OHV Telematics Market

2021 Analysis and Review: OHV Telematics Market by Sales Channel – Original Equipment Manufacturers (OEMs) and Aftermarket for 2021 – 2031

OHV Telematics Market Snapshot

As per the FMI’s study, off-highway vehicle (OHV) telematics market is poised to expand at an impressive 15.40% CAGR during the assessment period of 2021 and 2031. The market valuation will reach US$ 424 Mn in 2021.

With construction being the most lucrative segment owing to the increasing application of OHV telematics in off highway vehicles, the market demand will rise at a healthy pace during the forecast period. According to the FMI’s analysis, the construction segment is anticipated to account for around 64.4% of global OHV telematics market sales.

Key Points Covered in OHV telematics Market Study

  • Market estimates and forecast 2021-2031
  • Key drivers and restraints impacting market growth
  • Segment-wise, Country-wise, and Region-wise Analysis
  • Competition Mapping and Benchmarking
  • Brand share and Market Share Analysis
  • Key Product Innovations and Regulatory Climate
  • COVID-19 Impact on OHV Telematics Market and How to Navigate
  • Recommendation on Key Winning Strategies

2016 – 2020 OHV Telematics Market Historic Sales Compared to 2021-2031 Forecast Outlook

The off-highway vehicle (OHV) telematics market demand outlook remains impressive, mainly driven by increasing adoption of telematics technologies across construction, agriculture & mining equipment.

As per the FMI’s analysis, the global OHV telematics market grew at a rate of 9% CAGR during 2016-2020, owing to the increasing adoption of telematics technologies within the automotive industry.

The automotive industry is tapping into next-generation technologies such as automotive telematics, while assisting the development and performance of machinery. Driven by this, the market is anticipated to witness substantial growth over the forecast period.

Burgeoning demand for cellular technology with increasing application within construction and mining industries will encourage the adoption of telematics in off highway vehicles.

Other trends propelling the growth such as reduction in the cost of telematics services, government policies to increase safety & security of off-highway vehicles and rising global production for off-highway vehicles.

Reluctance to change business practices and lack of standardization of telematics system are some of the factors likely to limit the growth of off-highway vehicle (OHV) telematics market.

However, with the increasing penetration of advanced technology, coupled with the rising demand for off highway vehicles, the market will continue registering gain at accelerated pace through the course of the forecast period.

As per FMI, off highway vehicle telematics sales is poised to increase at a staggering CAGR of 15.40%, reaching a valuation of US$ 424 Mn through 2021.

Adoption of Artificial Intelligence (AI) and Internet of Thinking (IoT) to Bolster Growth

Expansion of automotive industry and adoption of advanced technologies for better performance of equipment have boosted the demand of telematics technologies among the end users.

Adoption of big data and other advanced technologies for better connectivity and real-time data have increased the incorporation within the off-highway vehicles. Demand for advanced OHV for various application such as precision farming is furthering the adoption of telematics technologies.

Emergence of telematics combined with the improved performance and minimized labor due to the assistance of AI and IoT have increased the sales of OHV with advanced telematics system.

For instance, in January 2019, the Indian government introduced a new report of AIS 140 motor vehicles that mandates the incorporation of telematics technology with the vehicles.

Growing need for the safety and security of the OHV without compromising cost or efficiency has led to the adoption of smart telematics system, optimizing the machinery performance.

AI-based telematics system ensure the performance and production rate of machinery while locating the real-time data as per the locations to avoid any danger looming in the construction sites or agricultural farming.

How Will Implementation of Stringent Regulations Impact OHV Telematics Sales?

Stringent regulations implemented on the automobile industry are expected to impact the adoption, installation and usage of telematics technologies in the off highway vehicles.

Increasing usage of off highway vehicles within construction and mining sector have bolstered the accident rates across the globe, especially in the U.S. Hence, pertaining to the safety of off highway vehicles, adoption of advanced telematics technology have been made mandatory.

