The global market for Automotive OEM Telematics was valued at US$101.2 Billion in 2024 and is projected to reach US$218.9 Billion by 2030, growing at a CAGR of 13.7% from 2024 to 2030. This comprehensive report provides an in-depth analysis of market trends, drivers, and forecasts, helping you make informed business decisions. The report includes the most recent global tariff developments and how they impact the Automotive OEM Telematics market.
With vehicles increasingly acting as mobile data hubs, telematics platforms are integral to supporting advanced driver-assistance systems (ADAS), fleet management, and subscription-based mobility services. OEMs are leveraging telematics not only to enhance safety, efficiency, and customer experience but also to create new digital revenue streams through connected service offerings and real-time analytics. As software-defined vehicles (SDVs) gain momentum, telematics platforms are becoming the gateway for continuous feature enhancement, personalization, and post-sale engagement - repositioning the vehicle as a service-enabling asset rather than a static product.
5G networks are accelerating the responsiveness and bandwidth of telematics systems, supporting ultra-fast data transmission required for autonomous vehicle communication, live video feeds, and high-frequency OTA software updates. Meanwhile, cloud platforms are enabling centralized data management, cross-fleet visibility, and scalable service delivery across geographies. Cloud-native telematics ecosystems also support seamless integration with OEM CRM platforms, mobility apps, and third-party services like insurance, navigation, and EV charging. Together, these technologies are enabling OEMs to offer telematics as a modular, upgradeable, and always-on service platform that adapts to evolving vehicle and user needs.
Electric vehicles are emerging as a key growth segment for telematics integration, as these platforms require advanced monitoring for battery health, charging behavior, range prediction, and energy optimization. OEMs are embedding telematics as standard in EVs to enable energy-efficient routing, remote charging management, and integration with smart grid systems. Commercial fleets - including logistics, rental, and ride-hailing operators - are also heavy adopters, relying on OEM telematics for route optimization, fuel economy monitoring, compliance reporting, and real-time asset tracking. Governments and regulators are further incentivizing telematics through vehicle safety mandates and fleet emission reduction initiatives, particularly in Europe and Asia-Pacific.
The growing popularity of usage-based insurance (UBI), vehicle subscription models, and shared mobility platforms is also amplifying telematics deployment, as these models depend on accurate, real-time data collection and management. OEMs are forming strategic alliances with telecom providers, cloud platforms, and mobility startups to build integrated telematics ecosystems that can evolve with software upgrades and adapt to regional service demands. As digital infrastructure becomes intrinsic to vehicle value and market differentiation, a key strategic question arises: Can OEM telematics platforms scale as secure, flexible, and monetizable backbones for the data-driven, customer-centric mobility landscape of tomorrow?
Segments: Offering (Hardware, Software & Services); Application (Infotainment & Navigation, Fleet Management, Safety & Security, Diagnostics); End-Use (Passenger Cars, Commercial Vehicles).
Geographic Regions/Countries: World; United States; Canada; Japan; China; Europe (France; Germany; Italy; United Kingdom; Spain; Russia; and Rest of Europe); Asia-Pacific (Australia; India; South Korea; and Rest of Asia-Pacific); Latin America (Argentina; Brazil; Mexico; and Rest of Latin America); Middle East (Iran; Israel; Saudi Arabia; United Arab Emirates; and Rest of Middle East); and Africa.
The analysts continuously track trade developments worldwide, drawing insights from leading global economists and over 200 industry and policy institutions, including think tanks, trade organizations, and national economic advisory bodies. This intelligence is integrated into forecasting models to provide timely, data-driven analysis of emerging risks and opportunities.
Global Automotive OEM Telematics Market - Key Trends & Drivers Summarized
Why Are OEM Telematics Systems Becoming Core to Connected Vehicle Strategies and Lifecycle Value Optimization?
Automotive OEM telematics systems are transitioning from optional features to foundational infrastructure in the digital transformation of vehicles, enabling real-time data exchange between the vehicle, driver, OEMs, service providers, and cloud ecosystems. These embedded systems offer a wide range of capabilities - including remote diagnostics, predictive maintenance, vehicle tracking, over-the-air (OTA) updates, usage-based insurance (UBI), driver behavior monitoring, and emergency response services - thereby redefining how OEMs engage with customers and monetize vehicle lifecycles.With vehicles increasingly acting as mobile data hubs, telematics platforms are integral to supporting advanced driver-assistance systems (ADAS), fleet management, and subscription-based mobility services. OEMs are leveraging telematics not only to enhance safety, efficiency, and customer experience but also to create new digital revenue streams through connected service offerings and real-time analytics. As software-defined vehicles (SDVs) gain momentum, telematics platforms are becoming the gateway for continuous feature enhancement, personalization, and post-sale engagement - repositioning the vehicle as a service-enabling asset rather than a static product.
