Skip to main content

Fleet Management Systems Adopt IoT and M2M Apps

Growing applications for Internet of Things (IoT) and Machine-to-Machine (M2M) technologies will transform commercial vehicle fleets. Moreover, the active fleet management systems already deployed in commercial vehicle fleets in North America was 5.8 million during the fourth quarter (Q4) of 2015, according to the latest market study by Berg Insight.

Increasing at a compound annual growth rate (CAGR) of 17 percent, the fleet management systems installed base in North America is expected to reach 12.7 million units by 2020.

In Latin America, the number of active fleet management systems is expected to increase from 2.3 million in Q4 2015, growing at a CAGR of 12.8 percent to reach 4.1 million in 2020.

Fleet Management Systems Market Development

The top fifteen providers of fleet management systems in the Americas now have a combined installed base of more than 4 million active units in the region, and the top five vendors account for 2.5 million units.

The leading solution providers now all have more than 400,000 active units on this market. The fast-growing fleet management industry has for several years been in a phase of strong consolidation, which shows no signs of slowing down in the near-term.

"Leading providers on a global basis have now surpassed half a million fleet management subscribers by far, and are continuing to grow at a high pace driven by organic growth in combination with selective M&A," said Rickard Andersson, senior analyst at Berg Insight.

Fleet Management Vendor Consolidation Trends

Notable transactions in 2015 include the merger of Teletrac and Navman Wireless to create a global telematics organization, as well as the combination of BSM Technologies and Webtech Wireless on the North American market.

Fleetmatics continued its international expansion, acquiring Ornicar in France and Visirun in Italy during the year. The first half of 2016 has also seen some high-profile vendor consolidation deals.

Most notably, Verizon Communications announced in June that it had signed an agreement to purchase Telogis, thereby extending its existing presence in the fleet management sector -- which also includes the Verizon Networkfleet business stemming from the acquisition of Hughes Telematics in 2012.

"The acquisition of Telogis propels Verizon to a leading position from a global perspective in terms of fleet management subscriber base," said Mr. Andersson. He adds that Berg Insight anticipates that at least one of the solution providers will have reached the milestone of 1 million fleet management units globally by 2018.

Popular posts from this blog

Digital Talent Demand Exceeds Supply in Asia-Pac

Even the savviest CEO's desire for a digital transformation advantage has to face the global market reality -- there simply isn't enough skilled and experienced talent available to meet demand. According to the latest market study by IDC, around 60-80 percent of Asia-Pacific (AP) organizations find it "difficult" or "extremely difficult" to fill many IT roles -- including cybersecurity, software development, and data insight professionals. Major consequences of the skills shortage are increased workload on remaining digital business and IT employees, increased security risks, and loss of "hard-to-replace" critical transformation knowledge. Digital Business Talent Market Development Although big tech companies' layoffs are making headlines, they are not representative of the overall global marketplace. Ongoing difficulty to fill key practitioner vacancies is still among the top issues faced by leaders across industries. "Skills are difficul

How Cloud Fuels Digital Business Transformation

Across the globe, many CEOs invested in initiatives to expand their digital offerings. User experience enhancements that are enabled by business technology were a priority in many industries. Worldwide end-user spending on public cloud services is forecast to grow 21.7 percent to a total of $597.3 billion in 2023 -- that's up from $491 billion in 2022, according to the latest market study by Gartner. Cloud computing is driving the next phase of digital transformation, as organizations pursue disruption through technologies like generative Artificial Intelligence (AI), Web3, and enterprise Metaverse. Public Cloud Computing Market Development "Hyperscale cloud providers are driving the cloud agenda," said Sid Nag, vice president at Gartner . Organizations view cloud computing as a highly strategic platform for digital transformation initiatives, which requires providers to offer new capabilities as the competition for digital business escalates. "For example, generativ

Mobile Device Market Still Awaiting Recovery

The mobile devices market has experienced three years of unpredictable demand. The global pandemic, geopolitical pressures, supply chain issues, and macroeconomic headwinds have hindered the sector's consistent growth potential. This extremely challenging environment has dramatically affected both demand and supply chains. It has led to subsequent inflationary pressures, leading to a worsening global cost of living crisis suppressing growth and confidence in the sector. In tandem, mobile device industry stakeholders have become more cautious triggering market uncertainties. Mobile Device Market Development Operating under such a backdrop, the development of mobile device ecosystems and vendor landscapes have been impacted severely. Many of these market pressures persisted throughout 2022 and now into 2023, borne chiefly by the smartphone market. According to the latest worldwide market study by ABI Research, worldwide smartphone shipments in 2022 declined 9.6 percent Year-over-Year