The Global Automotive OEM Telematics Market

~62% of All Cars Sold Worldwide in 2020 were Equipped with OEM Embedded Telematics

The Global Automotive OEM Telematics Market is the seventh consecutive report analysing the latest developments on the connected car market worldwide. This strategic research report provides you with more than 325 pages of unique business intelligence including 5-year industry forecasts and expert commentary on which to base your business decisions.

The report estimates that nearly 62% of all cars sold worldwide in 2020 were equipped with OEM embedded telematics. Examples of applications include eCall and roadside assistance, stolen vehicle tracking, vehicle diagnostics, connected navigation and infotainment, Wi-Fi hotspot, convenience applications, over-the-air updates, in-vehicle payments, UBI and rental fleet management.

Highlights from this report:

Insights from numerous executive interviews with market-leading companies.
New data on car populations and new car registrations worldwide.
Comprehensive overview of the car OEM telematics value chain and key
applications.
In-depth analysis of market trends and key developments.
Detailed profiles of 21 major car OEMs and their telematics propositions.
Updated market forecasts by region lasting until 2026

This report answers the following questions:

What is the current status of the car OEM telematics industry?
Which are the key OEM telematics applications?
Which are the leading telematics service providers?
What telematics offerings are available from the leading car OEMs today?
What business models are used by car OEMs?
How are mobile operators and MVNOs positioning themselves in the telematics value chain?
How will the market evolve in Europe, North America, Latin America, Asia-Pacific and MEA?
How will autonomous cars, electric vehicles and carsharing change the need for connectivity?

Who should buy this report?

The Global Automotive OEM Telematics Market is the foremost source of information about the rapid adoption of car telematics. Whether you are a car manufacturer, telematics service provider, telecom operator, content provider, investor, consultant, or government agency, you will gain valuable insights from this in-depth research.

Executive Summary

1 The Global Passenger Car Market

1.1 Introduction
1.1.1 Passenger cars in use by region
1.1.2 New passenger car registration trends
1.2 Car manufacturers
1.2.1 Toyota Motor Corporation
1.2.2 Renault-Nissan-Mitsubishi Alliance
1.2.3 Volkswagen Group
1.2.4 Stellantis
1.2.5 Ford Motor Company
1.2.6 General Motors
1.2.7 Daimler Group
1.2.8 BMW Group
1.2.9 Honda Motor
1.2.10 Hyundai Motor Group
1.3 Overview of car OEM telematics services
1.3.1 Embedded and hybrid telematics systems
1.3.2 Car OEM telematics services in North America
1.3.3 Car OEM telematics services in Europe
1.3.4 Car OEM telematics services in Asia-Pacific
1.3.5 Business models
1.4 Regulatory compliance
1.4.1 Vehicle security, safety and emergency call regulations
1.4.2 Vehicle emissions
1.4.3 Data protection
1.5 Market trends
1.5.1 Hybrid electric, plug-in hybrid electric and all-electric vehicles
1.5.2 Carsharing and personal transportation as a service
1.5.3 ADAS and autonomous driving technologies
1.5.4 Vehicle-to-Everything (V2X) communication

2 Car Telematics Solutions

2.1 Car telematics infrastructure
2.1.1 Vehicle segment
2.1.2 Tracking segment
2.1.3 Network segment
2.1.4 Service segment
2.2 Car telematics applications
2.2.1 eCall and roadside assistance
2.2.2 Stolen vehicle tracking
2.2.3 Motor insurance telematics
2.2.4 Vehicle diagnostics and maintenance
2.2.5 Over-the-air updates
2.2.6 Leasing and rental fleet management
2.2.7 Electronic toll collection and congestion charging
2.2.8 Remote control and convenience services
2.2.9 Connected navigation and infotainment
2.2.10 Connected in-vehicle payments
2.2.11 Wi-Fi hotspot
2.3 Connectivity options
2.3.1 Tethered devices
2.3.2 Integrated smartphone solutions
2.3.3 Embedded connectivity solutions
2.3.4 SIM solutions and embedded UICC