How Are AI, 5G, and Cloud Integration Advancing the Capabilities and Scalability of OEM Telematics Platforms?
The technological sophistication of OEM telematics systems is increasing through the integration of AI algorithms, 5G connectivity, and cloud-native architecture. AI enables real-time analytics on driver behavior, predictive diagnostics, and contextual insights for improving safety and optimizing performance. Telematics control units (TCUs) are being equipped with edge computing capabilities to process critical data locally and reduce latency for time-sensitive applications such as crash detection or lane departure alerts.5G networks are accelerating the responsiveness and bandwidth of telematics systems, supporting ultra-fast data transmission required for autonomous vehicle communication, live video feeds, and high-frequency OTA software updates. Meanwhile, cloud platforms are enabling centralized data management, cross-fleet visibility, and scalable service delivery across geographies. Cloud-native telematics ecosystems also support seamless integration with OEM CRM platforms, mobility apps, and third-party services like insurance, navigation, and EV charging. Together, these technologies are enabling OEMs to offer telematics as a modular, upgradeable, and always-on service platform that adapts to evolving vehicle and user needs.
Where Is Demand for OEM Telematics Systems Expanding and Which Vehicle Segments Are Leading Implementation?
OEM telematics systems are seeing widespread adoption across passenger vehicles, commercial fleets, and electric vehicles (EVs), with the most significant demand emerging from North America, Europe, China, and Japan. Premium and mid-range passenger vehicles have led deployment historically, driven by consumer demand for safety, convenience, and infotainment. However, telematics adoption is now expanding into entry-level segments as cost reductions, regulatory mandates, and consumer expectations for connectivity increase.Electric vehicles are emerging as a key growth segment for telematics integration, as these platforms require advanced monitoring for battery health, charging behavior, range prediction, and energy optimization. OEMs are embedding telematics as standard in EVs to enable energy-efficient routing, remote charging management, and integration with smart grid systems. Commercial fleets - including logistics, rental, and ride-hailing operators - are also heavy adopters, relying on OEM telematics for route optimization, fuel economy monitoring, compliance reporting, and real-time asset tracking. Governments and regulators are further incentivizing telematics through vehicle safety mandates and fleet emission reduction initiatives, particularly in Europe and Asia-Pacific.
What Is Fueling the Global Growth of the Automotive OEM Telematics Market?
The rapid expansion of the OEM telematics market is being fueled by the convergence of connected mobility demand, regulatory compliance pressures, and the strategic shift toward recurring digital revenues. As OEMs transition from a transactional model to an ecosystem model, telematics provides a scalable pathway to deliver value-added services, build long-term customer relationships, and gather continuous vehicle usage data. Regulatory requirements - such as eCall in Europe, driver monitoring systems, and emissions reporting - are further driving telematics integration as part of standard safety and compliance packages.The growing popularity of usage-based insurance (UBI), vehicle subscription models, and shared mobility platforms is also amplifying telematics deployment, as these models depend on accurate, real-time data collection and management. OEMs are forming strategic alliances with telecom providers, cloud platforms, and mobility startups to build integrated telematics ecosystems that can evolve with software upgrades and adapt to regional service demands. As digital infrastructure becomes intrinsic to vehicle value and market differentiation, a key strategic question arises: Can OEM telematics platforms scale as secure, flexible, and monetizable backbones for the data-driven, customer-centric mobility landscape of tomorrow?
Report Scope
The report analyzes the Automotive OEM Telematics market, presented in terms of market value (US$ Thousand). The analysis covers the key segments and geographic regions outlined below.Segments: Offering (Hardware, Software & Services); Application (Infotainment & Navigation, Fleet Management, Safety & Security, Diagnostics); End-Use (Passenger Cars, Commercial Vehicles).
Geographic Regions/Countries: World; United States; Canada; Japan; China; Europe (France; Germany; Italy; United Kingdom; Spain; Russia; and Rest of Europe); Asia-Pacific (Australia; India; South Korea; and Rest of Asia-Pacific); Latin America (Argentina; Brazil; Mexico; and Rest of Latin America); Middle East (Iran; Israel; Saudi Arabia; United Arab Emirates; and Rest of Middle East); and Africa.
Key Insights:
- Market Growth: Understand the significant growth trajectory of the Hardware Component segment, which is expected to reach US$132.0 Billion by 2030 with a CAGR of a 12.2%. The Software & Services Component segment is also set to grow at 16.3% CAGR over the analysis period.
- Regional Analysis: Gain insights into the U.S. market, valued at $27.6 Billion in 2024, and China, forecasted to grow at an impressive 18.1% CAGR to reach $46.1 Billion by 2030. Discover growth trends in other key regions, including Japan, Canada, Germany, and the Asia-Pacific.
