Global commercial telematics system revenues will nearly double by 2024 to over US$29 Billion, with subscriptions to exceed 86 million in the same timeframe, says ABI Research.
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%.
“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% 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 US$2 Billion by 2024 for this category alone.
Advanced Driver Assistance Systems (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.