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News
Issue #2001 - 35 (August 2001)
(Updated August 29, 2001)

MARKET OUTLOOK & TRENDS

Commercial Transportation Sector To Gain Most from Telematics

The automakers’ love affair with telematics technology, definitely, turns the heads of the media, as vendors show off their sleek and sexy applications and flaunt promises of huge pay-offs.

But according to a new report by Vertical Wireless Associates, it’s the commercial transportation sector that will ultimately gain the most from the widespread deployment of integrated high-end wireless information services or trucking telematics.

The report, ‘Commercial Markets for Vertical Telematics: Strategies for Growth,’ says the promise of low-cost wireless communication has captivated the transportation industry. As hardware costs come down, the business case for integrated onboard electronics on commercial vehicle is becoming more compelling. The commercial transportation sector will gain most from the widespread deployment of integrated high-end wireless information services.

Telematics in the trucking industry represents the convergence of numerous first-and second-generation technology and products currently in use, ranging from automated fuel tax software and dash-mounted data capturing devices to integrated client-server dispatch systems and remote diagnostic applications. The authors of the report say vendors that offer fleet owners a comprehensive migration path, which allows fleets to incorporate new capabilities over time while protecting their existing investments will dominate the market.

The report contains application descriptions, market data, statistics, profiles, and forecasts designed to assist wireless vendors in strategic marketing and business planning.

For more information: http://www.vertical-wireless.com

Mobileinfo Comments and Advisory: We agree with the conclusion of this report that commercial transportation sector will benefit from telematics. In fact, it was the commercial transportation sector that acted as a test bed for telematics.  Since early 1990s, Qualcomm and others have been demonstrating the benefits of wireless data connection to the vehicles on the highways. Now, the automotive industry has found a way of bringing Internet to the car at a much lower cost using public shared networks and smaller less expensive WAN modems as compared to unwieldy satellite modems. The same technology can be installed in trucks at much less expense than $ 200 monthly charge these satellite service operators used to offer. Telematics is now a productive communications tool for the fleet operators. 

Note: This news release may contain forward-looking statements. Readers should take appropriate caution in developing plans utilizing these products, services and technology architectures.  All trademarks used in this summary are the property of their respective owners.


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