Why You Should Buy This Report:
- Detailed Market Analysis: Access a thorough analysis of the Global Automotive OEM Telematics Market, covering all major geographic regions and market segments.
- Competitive Insights: Get an overview of the competitive landscape, including the market presence of major players across different geographies.
- Future Trends and Drivers: Understand the key trends and drivers shaping the future of the Global Automotive OEM Telematics Market.
- Actionable Insights: Benefit from actionable insights that can help you identify new revenue opportunities and make strategic business decisions.
Key Questions Answered:
- How is the Global Automotive OEM Telematics Market expected to evolve by 2030?
- What are the main drivers and restraints affecting the market?
- Which market segments will grow the most over the forecast period?
- How will market shares for different regions and segments change by 2030?
- Who are the leading players in the market, and what are their prospects?
Report Features:
- Comprehensive Market Data: Independent analysis of annual sales and market forecasts in US$ Million from 2024 to 2030.
- In-Depth Regional Analysis: Detailed insights into key markets, including the U.S., China, Japan, Canada, Europe, Asia-Pacific, Latin America, Middle East, and Africa.
- Company Profiles: Coverage of players such as Airbiquity, AT&T Inc., BMW AG, Continental AG, Denso Corporation and more.
- Complimentary Updates: Receive free report updates for one year to keep you informed of the latest market developments.
Some of the 34 companies featured in this Automotive OEM Telematics market report include:
- Airbiquity
- AT&T Inc.
- BMW AG
- Continental AG
- Denso Corporation
- Ford Motor Company
- General Motors
- Geotab Inc.
- Harman International
- Hyundai Motor Company
- Kia Corporation
- Mercedes-Benz Group AG
- Nissan Motor Co., Ltd.
- Qualcomm Technologies Inc.
- Renault Group
- Robert Bosch GmbH
- Stellantis N.V.
- Tesla, Inc.
- Toyota Motor Corporation
- Verizon Communications Inc.
Tariff Impact Analysis: Key Insights for 2025
Global tariff negotiations across 180+ countries are reshaping supply chains, costs, and competitiveness. This report reflects the latest developments as of April 2025 and incorporates forward-looking insights into the market outlook.The analysts continuously track trade developments worldwide, drawing insights from leading global economists and over 200 industry and policy institutions, including think tanks, trade organizations, and national economic advisory bodies. This intelligence is integrated into forecasting models to provide timely, data-driven analysis of emerging risks and opportunities.
What's Included in This Edition:
- Tariff-adjusted market forecasts by region and segment
- Analysis of cost and supply chain implications by sourcing and trade exposure
- Strategic insights into geographic shifts
Buyers receive a free July 2025 update with:
- Finalized tariff impacts and new trade agreement effects
- Updated projections reflecting global sourcing and cost shifts
- Expanded country-specific coverage across the industry
Table of Contents
I. METHODOLOGYII. EXECUTIVE SUMMARY2. FOCUS ON SELECT PLAYERSIII. MARKET ANALYSISCANADAITALYSPAINRUSSIAREST OF EUROPESOUTH KOREAREST OF ASIA-PACIFICARGENTINABRAZILMEXICOREST OF LATIN AMERICAIRANISRAELSAUDI ARABIAUNITED ARAB EMIRATESREST OF MIDDLE EASTIV. COMPETITION
1. MARKET OVERVIEW
3. MARKET TRENDS & DRIVERS
4. GLOBAL MARKET PERSPECTIVE
UNITED STATES
JAPAN
CHINA
EUROPE
FRANCE
GERMANY
UNITED KINGDOM
ASIA-PACIFIC
AUSTRALIA
INDIA
LATIN AMERICA
MIDDLE EAST
AFRICA
Companies Mentioned (Partial List)
A selection of companies mentioned in this report includes, but is not limited to:
- Airbiquity
- AT&T Inc.
- BMW AG
- Continental AG
- Denso Corporation
- Ford Motor Company
- General Motors
- Geotab Inc.
- Harman International
- Hyundai Motor Company
- Kia Corporation
- Mercedes-Benz Group AG
- Nissan Motor Co., Ltd.
- Qualcomm Technologies Inc.
- Renault Group
- Robert Bosch GmbH
- Stellantis N.V.
- Tesla, Inc.
- Toyota Motor Corporation
- Verizon Communications Inc.
Table Information
| Report Attribute | Details |
|---|---|
| No. of Pages | 364 |
| Published | May 2025 |
| Forecast Period | 2024 - 2030 |
| Estimated Market Value ( USD | $ 101.2 Billion |
| Forecasted Market Value ( USD | $ 218.9 Billion |
| Compound Annual Growth Rate | 13.7% |
| Regions Covered | Global |