3 OEM Telematics Propositions

3.1 BMW
3.1.1 Overview of BMW group passenger car models
3.1.2 BMW ConnectedDrive infotainment and mobility services
3.1.3 BMW and MINI CarData
3.1.4 BMW Mobility Services
3.1.5 MINI connected car services
3.2 BYD Auto
3.2.1 Overview of BYD passenger car models
3.2.2 BYD connected car services
3.3 Changan Motors
3.3.1 Overview of Changan Motors passenger car models
3.3.2 Overview of Changan Motors InCall
3.4 Daimler Group
3.4.1 Overview of Mercedes-Benz passenger car models
3.4.2 Overview of Mercedes-Benz telematics services
3.4.3 MBUX - Mercedes-Benz User Experience infotainment system
3.4.4 Mercedes Me services
3.4.5 Mercedes-Benz’ connected service platforms in North America
3.5 Ford Motor Company
3.5.1 Overview of Ford passenger car models
3.5.2 The Ford SYNC infotainment system
3.5.3 Ford SYNC connected services
3.5.4 Ford Pass Connect
3.5.5 Autonomic’s Transportation Mobility Cloud and Ford Fleet Management
3.6 Geely
3.6.1 Overview of Geely passenger car models
3.6.2 Geely connected car services
3.7 General Motors
3.7.1 Overview of the main GM passenger car brands
3.7.2 GM OnStar telematics services
3.7.3 Connected infotainment systems and apps
3.8 Great Wall Motors
3.8.1 Overview of Great Wall Motors passenger car models
3.8.2 The GWM Haval Connected telematics system
3.9 Honda Motor Company
3.9.1 Overview of Honda and Acura passenger car models
3.9.2 Overview of Honda and Acura telematics solutions
3.9.3 The HondaLink in-car connectivity system
3.9.4 The AcuraLink connected car systems and services
3.10 Hyundai Motor Group
3.10.1 Overview of Hyundai and Kia passenger car models
3.10.2 Overview of the Hyundai Motor Group’s telematics solutions
3.10.3 The Hyundai Blue Link telematics service in North America
3.10.4 The Kia UVO infotainment system and UVO telematics services
3.11 Jaguar Land Rover Automotive
3.11.1 Overview of Jaguar Land Rover passenger car models
3.11.2 Jaguar Land Rover telematics services
3.12 Mazda Motor Corporation
3.12.1 Overview of Mazda passenger car models
3.12.2 The Mazda Connect infotainment system
3.13 Nissan Motor Company
3.13.1 Overview of Nissan and Infiniti passenger car models
3.13.2 Nissan and Infiniti connected car services
3.13.3 NissanConnect Services
3.13.4 Infiniti North America connected car services
3.13.5 NissanConnect and Infiniti InTouch infotainment systems
3.14 Renault Group
3.14.1 Overview of Renault, Dacia and Lada passenger car models
3.14.2 Renault R-Link and Easy Link infotainment systems and connected services
3.14.3 Renault Easy Connect
3.15 SAIC Motors
3.15.1 Overview of SAIC Motors passenger car models
3.15.2 The SAIC connected car programmes
3.16 Stellantis
3.16.1 Overview of Stellantis passenger car models
3.16.2 Overview of Stellantis connected car services
3.16.3 The Uconnect infotainment systems
3.16.4 Uconnect connected services
3.16.5 Uconnect and Mopar Connect services in Europe
3.16.6 Groupe PSA telematics services
3.16.7 Free2Move
3.17 Subaru
3.17.1 Overview of Subaru passenger car models
3.17.2 The Subaru STARLINK infotainment system
3.17.3 Subaru STARLINK connected car system
3.18 Tesla
3.18.1 Overview of Tesla passenger car models
3.18.2 Tesla telematics and infotainment services
3.19 Toyota Motor Corporation
3.19.1 Overview of Toyota and Lexus passenger car models
3.19.2 Overview of Toyota and Lexus telematics services
3.19.3 The T-Connect and G-LINK telematics services for the Japanese market
3.19.4 Entune/Enform and Safety Connect telematics services in North America
3.19.5 Toyota and Lexus telematics services in the Middle East
3.19.6 Toyota and Lexus connected services in Europe
3.20 Volkswagen Group
3.20.1 Overview of Volkswagen Group passenger car brands and models
3.20.2 Volkswagen Automotive Cloud
3.20.3 The Audi Connect telematics service
3.20.4 Porsche connected car services
3.20.5 Volkswagen We Ecosystem and Volkswagen We Connect
3.20.6 The Volkswagen Car-Net telematics services
3.21 Volvo Car Group
3.21.1 Overview of Volvo passenger car models
3.21.2 Volvo Digital Services
3.21.3 Volvo infotainment system
3.21.4 Volvo In-car Delivery, Concierge Services and Car sharing

