The impact of advanced telematics technology on medium and heavy commercial vehicles (M&HCV), especially trucks, is nothing short of revolutionary. Original equipment manufacturers (OEMs) are partnering with telematics service providers (TSPs) to drive innovations such as truck electrification, edge computing, video telematics, and intuitive decision-making technology. These advancements are unlocking new growth opportunities across the connected vehicle ecosystem.
However, this transformation also comes with significant challenges. Traditional OEMs are under pressure to digitalize their operations and adapt to the rapidly changing landscape. Failure to keep pace with disruptive technologies, particularly in telematics, could result in lost market share to tech-savvy startups that are entering the commercial vehicle space with game-changing solutions.
Attention: Growth Opportunities Ahead!
Whether you are an established OEM or a new entrant, staying competitive requires a proactive approach to innovation. Frost & Sullivan’s latest growth analyses offer perspectives into the opportunities and strategic imperatives that will define the future of connected trucks and telematics.
Key Strategic Imperative Shaping the Connected M&HCV Ecosystem
- Telematics Standardization: OEMs are factory-installing telematics devices across M&HCV fleets, enabling many vehicles to boast connectivity capabilities.
- AI-Powered Innovations: AI is playing a pivotal role in improving fleet management and enhancing driver experiences via fleet management and other app-driven remote solutions.
- Truck Electrification: Electrified trucks are becoming a reality, accelerating the drive toward eco-friendly alternatives.
SNAPSHOT: REGIONAL HIGHLIGHTS IN CONNECTED TRUCKS
Europe
- Steady growth due to favorable regulations and electrification trends.
- TMS (Transportation Management Systems) helping address supply chain challenges.
Latin America
- AI-powered video telematics gaining momentum, particularly in Mexico, despite only
24% of trucks in the region being connected.India
- Massive growth anticipated, driven by GPS-based toll and AIS-140 regulations, creating opportunities for entry-level solutions.
North America
- Novel solutions like 360-degree video surveillance are enhancing safety and productivity.
- The region remains a leader in adopting cutting-edge telematics technologies.
South Africa
- Telematics penetration in South Africa’s M&HCV is projected to rise to 43% by 2025.
- Increasing use cases such as AI-powered driver-centric solutions are driving growth.
Growth Opportunities for OEMs & Startups Alike
Whether you’re an established OEM or a tech startup new to the commercial vehicle space, the connected truck and telematics domain presents vast opportunities. By 2028, over 57% of all fleets will have telematics capabilities, creating competitive advantages for companies that embrace the shift now.
Competitive Edge for OEMs
- Collaborating with tech startups can unlock new possibilities.
- Partnering with third-party vendors is critical for telematics standardization.
Opportunities for Tech Startups
- Expansion into the M&HCV segment is lucrative as more OEMs look to adopt advanced telematics solutions.
Ready to Dive Deeper?
Explore our in-depth growth analysis and uncover the strategies and technologies that will shape the future of connected M&HCV. Gain perspectives into regional developments, OEM strategies, and key growth opportunities.
Download the Growth Analysis Now to stay ahead of the competition and leverage these transformative megatrends!
