Implementation of Stringent Vehicle and Road Safety Norms Supports Expansion of Automotive Telematics Market

The global market for automotive telematics is poised to surge at an exponential pace. In the coming years the market will significantly benefit from the advent of integrated telematics. In addition to these, ratification of existing laws to ascertain a high level of road and driver safety has tipped scales in favour of the automotive telematics adoption. Experts suggest that the rising penetration of smartphones is one of the chief drivers of telematics uptake in the automotive sector. This development will create immense scope for telecom operators to carefully identify potential risk and suggest effective management solutions. To aid the expansion of automotive telematics an increasing number of countries are creating infrastructure of integrated transportation network to support private and shared cars, besides other modes of transportation. It is important to note with regards to this that these recent developments were made possible by the increasing availability of mobility integrators.

Innovations in Automotive to Fuel Uptake of Automotive Telematics

Automotive telematics systems support developments such as vehicular emergency warning sytems, automotive driving systems, wireless safety communications, and global position systems (GPS). These systems are built on telecommunications and informatics and are compressed into Wireless Access for Vehicular Environment (WAVE) and Intelligent Transportation SYtem (ITS).

Recurring instances of vehicular mishaps and road accidents have fuelled the demand for innovations in the automotive industry. It is one of the key factors forecast to boost the global automotive telematics market. Overall, safety measures adhered to by the automotive sector have become more stringent in response to the rising number of vehicle owners and subsequently increasing vehicle production. As governments focus on curbing human casualties and damage to vehicles, more stringent regulations are likely to be implemented. This will in turn support the expansion of the automotive telematics market.

Implementation of Automotive Telematics Could Mitigate Concerns Pertaining to Distracted Driving

The innovation will help resolving issues such as disoriented driving and traffic congestions through intuitive vehicular guidance. However, chances of communication breakdowns may hamper the growth of the market to an extent. A key point to consider here is that automotive telematics systems are very sensitive hence a single error could result in serious technical glitches. Nonetheless, the market will continue to enjoy immense scope for growth in the coming years. For instance, the market is forecast to gain considerably from the advent of Human-Machine Interfaces. In addition to this the mandatory installation of black boxes for security purposes in certain regions will enable growth in the market in the long run.

Regionally, North America is expected to show lucrative growth opportunities, trailed closely by Europe. The presence of a sophisticated automotive infrastructure will support the expansion of the market in developed regions. Furthermore, the high purchasing power of customers in the regions will support expansion. As per recent studies, the U.S. and Japan are likely to showcase an exceptional rise in the adoption of automotive telematics. Besides these nations, the market also will witness increasing demand from emerging economies such as China and India.

Some of the leading companies operating in the global market are Trimble Navigations and Omnitracs LLC, ID Systems Inc., FleetmaticsIrL Limited, among others.

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