The rise of vehicle connectivity technologies in Asian economies has been receiving a strong push from government driven initiatives regarding road safety. According to a recent market research report published by Future Market Insights (FMI), the automotive telematics market in Asia Pacific (APAC) is expected to reach the revenues worth US$ 14 Bn by 2019 end. During 2019-2029, the market value for automotive telematics in APAC is projected to witness robust growth at 9% CAGR.
Increasing rate of installation of navigation devices in new and existing vehicles is projected to remain the key factor driving adoption of automotive telematics in APAC. Moreover, rising acceptance of car connecting technologies, and increasing car rental and sharing activities collectively account for healthy growth forecast of APAC automotive telematics market.
- Growing demand for wireless connectivity for enhanced digital car capabilities is expected to drive the growth of automotive telematics market in APAC.
- China is projected to account for a major revenue share in APAC automotive telematics market, as the government has mandated installation of telematics in passenger and commercial vehicles.
- OEMs in China are aggressively promoting telematics, especially in low- and medium-end car models.
- Automotive telematics market in India is expected to witness sluggish growth in the near future, attributing to the factors, such as demonetization and imposition of GST on automobiles, which in turn are affecting sales of passenger and commercial vehicles within the country.
- Automotive OEMs are expected to continue their investments in various technological advancements, such as smartphone integration in vehicle infotainment units. This is anticipated to make embedded solutions more affordable and engaging.
- Furthermore, major telecom operators in APAC are collaborating with local players to develop navigation, on-board diagnostics (OBD), and smart mirrors with the help of high-speed Internet. This is actively contributing towards the growth of automotive telematics market in APAC.
“In line with increasing awareness about vehicle safety and security, manufacturers of automotive telematics are keenly focused on manufacturing high-tech automotive telematics at lower costs. Evolving consumer preferences, consistently increasing vehicle parc, and efforts of automakers in adding to the affordability of telematics, are expected to assist the growth of automotive telematics market growth in APAC.”
APAC Automotive Telematics Market: Competitive Landscape
The automotive telematics market is fragmented owing to the presence of a large number of manufacturers, some of which include Airbiquity Inc.,Visteon Corporation, and ACTIA Group. Globally leading brands account for a revenue share of 15-20% in APAC market. For an extended customer base, companies are concentrating on a fully-efficient and well-structured supply chain, along with an improved retailing network. Airbiquity Inc. recently launched a new version of over-the-air (OTA) software and data management system for vehicles, to enable easy navigation of vehicle location.
For More Detailed Insights on Asia Pacific Automotive Telematics Market
Positive growth outlook of the automotive telematics market is primarily driven by rising acceptance of vehicle and driver’s safety and security technologies, increasing government budget for road and telecom infrastructure, and expanding car connecting technology infrastructure. Moreover, insurers and auto manufacturers worldwide have set their focus on telematics to strengthen customer relationships.
About FMI – Automotive and Transportation
The Automotive and Transportation division of FMI provides exclusive coverage and actionable insights about the automotive and transportation industry, encompassing automotive, aviation, shipping and marine, and railway sectors. Market findings and competition intelligence of OEM, aftermarket service, and technology landscape have helped numerous industry stakeholders’ right from automakers, component manufacturers, channel partners, and service providers in taking informed decisions and keeping them up-to-date with market behavior.
For additional insights on the APAC automotive telematics landscape, write in to the analyst at firstname.lastname@example.org
About Future Market Insights (FMI)
Future Market Insights (FMI) is a leading provider of market intelligence and consulting services, serving clients in over 150 countries. FMI is headquartered in London, the global financial capital, and has delivery centres in the U.S. and India. FMI's latest market research reports and industry analysis help businesses navigate challenges and take critical decisions with confidence and clarity amidst breakneck competition. Our customized and syndicated market research reports deliver actionable insights that drive sustainable growth. A team of expert-led analysts at FMI continuously track emerging trends and events in a broad range of industries to ensure that our clients prepare for the evolving needs of their consumers.