Vehicle analytics can be defined as the solutions integrated with the motor vehicles to gain the insights about both the driver and vehicle. Vehicle analytics will offer benefits like increased road safety, early detection of threats while driving, continuous monitoring of the vehicle, and understand the driver behaviour and driving patterns to suggest useful advice that can reduce the accidents.
The global vehicle analytics market was valued at USD 1.1 billion in 2017 and predicted to grow at an annual growth rate of 26.5% to reach USD 3.7 billion by 2022. Recent advancements in science and technology, and increased adoption of technologies like machine learning, Artificial Intelligence (AI), and predictive maintenance are the principal factors for the boom in vehicle analytics market. Also, the advantages of real-time data gathered from car sensors, and GPS tracking devices are also promoting the international market.
The vehicle analytics are broadly used by the automotive industry giants to improve the experience of the customer and implement modern technologies like driverless vehicles, which will unfold new growth opportunities for the global vehicle analytics market. Traffic management will also be simplified to help the drivers identify best possible and nearest routes that can help to save their time and fuel.
Data captured from sensors in real-time will be analysed to improve the services like smart parking and other related areas. Cloud solutions are also helping in increasing the adoption of vehicle analytics. The on-demand deployment model that makes uses of cloud offers scalable and agile solutions to clients. Several processes like installation, integration, configuration, maintenance, service and others can be avoided by using the cloud-based vehicle analytics system.
On the contrary, the network connectivity and interoperability issues are hindering the Vehicle Analytics market growth. Also, the initial investment costs, challenges associated with data security, and concerns related to the integration with traditional software systems can also limit the growth of vehicle analytics software and solutions all over the globe. However, the companies offering vehicle analytics services have implemented strategic initiatives like mergers, acquisitions, partnerships, new products in the market, upgrading existing products, and others to improve the client base and customer satisfaction.
Independent Research Consultant
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