Email
Print
Connected Trucks Market Overview
The global Connected Trucks market size
is forecast to reach $34.2 billion by 2026, growing at CAGR 13.7% from 2021 to
2026. This growth is mainly attributed to the increasing demand for telematics in
commercial vehicle industry. This technology helps in enhancing the safety
level of trucks, by offering adaptive cruise control, blind spot warning, lane
departure warning, park assist system, emergency roadside assistance, emergency
brake assist, telematics control unit and others. The increasing
production of Light commercial vehicle plays a major role in accelerating the
growth of connected truck market. Furthermore, increasing government norms related
to safety of vehicles are increasing the demand for connected trucks. This
technology also helps in optimizing various factors including fuel usage,
maintenance of the trucks and others. Moreover, high implementation rate of
various advanced technology including AI, ML, Advanced driver-assistance
systems and
others; in commercial vehicle industry and increasing demand for autonomous
trucks are affecting the growth of this market positively. Hence, the above-mentioned factors are set to boost the
market growth for Connected Trucks industry during the forecast period
2021-2026.
Report Coverage
The report: “Connected Trucks Market– Forecast (2021-2026)”, by
IndustryARC covers an in-depth analysis of the following segments of the Connected
Trucks Market.
By Range: Dedicated Short-Range Communication
(Adaptive Cruise Control, Blind Spot Warning, Lane Departure Warning, Park
Assist System, and Emergency Brake Assist), Long Range (Telematics Control
Unit, Emergency Roadside Assistance, Infotainment Systems, Others).
By Component Type: Hardware (Radar & Lidar Sensors,
Microcontrollers), Software (Vehicle to Vehicle, Vehicle to Infrastructure and
Vehicle to Cloud).
By Communication type: Vehicle to Vehicle (V2V), Vehicle to Infrastructure
(V2I), Vehicle to Cloud (V2C).
By Services: Fleet Management Service (Tracking &
Monitoring, Fleet Analytics, Driver Information System, Remote Diagnostics,
Fuel Management System and others), and Maintenance Service (Light Commercial
Vehicle and Heavy Commercial Vehicle).
By Vehicle type: Light Commercial Vehicle (LCV), Heavy
Commercial Vehicle (HCV).
By Geography: North America (U.S, Canada, Mexico),
South America (Brazil, Argentina and others), Europe (Germany, UK, France,
Italy, Spain, Russia and Others), APAC (China, Japan India, South Korea, Australia
and Others), and RoW (Middle east and Africa)
Key Takeaways
- Light commercial vehicle is analysed to witness significant market growth during 2021-2026, due to the growing demand for good carriage vehicles across industries.
- North America dominated the market in 2020 and analyzed to witness significant growth in the forecast period, due to the early adoption of this technology, massive investments for developing advanced technologies, and presence of major market players.
- The market of Connected Trucks is estimated to witness significant upsurge during the forecast period, owing to the high penetration of wireless technologies and telematic in automotive industry.
- This industry is consolidated with top market players including Continental AG, Delphi Technologies, ZF Friedrichshafen AG,
Verizon Communications, Denso Corporation and others.
Connected Trucks Market Value Share, by Geography, 2020 (%)
For More Details on This Report - Request for Sample
Connected Trucks Market Segment Analysis - By Range
By range, connected
truck market is segmented into Dedicated Short-Range Communication and Long Range. The
short-range communication is further segmented into Adaptive Cruise Control,
Blind Spot Warning, Lane Departure Warning, Park Assist System, and Emergency
Brake Assist and the long range is segmented into Telematics Control Unit,
Emergency Roadside Assistance, Infotainment Systems, Others. Dedicated short range
communication held the major Connected Trucks
market share, around 34% in 2020, expected to grow
with a CAGR of 15.4% among the entire segment of range, during the forecast
period 2021-2026. DSRC, a wireless technology, offers higher flexibility, greater
scalability, collision avoidance assistance, secure communication high speed
and many others benefits and it also allows the vehicle to communicate with its
surrounding infrastructure, without the access to a cellular network. Such
benefits drive the demand for DSRC technology, which in turn drives the growth
of the market. Furthermore, in April 2018, Toyota and Lexus collaborated to deploy
Dedicated Short-Range Communications (DSRC) systems on vehicles in order to
create a safer and more efficient driving ecosystem while advancing connected
and automated technology deployment. Such vehicles are available for sale in the
United States from the start of 2021. Such
developments will accelerate the growth rate of this market during the forecast
period 2021-2026.
Connected Trucks Market Segment Analysis - By Vehicle Type
Based on vehicle-type,
Connected Trucks market is segmented into Light Commercial Vehicle (LCV), Heavy
Commercial Vehicle (HCV). According to Connected
Trucks market report of IndustryARC, light commercial vehicle segment is anticipated to witness a significant amount of
growth with a CAGR of 14.2% in the forecast period 2021-2026. These types of
commercial vehicles are highly being used as a carriage of goods, which is
creating the demand for LCVs across the industries, thereby providing
incentives to the market players to introduce new light commercial vehicles. In
August 2020, an electric vehicle start-up company, Etrio announced about the
launch of India’s first retrofitted electric light commercial vehicle (eLCV). Similarly,
in June 2019, Eicher Trucks and Buses launched Eicher Pro 2000 Series, India’s
first BS-VI compliant range of light duty trucks. This series of trucks are
equipped with Bluetooth connectivity, touch-screen infotainment along with
smart cabin with two driver configurations. Such launches will create a
prominent upsurge in demand of LCVs in the forecast period 2021-2026.