Also, need for regulations has arisen from the necessity for standardization of equipment, performance of equipment and to curb the accident risks across the construction industry.

For instance, in 2019 the Executive Order 13834 Efficient Federal Operations report highlights the importance of adoption of telematics in the federal government. These regulatory policies are expected to improve the market demand over the coming years.

Country-wise Insights

Why Is The U.S. Anticipated To Yield Impressive Growth Opportunities?

The OHV telematics market is poised to expand at a steady rate over the forecast period. Increasing production of off highway vehicles will boost the sales in the U.S.

According to the International Organization of Motor Vehicle Manufacturers, production of off highway vehicles across the U.S. reached around 8,156,719 units in 2017.

Increasing adoption of telematics technologies across the applications such as construction and mining equipment will boost the growth across the U.S. Imposition of strict rules pertaining to the safety of drivers and workers due to the failure of machinery and equipment have improved the adoption of telematics technologies.

As per the report of Occupational Safety and Health Administration, in 2019 on an average about 15 deaths every day was recorded in the country. Around 5,333 workers succumbed due to the failure in machinery and equipment in 2019.

Hence, adhering to the strict regulatory policies of the government, automakers and OEMs are adopting various advanced technologies such as artificial intelligence and internet of thinking to improve the performance and provide real-time data, avoiding the risk at the construction sites.

With the rising demand in the end-use application such as construction and surface mining machinery, key players will witness high growth opportunities over the forecast period.

FMI estimates, the U.S. is anticipated to hold prominent market share, with North America registering the growth at 9.50% CAGR during the forecast period.

How will the Demand for OHV Telematics Rise in China?

China has one of the largest automotive industry in the world. Production of automobiles, including off highway vehicles, have been on an upward trajectory since the past few years. Despite a slight setback due to the outbreak of coronavirus, China’s automotive industry have bounced back.

As per the statistics of ‘Organisation Internationale des Constructeurs d'Automobiles’ automobiles production in April 2020 was recorded to be around 5,231,161 units. In April 2021, the production decreased slightly, with around 1,714,000 units in China. However, even with the decrease in production, the demand for off highway telematics within the construction industry have increased the adoption.

With the increasing production of automobiles in the country, technological advancement in the country is on the upswing. Adoption of artificial intelligence, internet of thinking and big data within telematics have propelled the demand of advanced telematics system.

Stringent regulatory policies for the installation of satellite positioning and telematics systems is playing vital role in the adoption of telematics by China’s automotive industry.

What is Supporting OHV Telematics Sales across Germany?

Development of German automotive industry has been on an upward trajectory since past couple of years on the back of rising technological advancements within the industry.

Increasing adoption of advanced technology such as artificial intelligence and Internet of Thinking (IoT) is providing stimulus for the OHV telematics market.

Expansion of automotive industry as well as the increasing focus on the safety & security of off-highway vehicles are the key growth factors.

FMI projects, Germany is anticipated to spearhead the OHV telematics market growth across Western Europe during the forecast period, followed by the U.K.

Stringent government policies focusing on the safety and security of off-highway vehicles have propelled the adoption of telematics among the OEMs and automakers across Germany.

Demand for telematics from mining industry across Germany have compelled the manufacturers to incorporate advanced technology in the OHV to cater the demand.

For instance, OEMs across Germany are adopting artificial intelligence into the in-vehicle camera systems, providing real-time data for drivers’ fatigues and behavior as well as the positioning of the vehicle.

Incorporation of cellular technology combined with the real-time data projected with the help of AI assists in the performance and maintenance of the equipment.

According to the European Road Safety Observatory report, government across Germany have imposed strict policies regarding the safety of off highway vehicles. Incorporation of telematics in the off highway vehicles is mandatory as per the government rules.

Several public campaigns for awareness and incidents with agricultural tractors on rural roads were initiated by the government in 2017 across Germany. Due to this stringent policies, automakers and OEMs are increasing the adoption of telematics in the off highway vehicles.