4 Connected Car Ecosystem Players

4.1 Telematics service providers
4.1.1 Airbiquity
4.1.2 Beijing Yesway Information Technology
4.1.3 Cerence
4.1.4 Harman International
4.1.5 IMS
4.1.6 Octo Telematics
4.1.7 PATEO
4.1.8 SiriusXM Connected Vehicle Services
4.1.9 Targa Telematics
4.1.10 WirelessCar
4.1.11 Xevo
4.2 Mobile operators
4.2.1 AT&T
4.2.2 China Unicom
4.2.3 Orange
4.2.4 Deutsche Telekom
4.2.5 T-Mobile USA
4.2.6 Telefónica Group
4.2.7 Verizon Communications
4.2.8 Vodafone and Vodafone Automotive
4.3 IoT managed service providers
4.3.1 Aeris
4.3.2 Airnity
4.3.3 Cubic Telecom
4.3.4 Tata Communications
4.3.5 Transatel
4.3.6 Truphone
4.4 Marketplace and developer platform providers
4.4.1 CCC Intelligent Solutions
4.4.2 High Mobility
4.4.3 LexisNexis
4.4.4 Otonomo
4.4.5 Smartcar
4.4.6 Verisk Analytics
4.4.7 Wejo

5 Market Forecasts and Trends

5.1 Car telematics market forecasts
5.1.1 Car sales forecast
5.1.2 Car telematics forecast
5.1.3 Car telematics in the EU+EFTA+UK and Eastern Europe
5.1.4 Car telematics in North America
5.1.5 Car telematics in Latin America
5.1.6 Car telematics in Asia-Pacific
5.1.7 Car telematics in the Middle East and Africa
5.1.8 Hardware and service revenue forecast
5.1.9 Embedded TCU shipments by technology
5.2 Application trends
5.2.1 Mass market safety services driven by regional mandates
5.2.2 OEM SVT services compete with aftermarket services in many countries
5.2.3 Connected navigation faces competition from free smartphone apps
5.2.4 Handset based infotainment services compliments embedded solutions
5.2.5 Remote control features become standard
5.2.6 CRM solutions and vehicle diagnostics enable improved customer care
5.2.7 Connectivity enables new car distribution models
5.2.8 OEMs increasingly involved in usage-based insurance products
5.2.9 Wi-Fi hotspots enable convenient connectivity for passengers
5.2.10 Over-the-air (OTA) updates reduce recall expenses
5.2.11 Call centre convenience services are less common
5.2.12 AI-powered in-car personal assistants to complement concierge services
5.2.13 Concierge services change form to services delivered to the vehicle
5.2.14 Apple CarPlay and Android Auto drive uptake of smartphone integration
5.2.15 Automotive OEMs to collaborate in a wide ecosystem of partners
5.2.16 Data exchanges to make OEM data available for third-party providers
5.2.17 In-vehicle commerce platforms are emerging on mature markets
5.2.18 China is the main market for C-V2X deployments
5.2.19 New car assessment programmes to drive demand for V2X
5.3 Value chain analysis
5.3.1 Automotive suppliers
5.3.2 Telematics service providers
5.3.3 Car manufacturers
5.3.4 Telecoms industry players
5.3.5 Software, application and content suppliers
5.4 Mergers and acquisitions