Connected Trucks Market Segment Analysis - By Geography
North America held the major Connected Trucks market share of around 33% in 2020 and is estimated to grow with a CAGR of 12.6% during the forecast period 2021-2026, owning to the early adoption of this technology and increasing investments of the development of such technologically advanced technologies. Furthermore, the growth rate of automotive sector coupled with high penetration rate of IoT in this industry creates a positive impact on the growth of this market. Moreover, growing safety awareness, governments initiatives in the form of safety regulations for enhancing the safety level and the presence of major market players are driving the growth of this industry. Additionally, various types of strategic steps such as investments, launches, acquisition, merger, partnerships and others; taken by the top markets players enhance the growth rate. For instance, in September 2021, PACCAR, a manufacturer of medium and heavy-duty truck, collaborated with Aurora, a leading autonomous driving technology company, and FedEx, a transportation and logistics company, for the launch of a commercial pilot of autonomous trucks in linehaul trucking operations. Such developments are set to boost the growth of this industry in North America.
Connected Trucks Market Drivers
High Penetration of Wireless Technology and Telematics in Automotive sector is set to boost the growth of this market
Growing
penetration and increasing investment on wireless technology as well as the
increasing demand of telematics in automotive sector are analysed to drive the
growth of connected trucks market during the forecast period. Trucks with
telematics and other wireless tools can get live traffic updates, smart
routing, monitoring, tracking, roadside assistance during a breakdown,
automatic toll transactions, and others. This in turn, enhances the operational
efficiency of the fleets, including fuel cost reduction, resource optimization,
and others; thereby, driving the demand for technologically advanced telematic
services and other wireless technologies for automotive including trucks. In
January 2021, Mix Telematics announced the launch of a new app-based
tracking solution for fleets, specially designed for providing real-time
monitoring capabilities to help the customers in improving the driver safety level
and manage the risks. Similarly, in June 2020, Ford introduced its new
web-based telematics platform and subscription-based services for commercial
vehicle customers, specifically designed for granting the fleet managers an
easy access to the important data collected from connected vehicles. Such
launches of technologically advanced products for connected commercial vehicles are set to boost the market growth during 2021-2026.
Strategic steps taken by the market players will fuel the growth:
The
players of this market are taking more strategic steps for the expansion of the
market through new product launches, acquisition, investments and others, which
is set to drive the growth of connected truck market during the forecast period
2021-2026. In October 2020, KeepTruckin launched the Smart Load Board, an
intelligent freight matching solution, to connect network of more than 1 million
truck drivers with industry leading brokers. In August 2020, Mahindra Truck and
Bus (MTB) announced the launch of its revolutionary telematic connected
vehicle technology iMAXX for transforming the Indian vehicle fleet management
market. In March 2019, I.D. Systems entered into an acquisition agreement to
acquire Israeli telematics and mobile IoT solutions provider, Pointer
Telocation for $140 million to expand its business in mobile IoT and
connected vehicle market. Pointer technology is being deployed in more than 3
million light and heavy commercial vehicles across 80 countries. Hence, these
types of strategic developments taken by the market players are analysed to
boost the growth rate of connected trucks market during the forecast period
2021-2026.
Connected Trucks Market Challenges
Risk of Cyber-attacks is Harming the growth of Connected Truck Market
With high penetration of IoT, and various types of communication methods such as Vehicle to Vehicle (V2V), Vehicle to Infrastructure (V2I), Vehicle to Cloud (V2C) and others, the connected truck market is growing rapidly, but some security issues are present in the market, which is hampering the growth of this market. Cyber security is one of the major concerns related to the growth of this market. In May 2021, US-based truck company, Navistar International had suffered from a data breach. The files and the stolen data were offered and auction on Marketo, a marketplace for stolen data. The stolen data included financial details, contracts and other internal documents. Such, threats are hampering the growth of this market during the forecast period 2021-2026.
Connected Trucks Market Landscape
Partnerships and acquisitions along with product launches are the key strategies adopted by the players in the Connected Trucks Market. As of 2020, the market for Connected Trucks industry outlook is consolidated with the top market players. Connected Trucks top 10 companies include:
- Continental AG
- Delphi Technologies
- Denso Corporation
- ZF Friedrichshafen AG
- Verizon Communications
- Harman International
- Robert Bosch Gmbh
- Sierra Wireless, Inc.
- Magna International Inc.
- Daimler AG
Acquisitions/Technology Launches/Partnerships
- In March 2021, Tata Motors launched its Ultra Sleek T-Series smart trucks in India to meet the growing requirements of the urban transportation. Three models of these light commercial as well as intermediate trucks are available in the market.
- In July 2020, Volvo Eicher Commercial Vehicles Ltd (VECV) announced the launch of its connected vehicle fleet management solution, Eicher LIVE for its BS 6 trucks and buses.
Relevant Report Titles:
Commercial Automotive Telematics Market –
Forecast (2021 - 2026)
Report Code: ATR 0014
Commercial Vehicle Telematics Market – Forecast (2021
- 2026)
Report Code: ATR 0110
For more Automotive Market reports, please click here