How will Precision Farming across India Foster the Sales of OHV Telematics?

FMI has projected India to be one of the most lucrative markets throughout the course of the assessment period. One of the major factor supporting the growth is growing precision farming across the country.

To yield better crop production, farmers are adopting novel technologies such as telematics to perform vehicular and machinery monitoring in the farm as well as on the road.

Farm managers and stakeholders with the help of telematics analyzes the performance of the equipment and machine to avert any looming dangers.

Telematics allows farm managers to screen the operations of their equipment & machinery remotely by fitting the machines with a telematics system that allows the machine to direct computerized information on the performance.

As agriculture is backbone of India’s economy, which reflects 18% of India’s gross domestic product (GDP), with more than 70% of rural families dependent on agriculture for their survival, states Ministry of Agriculture.

Incorporation of artificial intelligence and use of telematics for precision farming rose with the increased government funding for the welfare of small and medium scale farmers.

According to the Pradhan Mantri Kisan Samman Nidhi Scheme, Indian government raised US$ 85 million for farm mechanization and US$ 1.7 billion to support over 90 million farmers in 2020.

Initiatives for smart farming concepts for maximum productivity with the help of telematics solution in precision farming will aid the market growth over the forecast period.

Category-wise Insights

Which End-Use Application will Cement Dominance in the Long Run?

In terms of end-use application, construction segment is anticipated to account for the majority of OHV telematics sales through 2021, accounting for over 64.4% of market sales.

Construction segment is further sub-segmented into cranes, dozers, dump trucks, excavators and others. Increasing demand for telematics technology from construction equipment rental companies will improve the segment growth.

Rising competition in the construction industry demands for advanced technology to improve and track the performance of construction equipment. Telematics also helps to keep the track of weather on-site as well as manage the performance of equipment on location.

Optimizing equipment distribution across the location sites can consequently improve the progress with construction projects. Telematics solutions in the off-highway vehicles used for construction projects assist with planning of maintaining schedules.

When it comes to maintenance, telematics also helps in keeping the equipment operational while maximizing the output and minimizing the need of labor work.

Hence, demand for telematics in the construction industry will burgeon even more in the upcoming years with surging technological development. Increasing application within construction industry will bolster the OHV telematics market growth.

Will Cellular Technology Boost the OHV Telematics Market Demand in Future?

By technology type, the global OHV telematics market is bifurcated into cellular technology and satellite technology. With OEMs extensively adopting novel technology and software for new telematics solution, demand for cellular technology have spurred among the auto makers.

Off-highway vehicle telematics use locational data and different data to display information from other sensors. Some of that data is based on global positioning system (GPS), hence demand for cellular technology is increasing.

As per the FMI’s projections, cellular segment is anticipated to reflect notable growth at over 11% CAGR during the assessment period.

With cellular technology off-highway vehicles get improved traffic management and efficiency, optimized traffic flow based on current transport infrastructure, and better monitoring of fleet tracking, fuel consumption and others.

Due to such benefits, cellular technology will be the most preferred technology for telematics service providers as cellular network is now available across the globe.

How are OEMs Acquiring Popularity among OHV Telematics Market Players?

On the basis of sales channel, the OHV telematics market is segmented into OEM and aftermarket. As per the FMI’s analysis, the OEM segment is anticipated to lead the market, exhibiting an impressive growth at over 11.4% CAGR over the forecast period.

Automakers generally prefer OEMs over aftermarket OHV telematics service providers, owing to the deployment of new and advanced technology products. Increasing collaborations between OEMs and automakers will further the growth of this segment.

Long-term agreements and mergers are forming between the OEMs and automakers catering the demand of consumers with the enhanced and advanced services. OEMs such as JCB, Caterpillar, Volvo and Komatsu are offering their own telematics services namely LiveLink, CAT Product Link, Care Track and KOMTRAX, respectively.

