automotive telematicsWhat is automotive telematics?

Automotive telematics is a kind of system installed in a vehicle that allows it to communicate. It can be said to be a mobile phone for vehicles.

It allows the vehicle to communicate with the surroundings. For example with the infrastructure i.e. vehicle to infrastructure communication, to the other cars on the road i.e. vehicle to vehicle communication, to other device systems i.e. vehicle to other devices.

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Market Trends

At a CAGR of more than 20%, the global market of automotive telematics is expected to reach a value of more than $55 billions in the next five years, which indeed is a big amount.

The market driving factors to which automotive telematics market industry owe for its growth are-

  • Decreasing cost of connectivity.
  • Strong automotive safety regulations.
  • Growing Awareness about driver safety.
  • Rising market penetration rate of smartphones
  • Advancements in smartphones
  • High speed internet connectivity
  • Growing awareness of telematics
  • Numerous benefits of telematics.
  • Developed GPS receiver.

There are certain aspects restraining the growth of market industry of automotive telematics globally, that are-

  1. Lack of cellular coverage
  2. Increasing hacking
  3. Rising privacy concerns
  4. Low awareness of telematics

More about telematics


We’ve read what telematics is, now let us have an overview about how is it beneficial. Following are a few benefits of telematics –

1) It keeps the vehicle from getting lost by providing navigation.

2) It routes the car around the accidents

3) It automatically dials 911 when the car meets with any accident

4) It keeps the car safer.

5) It summons roadside assistance at the press of a button.

Automotive telematics are also known as vehicle telematics.

Practical application of automotive telematics

1)Vehicle tracking

Automotive telematics with the help of GPS tracker helps in monitoring the location,status, movement and behavior of the vehicle.

2) Satellite navigation

With the help of GPS and mapping tools inbuilt in the vehicle telematics, satellite navigation enables the driver of a vehicle to plan a route, locate a position and navigate a journey.

3) Wireless automotive safety communications

Automotive telematics helps in keeping car safety and road safety. This is so because of the feature available in telematics that enables it to exchange safety information. It assists in exchange of information such as road hazards, location of nearby vehicles and speed of nearby cars in order to avoid accidents, over short range radio links.

4)Intelligent vehicle technology

With respect to automotive telematics, intelligent vehicle technology is used for safety and communication between vehicles or between a vehicle and a sensor on the road.


Automotive telematics, to sum up are one of the best technological advancements and are vastly going to contribute in reducing the number of road accidents. This market industry is expected to witness immense growth in upcoming years.