Global commercial vehicle telematics revenues to reach $29B by 2024
By ABI Research
By ABI Research
Global commercial telematics system revenues will nearly double by 2024 to over $29 billion U.S., with subscriptions to exceed 86 million in the same timeframe, according to ABI Research, a market-foresight advisory firm providing strategic guidance on the most compelling transformative technologies. Increasing opportunities in last-mile delivery led by e-commerce, the need for greater transparency and connectivity, as well as the emergence of Level 2 SAE commercial vehicles, all will enable the technology to achieve a subscription CAGR of approximately 14 per cent.
“The commercial telematics industry continues to attract investments, acquisitions, and geographic expansion to capture recurring revenue streams as well as new vertical and market penetration opportunities,” said Susan Beardslee, Principal Analyst at ABI Research. Services-based commercial vehicles including utilities, cable/telco, and trades will see a 19 per cent CAGR from 2019 to 2024.
Telematics for cold-chain applications represent a significant opportunity, especially for fresh and processed food, as food safety concerns grow in light of multiple recent recalls. Global revenues will grow to nearly $2 billion U.S. by 2024 for this category alone. Commercial telematics providers that offer cold-chain solutions include MiX Telematics, Trimble, Verizon, Gurtam, and Orbcomm.
ADAS capabilities will increasingly be integrated with factory-installed telematics and transmit data to those telematics devices. Trucks will begin to ship this year with SAE Level 2 automation, and growing to over 224,000 units shipped by 2024, at a nearly 18% CAGR for use cases such as driver behavior monitoring and insurance telematics.
These findings are from ABI Research’s Commercial Telematics market data report. This is part of the company’s Intelligent Transportation & eFreight research service, which includes research, data, and Executive Foresights. Market Data spreadsheets are composed of deep data, market share analysis, and highly segmented, service-specific forecasts to provide detailed insight where opportunities lie.