Skip to main content

Fleet Management Apps for The Internet of Things

One of the most interesting applications for embedded M2M technologies is with commercial vehicle fleets. Fleet Management is about improving commercial fleet vehicle operations. New mobile technology applications are an example of practical uses for concepts that are known as the Internet of Things.

Intelligent fleet management solutions based on proven wireless technologies -- such as GPS-based telematics -- are helping fleet operators to enhance their efficiency in terms of improving vehicle performance and fuel mileage, enhancing reliability or safety, scheduled maintenance planning and optimizing delivery routes.

The growing competitiveness among the transportation service providers, CO2 emission control norms, and rising fuel prices are making Fleet Management Systems an essential component for the business operation of the fleet vehicle operators. The overall Fleet Management market is expected to grow from $10.91 billion in 2013 to $30.45 billion by 2018 -- that's at a Compound Annual Growth Rate (CAGR) of 22.8% from 2013 to 2018.

According to the latest market study by Berg Insight, the number of active fleet management systems deployed in commercial vehicle fleets in North America was 4 million in the fourth quarter (Q4) of 2013.

Growing at a compound annual growth rate (CAGR) of 15.3 percent, this installed base of systems is expected to reach 8.1 million by 2018.

In Latin America, the number of active fleet management systems is expected to increase from 1.9 million in Q4-2013, growing at a CAGR of 16.1 percent to reach 3.9 million in 2018.

Berg Insight believes that the top ten providers of fleet management systems in the Americas now have a combined installed base of more than 2.5 million active units within the region.

Leading solution providers now have more than 300,000 active units in this market. The consolidation trend in the fleet management industry has continued and the market has seen a number of major transactions in recent years.

Qualcomm has divested its Omnitracs business which pioneered the fleet management industry in the 1980s. Omnitracs has since then acquired other solution providers – most notably the competing heavy truck fleet management provider XRS with more than 100,000 subscribers.

The global fuel card and workforce payment provider, FleetCor, has acquired NexTraq that's based in the U.S. market, while the tire manufacturer Michelin has acquired the leading Brazilian fleet management provider Sascar.

"These two deals are particularly interesting due to the fact that the well-known acquirers are newcomers to the fleet management space," said Rickard Andersson, senior analyst at Berg Insight.

Both FleetCor and Michelin decided to enter this market after having identified relevant synergies between its traditional product portfolios and fleet management solutions. The fleet management industry still remains overcrowded as there are hundreds of solution providers in the Americas alone.

Numerous additional mergers and acquisitions are thus expected in this industry in the upcoming years. Berg Insight anticipates a future scenario where the global fleet management market is dominated by a handful of providers with installed bases measured in the millions.

Popular posts from this blog

Linux Phone Standards Forum

A new Linux Phone Standards Forum (LiPS) has been founded to promote mass market adoption of Linux telephony terminals through standardization, interoperability testing and market education. The founding members include Cellon, France Telecom, FTM Labs, Huawei, Jaluna, Mizi, Open Plug and PalmSource. LiPS will support device manufacturers and operators in bringing to market Linux-based devices at lower cost (due to lower deployment costs through standardization), while facilitating the programming and development process for software and silicon vendors. The Forum said plans to work with other organizations such as the OMTP and OMA to identify requirements of distinct device categories including smartphones, feature phones, fixed-line, or converged devices. For each of these categories, or profiles, LiPS will define standard API�s that support relevant applications and services as well as a certification process for technology providers. In keeping with the open source philosophy, L

Cloud Services Gain New Momentum in Europe

Across European nations, more CIOs and CTOs are investing in public cloud services that become the essential foundation for the design and delivery of innovative digital transformation projects. Public cloud computing spending in Europe will reach $113 billion in 2022 and will double to $239 billion by 2026, growing at a 22 percent 5-year CAGR, according to the latest market study by International Data Corporation (IDC). Investments in Software-as-a-Service (SaaS) will continue to lead most of the spending in Public Cloud in Europe in 2022, but Platform-as-a-Service (PaaS) will be the fastest-growing segment. In fact, PaaS enables digital business deployment via the quick testing and production of new software applications. Public Cloud Market Development Professional services, banking, and discrete manufacturing will be among the top spenders in public cloud services, absorbing almost 60 percent of the overall public cloud services spend in 2022.  Human-centric industries are adjustin

Strategic Digital Transformation Spending Trends

Looking ahead, many Chief Executive Officers (CEOs) continue to selectively invest in new strategic digital transformation projects that enable a significant competitive advantage. Some additional investments may go towards improving existing IT infrastructure and operations.  Worldwide IT spending is now projected to total $4.5 trillion in 2022 -- that's an increase of 3 percent from 2021, according to the latest updated estimate by Gartner. For now, most CIOs will be relieved that their budget is safe from major cuts. While IT spending is expected to grow in 2022, it will be at a slower pace than in 2021 -- partly due to a 5 percent cutback on spending for personal computers, media tablets, and printers. Digital Transformation Market Development "Central banks around the world are focusing on fighting inflation, with overall inflation rates expected to be reduced through the end of 2023. However, the current levels of volatility being seen in both inflation and currency exch