The telematic users are estimated to increase from 37 million in 2010 to 211 million through 2015 in both developing and developed regions, as OEM and aftermarket consumer telematics systems continue to gain momentum, according to a report by market research firm ABI Research.
The research firm said that the increasing trend in telematics is due to the raising awareness of their benefits related to safety, security, maintenance, convenience, infotainment, and cost savings.
ABI Research practice director Dominique Bonte said that telematics drivers are diverse, ranging from regulation in Europe (eCall) and legislation in Brazil (SVT) to cheaper telematics connectivity, hardware, software, and services.
"However, barriers remain: privacy concerns have slowed down the legislation process in Brazil, and industry fragmentation and confusion about business models and service architectures continue to haunt the automotive ecosystem," Bonte said.
ABI Research said that the number of telematics subscribers will see strong growth in the coming years.
However, direct revenue growth will be slower due to an increasingly large number of free non-embedded, hybrid and phone-based offerings such as Ford SYNC.
