The Global Internet of Things fleet management market size was valued at USD 5.27 Billion in 2020 and is anticipated to register a considerable CAGR during the forecast period, 2021-2028. The growth of the market is attributed to the rising need for optimum operational efficiencies.
IoT Fleet Management is the combination and outcome of hardware, software, and communication technology. It offers numerous solutions, such as predictive maintenance, remote diagnostics, fleet analytics, management of fuel, tracking and monitoring of vehicles and several others. It is majorly applicable to improve and enhance vehicular internet connectivity. The application of the IoT fleet management software helps to improve the operational efficiency in response to the cost-effectivity.
The COVID-19 outbreak has brought negative impact on the market due to imposed restrictions and enforced lockdowns by respective regulatory bodies, which resulted in disruption in demand and supply chain globally. The market is expected to recover an uptrend operation soon due to subsiding the COVID cases gradually across the globe.
Market Trends, Drivers, Restraints, and Opportunities
- Rising awareness for vehicle safety and other parameters is one of the key factors driving the market growth.
- Increasing compatibility for remote as well as smart devices with vehicles is expected to boost the market growth in the coming years.
- Growing emphasis on and risk-free operations, lower emissions, and minimum energy consumption is anticipated to boost the market expansion during the projected period.
- High initial cost of integration and lack of infrastructure presents a major challenge. This is likely to hinder the market growth during the forecast period.
- Increasing adoption of IoT fleet management by several transportation companies is projected to create significant growth opportunities for the market in the near future.
Scope of the Report
The report on the global Internet of Things fleet management market includes an assessment of the market, trends, segments, and regional markets. Overview and dynamics have also been included in the report.
Internet of Things Fleet Management Market - Global Industry Analysis, Growth, Share, Size, Trends, and Forecast
Cloud Types (Public, Private, and Hybrid), Applications (Passenger Cars and Commercial Vehicles), Services (Managed and Professional), Platforms (Application Enablement, Device Management, and Network Management), and Solutions (Remote Diagnostics, Predictive Maintenance, Fleet Analytics, Driver Tracking & Monitoring, Fuel Management, and Vehicle Tracking & Monitoring)
Asia Pacific, North America, Latin America, Europe, and Middle East & Africa
Company Share, Market Analysis and Size, Competitive Landscape, Growth Factors, and Trends, and Revenue Forecast
Key Players Covered in the Report
Verizon; Omnitracs, LLC; Tomtom International BV; AT&T Inc.; Cisco Systems, Inc.; Trimble Inc.; Telefónica, S.A.; Intel Corp.; Sierra Wireless; and IBM Corp.
Market Segment Insights
Private segment to grow at a rapid pace
Based on cloud types, the global Internet of Things fleet management market is divided into public, private, and hybrid. The private segment is expected to grow at a rapid pace during the forecast period owing to data security offered along with access to the cloud, which is provided to a limited number of users. However, the public segment is anticipated to hold a key share of the market in the coming years due to increased reliability and decreasing prices in the market.
Tracking & monitoring to drive commercial vehicles segment
On the basis of applications, the market is bifurcated into passenger cars and commercial vehicles. The commercial vehicles segment is projected to expand at a considerable CAGR during the forecast period attributed to technology it offers, such as driver behavior & performance, status of the cargo, and tracking & monitoring vehicle location. On the other hand, the passenger cars segment is anticipated to account for a major market share during the forecast period due to increasing integration of smartphone with passenger cars.
Managed segment to hold significant market share
In terms of services, global Internet of Things fleet management market is bifurcated into managed and professional. The managed segment is anticipated to hold significant market share in the coming years owing to increase in need for handling several fleet management operations over a single network. However, the professional segment is expected to register a considerable CAGR during the forecast period due to services it offers to enable enterprises to manage operational and service costs.
Smooth functioning to drive device management segment
Based on platforms, the market is segregated into application enablement, device management, and network management. The device management segment is expected to account for major market share during the projected timeline attributed to smooth functioning, which helps the complete system in optimum results. On the other hand, the network management segment is expected to grow at a significant rate due to real-time visibility of network activities along with clarity over aspects, such as network efficiency and data usage.
Fuel management to expand at robust growth rate
On the basis of solutions, the global Internet of Things fleet management market is segmented into remote diagnostics, predictive maintenance, fleet analytics, driver tracking & monitoring, fuel management, and vehicle tracking & monitoring. The fuel management segment is estimated to expand at robust growth rate during the forecast period owing to major focus associated with reduction in overall expenses related to maintenance and consumption.
However, the predictive maintenance segment is projected to expand at a considerable CAGR during the forecast period due to feature of predicting & analyzing the component and its failure by gathering information from vehicles.
North America is anticipated to constitute a key market share
In terms of regions, the global Internet of Things fleet management market is classified as Asia Pacific, North America, Latin America, Europe, and Middle East & Africa. North America is expected to constitute a key share of the market during the projected period attributed to increasing sales for commercial vehicles across the region.
However, the market of Asia Pacific is anticipated to expand at a rapid pace during the forecast period owing to growing penetration of smart devices along with growth in sale of vehicles in the region.
The global internet of things fleet management market has been segmented on the basis of
- Passenger Cars
- Commercial Vehicles
- Application Enablement
- Device Management
- Network Management
- Remote Diagnostics
- Predictive Maintenance
- Fleet Analytics
- Driver Tracking & Monitoring
- Fuel Management
- Vehicle Tracking & Monitoring
- Asia Pacific
- North America
- Latin America
- Middle East & Africa
- Omnitracs, LLC
- Tomtom International BV
- AT&T Inc.
- Cisco Systems, Inc.
- Trimble Inc.
- Telefónica, S.A.
- Intel Corp.
- Sierra Wireless
- IBM Corp.
Key players competing in the global internet of things fleet management market are Verizon; Omnitracs, LLC; Tomtom International BV; AT&T Inc.; Cisco Systems, Inc.; Trimble Inc.; Telefónica, S.A.; Intel Corp.; Sierra Wireless; and IBM Corp. As part of their efforts to expand their client base and acquire a competitive advantage over competitors, manufacturers operating in the market have adopted various strategic initiatives such as partnerships, collaborations, and mergers & acquisitions. Moreover, companies are focusing on investment in R&D for development and launching of new products to maintain their competitive positions in the market.
For instance, in 2016, Verizon acquired the U.S. based Fleetmatics Group PLC for the amount USD 2.4 billion. The acquisition was expected to strengthen telematics business and Verizon Communication’s IoT fleet management.