GlossaryIndex

List of Figures

Figure 1.1: Car park by region (World 2013-2019)
Figure 1.2: Passenger car density per 1,000 inhabitants (EU27+UK 2019)
Figure 1.3: New car registration data (World 2013-2020)
Figure 1.4: Top 10 countries by new passenger car and light truck registrations (2020)
Figure 1.5: Top 20 passenger car manufacturers by revenues (World 2020)
Figure 1.6: Passenger car registrations by manufacturer (EU27+UK+EFTA 2020)
Figure 1.7: Passenger car registrations by manufacturer (North America 2020)
Figure 1.8: Passenger car registrations by manufacturer (Japan 2020)
Figure 1.9: Passenger car registrations by manufacturer (China 2020)
Figure 1.10: Connected car parc (World 2019-2020)
Figure 1.11: Car OEM telematics availability in North America (September 2021)
Figure 1.12: Car OEM telematics availability in Europe (July 2021)
Figure 1.13: Car OEM telematics availability in Asia-Pacific (July 2021)
Figure 1.14: Top selling highway capable all-electric cars (World 2020)
Figure 1.15: Registered highway capable BEVs and PHEVs (World 2020)
Figure 1.16: New registrations of highway capable BEVs and PHEVs (World 2020)
Figure 1.17: Leading carsharing service providers (World Q4-2020)
Figure 2.1: Cost comparison for IoT Technologies (2021)
Figure 2.2: eCall application lifecycle
Figure 2.3: SVT application lifecycle
Figure 2.4: Motor insurance telematics application lifecycle
Figure 2.5: Vehicle diagnostics application lifecycle
Figure 2.6: Leasing and rental fleet management application lifecycle
Figure 2.7: Electronic toll collection application lifecycle
Figure 2.8: Convenience services and remote control application lifecycle
Figure 2.9: Connected navigation application lifecycle
Figure 2.10: Connectivity options
Figure 2.11: Comparison of SIM form factors
Figure 3.1: BMW ConnectedDrive services and prices (Europe 2021)
Figure 3.2: Mercedes Me Connect Services and price plans (USA 2021)
Figure 3.3: GM OnStar services and price plans (North America 2021)
Figure 3.4: AcuraLink services and price plans (North America 2021)
Figure 3.5: Hyundai Blue Link services and price plans (USA 2021)
Figure 3.6: Jaguar Land Rover InControl services (Europe 2020)
Figure 3.7: Infiniti Intouch services (USA 2020)
Figure 3.8: Examples of Subaru STARLINK service packages (USA 2021)
Figure 3.9: Toyota and Lexus telematics systems (2021)
Figure 3.10: Lexus Enform services and prices (USA 2021)
Figure 3.11: Audi North America Connect services and price plans (2021)
Figure 3.12: Porsche Car Connect services and price plans (2021)
Figure 3.13: VW Car-Net Security & Service (USA 2021)
Figure 4.1: IoT communications and managed service providers (Q4-2021)
Figure 5.1: New car sales, by region (World 2019-2026)
Figure 5.2: Telematics shipments and active subscribers (World 2019-2026)
Figure 5.3: Telematics shipments and active subscribers (EU+EFTA+UK 2019-2026)
Figure 5.4: Telematics shipments and active subscribers (Eastern Europe 2019-2026)
Figure 5.5: Telematics shipments and active subscribers (North America 2019-2026)
Figure 5.6: Telematics shipments and active subscribers (Latin America 2019-2026)
Figure 5.7: Telematics shipments and active subscribers (Asia-Pacific 2019-2026)
Figure 5.8: Telematics shipments and active subscribers (MEA 2019-2026)
Figure 5.9: Telematics hardware and service revenues (World 2019-2026)
Figure 5.10: Telematics hardware and service revenues (EU+EFTA+UK 2019-2026)
Figure 5.11: Telematics hardware and service revenues (North America 2019-2026)
Figure 5.12: Telematics hardware and service revenues (ROW 2019-2026)
Figure 5.13: Shipments of embedded TCUs by technology (World 2019-2026)
Figure 5.14 Car models equipped with C-V2X (China 2020-2021)
Figure 5.15: OEM telematics SIM-cards by region (World 2019-2026)
Figure 5.16: Mergers and acquisitions in the connected car space (2016-2021)

Executive Summary

Telematics is a broad term that may be applied to a wide range of automotive connectivity solutions. The publisher's definition of a car telematics system in this report is an automatic system designed for passenger cars that incorporates some form of cellular communications. Mobile networks have enabled online connectivity with two-way communications at the same time as GPS technology has been commoditised to the extent that satellite positioning can be integrated into virtually any device. Automotive manufacturers can choose between several connectivity options when creating connected car services, which are not mutually exclusive. The main options are embedded telematics devices, tethered devices and integrated smartphones. Connectivity and intelligence can be built into the car in the form of embedded systems. Solutions relying on integrated smartphones leverage the connectivity and intelligence built into the smartphone. Carmakers often use a combination of these options to address different customer requirements and keep pace with the rapid development of mobile technology.

Several categories of car telematics applications are now offered on a commercial basis by most leading carmakers. Examples include eCall and roadside assistance, stolen vehicle tracking (SVT), vehicle diagnostics, over-the-air updates, connected navigation and infotainment, Wi-Fi hotspots as well as concierge services and convenience applications. Convenience applications mainly rely on embedded telematics devices to enable remote control of vehicle functions such as door lock/unlock, vehicle preconditioning (heating or cooling of the passenger compartment before a trip), EV charging management and finding the last parking position. Several other applications also exist, for instance, usage-based insurance, leasing and rental fleet management as well as electronic toll collection and road charging. Carmakers are also gradually exploring in-vehicle commerce platforms and data exchanges to offer telematics data to third-party service providers. During the past years, carmakers have supported third-party service providers with APIs enabling data access and SDKs for application development.

