Berg Insight’s definition of a car telematics system in their new report “The Global Automotive OEM Telematics Market – 10th Edition” is an automatic system designed for passenger cars that incorporates some form of cellular communications. Several categories of car telematics applications are now offered by carmakers. Examples include eCall and roadside assistance, stolen vehicle tracking (SVT), vehicle diagnostics, over-the-air (OTA) updates, connected navigation and infotainment, entertainment services such as music and video streaming, convenience services, Wi-Fi hotspots as well as AI personal assistance services. Convenience services include remote control of vehicle functions such as door lock/unlock, vehicle preconditioning (heating or cooling of the passenger compartment before a trip), EV charging management and finding the last parking position.
Virtually all of the world’s leading carmakers have launched mass-market services in key regions today. Berg Insight estimates that 79% of all new cars sold worldwide in 2024 were equipped with an OEM-embedded telematics system, up from 75% in 2023. The eCall mandate in EU27+EFTA+UK has accelerated the adoption of telematics, making it a standard feature in nearly all new cars sold in the region in 2024. By 2025, the attach rate in EU27+EFTA+UK is expected to reach 100%, up from 97% in 2024. North America is an advanced market in terms of premium telematics services with an attach rate of about 93%. In China, the attach rate reached 84% in 2024. Other developed markets include Russia and CIS, Japan and South Korea. In other regions, the attach rate is still around 30–40%.
Since many volume brands such as Toyota, GM, Stellantis, Ford, Volkswagen, Hyundai, Honda and Nissan now offer connected services for free in their main markets, they will constitute a large part of the growth of connected car subscriptions in the coming years. Premium brands such as BMW, Mercedes-Benz and Audi have offered telematics services as a standard feature across models and geographies for more than a decade and have a considerable number of subscribers. Other major car brands offering embedded telematics on a broad scale include Kia, Tesla, Renault, Geely, BYD, Volvo Cars, Mazda, JLR, SAIC, GWM, Chery, Subaru, Porsche, Lexus and Changan Motors. Relatively newly founded brands in China such as Leapmotor, Li Auto and NIO also offer embedded telematics services.
Berg Insight estimates that total shipments of embedded OEM telematics systems reached 64.5 million units worldwide in 2024. Growing at a compound annual growth rate of 4.9%, shipments are expected to reach 82.1 million units in 2029. During the same time, the attach rate of embedded telematics units is forecasted to increase from about 79% in 2024 to 93% in 2029. The number of embedded telematics subscriptions is forecasted to grow at a compound annual growth rate of 13.0% from 286.6 million in 2024 to 528.1 million in 2029.
Car manufacturers rely on services provided by mobile network operators, MVNOs, connectivity management platform providers and telematics service providers. Mobile operators and MVNOs such as AT&T, Vodafone, China Unicom, China Mobile, KDDI, Deutsche Telekom, Orange, Verizon, Cubic and NTT are leading connectivity providers in the automotive segment. Connectivity management platforms is also an important part of the connected car ecosystem enabling features such as provisioning, subscription management, cost monitoring and event management. Leading connectivity management platforms players in the automotive industry include Cisco, Aeris, Airlinq and Lolo Company.
Telematics service providers in the OEM segment have established partnerships with multiple telematics system vendors to enable connected car services for car manufacturers across an international footprint. Examples of telematics service providers focusing on the automotive OEM segment include Beijing Yesway Information Technology, Bosch, Cerence AI, Forvia, Harman International, Here Technologies, PATEO, Sibros, SiriusXM Connect, Sonatus, TomTom, Valtech Mobility and WirelessCar. There are also companies specialising in building connected car services and applications upon connected car data. Examples of such companies include Caruso, CCC Intelligent Solutions, High Mobility, LexisNexis Risk Solutions and Smartcar.
