Automotive Telematics Gains Ground in Europe: Enabling Vehicles for Wireless Services
FRANKFURT, Germany--Sept. 10, 2003--Automotive Telematics is about enabling vehicles for wireless communications, and nowhere is this as important as it is in Europe. This is largely due to high mobile phone penetration, restrictions on the use of handsets while driving, and the presence of a single network standard.According to Telematics Research Group, this category of telematics is called Mobile Device Integration and is the largest segment of the European telematics market. "While these solutions are primarily used for telephony today, they will increasingly be used for information services, roadside assistance and emergency services," says Phil Magney, co-founder and principal analyst for TRG. "Leading European-based auto companies are addressing this need by introducing a variety of solutions at the 2003 Frankfurt Motor Show (IAA)."
Mobile Device Integration solutions interface a user's mobile phone into the vehicle using a docking station, Bluetooth wireless, or SIM access. The objective is to enable that vehicle for wireless services while minimizing driver distraction associated with using cell phones. "These devices employ voice recognition or other input methods that ensure the driver keeps their hands on the wheel and their eyes on the road," says Magney.
For example, when a driver gets a call, a small display on the instrument cluster may tell who is calling while a button on the steering wheel is used to initiate or terminate that call. Many systems accommodate "voice tags" that allow dialing of numbers stored in the system's address book. Emerging systems may even have provisions for a Bluetooth headset so that the driver can engage in a private conversation.
While Device Integration is seeing rapid growth in Europe, in North America the category is just now emerging. "The North American market is largely dominated by embedded wireless telematics solutions but in time these systems will evolve to accommodate external wireless devices," says Dr. Egil Juliussen, TRG's principal technology analyst. "OnStar is the worldwide leader for telematics by bundling their embedded solution in nearly 30% of their passenger vehicles sold in North America," adds Juliussen.
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Global Telematics Shipments (Units Sales Estimates)
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2001 2002 2003 2004
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Western Europe
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Device Integration 74,000 301,000 501,000 722,000
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Embedded Telematics 36,000 110,000 220,000 374,000
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North America
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Device Integration 13,000 44,000 97,000 164,000
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Embedded Telematics 1,593,000 1,945,000 2,107,000 2,358,000
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Pacific Asia Region
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Device Integration 20,000 60,000 135,000 250,000
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Embedded Telematics 30,000 65,000 120,000 220,000
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Telematics Research Group tracks, analyzes, and forecasts the market for automotive telematics and is attending the IAA (International Automobil-Ausstellung) this week in Frankfurt.