by Market Overview:
Automotive telematics refers to the integration of telecommunication and information technologies with automobiles. It offers connectivity and services such as emergency calling, navigation, diagnostics, on-board infotainment among others. Such services enhance driver safety, vehicle tracking and fuel efficiency.
The global APAC Automotive Telematics Market is estimated to be valued at US$ 22,275.64 Mn in 2023 and is expected to exhibit a CAGR of 14% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
One of the key trends in the APAC automotive telematics market is the rising demand for connected car services. With increasing technology adoption, consumers expect their vehicles to be connected and compatible with their mobile devices. This enables access to real-time information, integrated infotainment systems and telematics services on the go. Manufacturers are focusing on the development of innovative connectivity solutions to cater to the changing consumer preference for connected driving experience. For instance, Denso Corporation offers HOCU (Head-Up Cockpit Unit) that merges connected car services, driving assistance and infotainment features to enhance driver convenience.
SWOT Analysis
Strength: The APAC region has a large automotive production base, with major automakers located across countries like China, India, Japan, South Korea. This provides a strong customer base for automotive telematics systems.
Weakness: High initial costs associated with the deployment of telematics systems is a major challenge, especially in price-sensitive markets of India, Indonesia, etc. Lack of standardized regulatory frameworks for telematics across different APAC countries is another weakness.
Opportunity: Growing urbanization and rising disposable incomes are driving new vehicle sales across APAC. This provides significant opportunities for telematics vendors to penetrate new customer segments. IoT and connectivity technologies also allow for new aftermarket and used car telematics solutions.
Threats: Global macroeconomic challenges like rising inflation and potential economic slowdowns pose risks to future automotive demand growth projections in some key APAC countries. Cybersecurity threats to connected vehicles also remain a challenge.
Key Takeaways
The global APAC Automotive Telematics Market Share is expected to witness high growth, exhibiting CAGR of 14% over the forecast period, due to increasing vehicle production and demand for enhanced safety, security, and convenience features. Various governments across APAC are also promoting telematics adoption through regulations.
Regional analysis: China dominates the APAC automotive telematics market currently due to the size of its automotive industry and the presence of domestic telematics vendors. India is expected to be the fastest-growing market, supported by Make-in-India initiatives and increasing sales of new vehicles. Other major countries include Japan, South Korea and Indonesia.
Key players operating in the APAC automotive telematics market are Denso Corporation, Panasonic Corporation, Clarion, Masternaut Limited, Continental AG, Qualcomm Technologies, Inc. LG Electronics, Harman International Industries, Inc., Trimble Inc., and I.D. Systems. Major players are focusing on partnerships, new product development and network expansions to capitalize on the high growth potential across the region.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
