra Limited
- HARMAN International.
- Suntech International
- Teletrac Navman
Methodology
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Table Information
| Report Attribute | Details |
|---|---|
| No. of Pages | 100 |
| Published | September 2023 |
| Forecast Period | 2022 - 2030 |
| Estimated Market Value ( USD | $ 28.37 Billion |
| Forecasted Market Value ( USD | $ 91.76 Billion |
| Compound Annual Growth Rate | 15.8% |
| Regions Covered | Asia Pacific |
| No. of Companies Mentioned | 10 |
