Unified Communications Featured Article
March 28, 2008
ABI Research: Consumer Telematics Hardware and Services Revenue will Reach $41 Billion by 2013
By The field of consumer telematics is growing. As more vehicles are equipped with GPS facilities and drivers appreciate the help they get with these devices, there is a growing demand for consumer telematics, especially in developed countries like United States. The availability of affordable portable and converged telematics solutions is also driving the sales, according to ABI research.
Consumer Telematics, a new study from ABI Research (News - Alert), offers detailed information about the main trends, drivers and barriers in the consumer telematics market. It also describes the telematics ecosystem and value chain, including recommendations to the main market players.
The ABI research predicts that the growth of consumer telematics will be further stimulated by three main factors. To reduce maintenance and repair costs, car manufacturers will deploy telematics hardware as a standard feature. In regions such as the European Union, governments will make telematics safety systems such as emergency calling mandatory in new cars. Also, Insurance companies will play a major role in boosting the sale of telematics by providing major discounts to drivers who are willing to install telematics systems to monitor their driving behavior and for stolen vehicle tracking and recovery.
ABI Research principal Analyst Dominique Bonte said in a company press release, “After several years of moderate growth, consumer telematics solutions are expected to become very popular in the future as drivers start to appreciate the advantages of GPS and cellular communication technology for improved safety, comfort and entertainment. According to our latest forecasts, by 2013 OEM and aftermarket consumer telematics hardware and services will generate annual revenue of $41 billion.”
But it does not mean that it is going to be a cakewalk for the manufacturers of the consumer telematics products, says the ABI research. First, cellular companies need to cut the data communications costs they charge. To reduce fragmentation and hardware costs, and to allow end-to-end service offerings, standardization efforts have to be accelerated. Finally, services and user interfaces will have to be simplified dramatically in order to guarantee an intuitive user experience.
Raju Shanbhag is a contributing editor for TMCnet. To see more of his articles, please visit his columnist page.
Don’t forget to check out TMCnet’s White Paper Library, which provides a selection of in-depth information on relevant topics affecting the IP
Communications industry. The library offers white papers, case studies and other documents which are free to registered users. Today’s featured white paper is Security Considerations For an IP PBX and Contact Center, brought to you by Interactive Intelligence (News - Alert).
Consumer Telematics, a new study from ABI Research (News - Alert), offers detailed information about the main trends, drivers and barriers in the consumer telematics market. It also describes the telematics ecosystem and value chain, including recommendations to the main market players.
The ABI research predicts that the growth of consumer telematics will be further stimulated by three main factors. To reduce maintenance and repair costs, car manufacturers will deploy telematics hardware as a standard feature. In regions such as the European Union, governments will make telematics safety systems such as emergency calling mandatory in new cars. Also, Insurance companies will play a major role in boosting the sale of telematics by providing major discounts to drivers who are willing to install telematics systems to monitor their driving behavior and for stolen vehicle tracking and recovery.
ABI Research principal Analyst Dominique Bonte said in a company press release, “After several years of moderate growth, consumer telematics solutions are expected to become very popular in the future as drivers start to appreciate the advantages of GPS and cellular communication technology for improved safety, comfort and entertainment. According to our latest forecasts, by 2013 OEM and aftermarket consumer telematics hardware and services will generate annual revenue of $41 billion.”
But it does not mean that it is going to be a cakewalk for the manufacturers of the consumer telematics products, says the ABI research. First, cellular companies need to cut the data communications costs they charge. To reduce fragmentation and hardware costs, and to allow end-to-end service offerings, standardization efforts have to be accelerated. Finally, services and user interfaces will have to be simplified dramatically in order to guarantee an intuitive user experience.
Raju Shanbhag is a contributing editor for TMCnet. To see more of his articles, please visit his columnist page.
Don’t forget to check out TMCnet’s White Paper Library, which provides a selection of in-depth information on relevant topics affecting the IP
Communications industry. The library offers white papers, case studies and other documents which are free to registered users. Today’s featured white paper is Security Considerations For an IP PBX and Contact Center, brought to you by Interactive Intelligence (News - Alert).
