MARKET research firm Frost & Sullivan envisions that 70 million trucks globally will be connected using telematics and other connectivity technologies, which will reduce operating costs and create higher revenues for the global logistics industry.
“Connected trucks will help reduce operating costs through several avenues including telematics, remote diagnostics/prognostics, truck platooning, and self-driving trucks,” Frost & Sullivan Mobility Senior Consultant Vitali Bielski said in a white paper released in July.
“Changes in the way cargo is delivered, such as Uber for trucks, will also fuel higher levels of connectivity,” Bielski said.
The white paper noted that established telematics vendors already have an expanding presence in Latin America, India and China.
According to a technology website, telematics is the combination of telecommunication and informatics describing the integrated use of communications and information technology to transmit, store and receive information from telecommunications devices to remote objects over a network.
“Through connected truck technology, fleet operators will be able to optimize factors such as fuel, maintenance, and driver wages, which together contribute more than 60 percent of the total cost of ownership,” Bielsko said.
In 2015, South African-headquartered fleet management and vehicle tracking company Cartrack opened its offices in Malaysia, Indonesia, Thailand, Philippines, and Hong Kong.
“Based on the growing number of vehicles and the developing telematics market, Cartrack believes that there are significant opportunities for growth in Asia,” the company said.