The connected car is a major trend in the automotive industry and virtually all of the world's leading carmakers have launched mass-market services in key regions. The drivers behind the adoption of OEM telematics are both commercial and regulatory. Regulatory initiatives related to safety and security will have a decisive effect on the adoption of OEM telematics in Europe. The EU’s eCall initiative and Russia’s ERA-GLONASS have made an automatic emergency call device a mandatory safety feature in all new car models sold. In North America, commercial services have driven the adoption of OEM telematics services that have evolved from being a differentiator to a mainstream feature now offered by nearly all the leading car brands on a majority of their models.

The publisher estimates that about 62% of all new cars sold worldwide in 2020 were equipped with an OEM embedded telematics system, up from 51% in 2019. North America is the most advanced market in terms of premium telematics services with an attach rate of 77%. The EU+EFTA region is picking up pace and had an attach rate of 72%. Other developed markets such as Japan and South Korea currently have attach rates of approximately 55%. China has emerged as an important market for telematics services with an attach rate of about 60% in 2020. In other regions, the attach rate is relatively low at about 20%. GM, BMW, Toyota, Ford, Mercedes-Benz and Stellantis are the leading adopters of embedded telematics, widely offering the technology as a standard feature across models and geographies. GM has offered telematics services for more than two decades, offering the technology as an integral part of its value proposition in North America, Europe and China. BMW introduced its ConnectedDrive service in North America and Western Europe in 1997. Other major car brands offering embedded telematics on a broad scale include Hyundai, Volkswagen, Volvo Cars, Renault, JLR and Tesla.

The publisher estimates that total shipments of embedded OEM telematics systems reached almost 41.1 million units worldwide in 2020. Growing at a compound annual growth rate of 11%, the shipments are expected to reach 76.9 million units in 2026. During the same time, the attach rate of embedded telematics units is forecasted to increase from about 62% in 2020 to 91% at the end of the forecast period. The number of telematics subscribers using embedded systems is forecasted to grow at a compound annual growth rate of 19% from 132.8 million subscribers in 2020 to 376.8 million in 2026.

Companies Mentioned

A selection of companies mentioned in this report includes:

Acura
Aeris
Airbiquity
Airnity
AT&T
Audi
Beijing Yesway Information Technology
BMW
CCC Intelligent Solutions
Cerence
Changan Motors
China Unicom
Cubic Telecom
Daimler Group
Deutsche Telekom
Ford
Geely
General Motors
Great Wall Motors
Harman International
High Mobility
Honda Motor Company
Hyundai
IMS
Jaguar Land Rover Automotive
JLR
LexisNexis
Mazda Motor Corporation
Mercedes-Benz
Nissan Motor Company
Octo Telematics
Orange
Otonomo
PATEO
Renault
SAIC Motors
SiriusXM Connected Vehicle Services
Smartcar
Stellantis
Subaru
T-Mobile USA
Targa Telematics
Tata Communications
Telefónica Group
Tesla
Toyota Motor Corporation
Transatel
Truphone
Verisk Analytics
Verizon Communications
Vodafone and Vodafone Automotive
Volkswagen Group
Volvo Car Group
Wejo
WirelessCar
Xevo

Methodology

The Internet of Things is very diverse. There are hundreds of different use cases, each with different dynamics. The starting point is to segment the market.

The analyst begins with a number of sectors: Automotive, Cities, Health, Industry, Home, Industrial, Energy, Retail and Consumer Electronics. Each of these sectors breaks down into a number of applications. In total across all sectors, the analyst examines around 150 separate applications. It is at this application level that they generate their IoT forecast. The analyst builds reliable data bottom-up. They take into consideration the current adoption rate, regulations, demographics, vertical-specific statistics, value chain structure, etc.

The rigorous data collection methods are based on first-hand and secondary sources. The analyst conducts many hundreds of executive interviews on a yearly basis with companies from all parts of the IoT value chain. They talk to on a regular basis all major mobile operator groups and regulators as well as the chipset, module, and terminal vendors. They also interview many companies in each of the vertical markets.

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