Competitive Landscape

Strategic collaboration with other top companies and OEMs along with new product launches remains the key strategies of the leading market players to generate lucrative revenues over the forecast period.

As per FMI’s analysis, leading top 5 players of OHV telematics market are leading the competitive landscape contributing the market share of 25%.

The top 5 leading OHV telematics market players include, TomTom International, Harman International, MiX Telematics, ORBCOMM Inc., and Omnitracs.

Leading OHV telematics market players are focusing on expanding their customer base through various strategies such as expansion of their product portfolio through new product launches and innovations.

  • In December 2020, OCTO Telematics announced the launch of OCTO IoT4Insurance on salesforce AppExchange to increase the customer base through their perceived opinion on the product and to support the lead generation for fast-growing new opportunities.
  • In September 2020, MiX Telematics, a leading global provider of connected fleet management solutions, announced its collaboration with OEM Navistar to create enhanced solution of their customer through the Software as a Service (SaaS).
  • In January 2021, Geotab, a global leader in IoT and connected transportation, announced the launch of its new GO9+ telematics solution, which includes Wi-Fi connectivity.

Scope of Report



Forecast Period


Historical Data Available for


Market Analysis

USD Million for Value and ‘000 Units for Volume

Key Countries Covered

US, Canada, Germany, U.K., France, Italy, Spain, Russia, China, Japan, South Korea, India, Thailand, Malaysia, Indonesia, Australia, New Zealand, GCC Countries, Turkey, Northern Africa, and South Africa

Key Segments Covered

Sales Channel, End-Use Application, Technology Type, and Region

Key Companies Profiled

Report Coverage

Market Forecast, Company Share Analysis, Competition Intelligence, DROT Analysis, Market Dynamics and Challenges, and Strategic Growth Initiatives

Customization & Pricing

Available upon Request

Key Questions Answered in the Report

  • What is the current OHV telematics market value?

    The OHV telematics market is expected to exceed US$ 424 Bn in 2021

  • At what rate did the OHV telematics market grow between 2016 and 2020?

    The OHV telematics market projected a growth at a CAGR at 9% between 2016 and 2020.

  • What are the key trends driving OHV telematics sales?

    Increasing adoption of telematics by rental equipment companies, reduction in the cost of telematics services, and growing precision farming are the key drivers fostering sales.

  • Who are the leading players of OHV telematics?

    Top 5 prominent players of OHV telematics market are TomTom International, Harman International, MiX Telematics, ORBCOMM Inc., and Omnitracs.

  • What is the market share of leading players in OHV telematics market?

    The top 5 players in the OHV telematics market will collectively account for 25% of global market share in the year 2021.

  • What will be the demand outlook for North America OHV telematics market?

    North America’s OHV telematics market demand is set to rise at 9.50% CAGR over the forecast period of 2021 and 2031.

  • At what rate will OHV telematics demand rise in Europe?

    The sales for OHV telematics are set to rise at an impressive rate of 10.20% across Europe between 2021 and 2031.

  • Which are the top countries driving the OHV telematics market sales?

    Top countries in terms of OHV telematics sales are China, the U.K., the U.S., India and Germany.

  • What is the current market share of Japan and South Korea in the global OHV telematics market?

    Japan and South Korea, collectively, will account for 6% of global market share in 2021.

OHV Telematics Market by Category

By Sales Channel:

  • Original Equipment Manufacturers (OEMs)
  • Aftermarket

By Technology Type:

  • Cellular
  • Satellite

By End-Use Application:

  • Construction
    • Cranes
    • Dozers
    • Dump Trucks
    • Excavators
    • Loaders
    • Others
  • Agriculture
    • Harvesters
    • Tractors
  • Mining
    • Surface Mining Machinery
    • Underground Mining Machinery

By Region:

  • North America
  • Latin America
  • Eastern Europe
  • Western Europe
  • Asia Pacific excluding Japan
  • Japan
  • Middle East and Africa (MEA)

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