The Global Automotive OEM Telematics Market 10th Edition

The Global Automotive OEM Telematics Market is the tenthconsecutive report from Berg Insight analysing the latestdevelopments on the connected car market worldwide. This strategicresearch report from Berg Insight provides you with 270 pages ofunique business intelligence including 5-year industry forecasts andexpert commentary on which to base your business decisions.

Berg Insight’s definition of a car telematics system in this report is an automatic system designedfor passenger cars that incorporates some form of cellular communications. Several categoriesof car telematics applications are now offered by carmakers. Examples include eCall androadside assistance, stolen vehicle tracking (SVT), vehicle diagnostics, over-the-air (OTA)updates, connected navigation and infotainment, entertainment services such as music andvideo streaming, convenience services, Wi-Fi hotspots as well as AI personal assistanceservices. Convenience services include remote control of vehicle functions such as doorlock/unlock, vehicle preconditioning (heating or cooling of the passenger compartment before atrip), EV charging management and finding the last parking position.

Virtually all of the world’s leading carmakers have launched mass-market services in key regionstoday. Berg Insight estimates that 79 percent of all new cars sold worldwide in 2024 wereequipped with an OEM-embedded telematics system, up from 75 percent in 2023. The eCallmandate in EU27+EFTA+UK has accelerated the adoption of telematics, making it a standardfeature in nearly all new cars sold in the region in 2024. By 2025, the attach rate inEU27+EFTA+UK is expected to reach 100 percent, up from 97 percent in 2024. North Americais an advanced market in terms of premium telematics services with an attach rate of about 93percent. In China, the attach rate reached 84 percent in 2024. Other developed markets includeRussia and CIS, Japan and South Korea. In other regions, the attach rate is still around 30–40percent.

Since many volume brands such as Toyota, GM, Stellantis, Ford, Volkswagen, Hyundai, Hondaand Nissan now offer connected services for free in their main markets, they will constitute alarge part of the growth of connected car subscriptions in the coming years. Premium brandssuch as BMW, Mercedes-Benz and Audi have offered telematics services as a standard featureacross models and geographies for more than a decade and have a considerable number ofsubscribers. Other major car brands offering embedded telematics on a broad scale include Kia,Tesla, Renault, Geely, BYD, Volvo Cars, Mazda, JLR, SAIC, GWM, Chery, Subaru, Porsche,Lexus and Changan Motors. Relatively newly founded brands in China such as Leapmotor, LiAuto and NIO also offer embedded telematics services.

Berg Insight estimates that total shipments of embedded OEM telematics systems reached 64.5million units worldwide in 2024. Growing at a compound annual growth rate of 4.9 percent,shipments are expected to reach 82.1 million units in 2029. During the same time, the attach rateof embedded telematics units is forecasted to increase from about 79 percent in 2024 to 93 percent in 2029. The number of embedded telematics subscriptions is forecasted to grow at acompound annual growth rate of 13.0 percent from 286.6 million in 2024 to 528.1 million in 2029.

Car manufacturers rely on services provided by mobile network operators, MVNOs, connectivitymanagement platform providers and telematics service providers. Mobile operators and MVNOssuch as AT&T, Vodafone, China Unicom, China Mobile, KDDI, Deutsche Telekom, Orange,Verizon, Cubic and NTT are leading connectivity providers in the automotive segment.Connectivity management platforms is also an important part of the connected car ecosystemenabling features such as provisioning, subscription management, cost monitoring and eventmanagement. Leading connectivity management platforms players in the automotive industryinclude Cisco, Aeris, Airlinq and Lolo Company.

Telematics service providers in the OEM segment have established partnerships with multipletelematics system vendors to enable connected car services for car manufacturers across aninternational footprint. Examples of telematics service providers focusing on the automotive OEMsegment include Beijing Yesway Information Technology, Bosch, Cerence AI, Forvia, HarmanInternational, Here Technologies, PATEO, Sibros, SiriusXM Connect, Sonatus, TomTom, ValtechMobility and WirelessCar. There are also companies specialising in building connected carservices and applications upon connected car data. Examples of such companies includeCaruso, CCC Intelligent Solutions, High Mobility, LexisNexis Risk Solutions and Smartcar.