Berg Insights forecast a total of 16.4 million fleet management systems in the region by 2022
The number of active fleet management systems deployed in commercial vehicle fleets in North America reached 8 million at the end of last year, with Verizon leading the market, according to a report by IoT market research firm Berg Insights.
Growing at a compound annual growth rate (CAGR) of 15.6%, this number is expected to reach 16.4 million by 2022.
In Latin America, the number of active fleet management systems is expected to increase from 3 million at the end of 2017, growing at a CAGR of 13.1% to reach 5.5 million in 2022.
The study highlighted that the top-25 vendors in the Americas together have a combined installed base of more than 7 million active units in the region. Also, all of the top-15 players each had more than 100,000 active units in the Americas at the end of 2017.
In February 2018, Verizon launched Verizon Connect which represents the culmination of more than $ 5 billion in investments including acquisitions such as Fleetmatics and Telogis.
“Verizon Connect is the clear leader in the fleet telematics space both from a global perspective and in the Americas specifically”, said Rickard Andersson, principal analyst at Berg Insight.
Verizon Connect provides the connectivity and data insights for customers to be more informed about their vehicle and worker location, efficiency, safety, productivity and compliance. The Verizon Connect portfolio of solutions and services includes fleet and mobile workforce management software platforms, embedded OEM hardware, and “Hum by Verizon,” a connected vehicle device that’s designed to create a safer, smarter and more connected driving experience for consumers.
Verizon’s closest competitor in the Americas is Geotab which has grown considerably in the past year, followed by Omnitracs and Trimble which have both surpassed 500,000 million active fleet management subscribers in the region, according to the study.
Andersson also said that the ongoing consolidation trend in the fleet management space is expected to continue in the coming years.
The analyst also said that numerous vendors today have more than half a million active fleet management subscribers worldwide, while three players had already surpassed the milestone of one million subscriptions.
“Berg Insight anticipates a future scenario where the global fleet management market is dominated by a handful of solution providers with installed bases measured in the millions”, Andersson said.
