Automotive telematics refer to wide range of connectivity solutions used in automobiles to ensure vehicle safety. Automotive telematics enable integrated use of electronic devices (generally informatics & telecommunication systems) such as sensors, vehicle tracking systems, global positioning systems & navigation systems and others. Telematics include embedded systems, tethered devices and integrated smartphones. Embedded systems enable connectivity and intelligence to the system, whereas, tethered devices provide connectivity through external modem & handset. Presently, original equipment manufacturers (OEMs) use all three technologies to build telematics system for a vehicle.
Consumers prefer OEM embedded telematics system due to both commercial and regulatory benefits. The major factor boosting the demand for telematics solutions is increasing incidences of road accidents. Automotive telematics manufacturers are developing compact and versatile telematics solutions offering better performance.
Although the market shows optimistic growth, factors like communication breakdown and error rates pose challenge to telematics system performance. In telematics systems, embedded control unit is responsible for taking decisions based on the information gathered from sensors & other devices. This reliance to system makes automotive telematics highly vulnerable and even a minute error can cause compromise to passenger & vehicle safety.
Introduction of third generation telematics services to drive overall market
Fleet management and heavy vehicle segment is witnessing higher adoption of telematics system mainly to track & ensure safety of goods. Various vehicle manufacturers offer an array of telematics applications such as e-call & roadside assistance, vehicle diagnostics, route optimization, infotainment and other convenience applications. In addition, combination of third generation services including voice activated web service, Driver Interactive Vehicle Application (DIVA), Vehicle Relationship Manager (VRM) and performance input from vehicle are expected to drive technological developments in automotive telematics market.
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