Toll Collect GmbH's Pioneering Electronic Toll Collection System Receives Plaudits From Frost & Sullivan

LONDON--June 1, 2005--In recognition of its pioneering vehicle positioning system (VPS) technology-based electronic toll collection system, Toll Collect GmbH is honoured with the 2005 Frost & Sullivan Transportation Technology Innovation & Leadership of the Year Award. Toll Collect is commended for its leading-edge technology contribution to an industry regarded as having limited scope for innovative technologies.

Among the criteria considered for award selection included significance of the technology in the industry, value-add of the technology and services to customers, adoption rate by industry participants and market potential.

Toll Collect's innovative VPS based on the global positioning satellite (GPS) and the GSM technologies presents an advance over conventional dedicated short range communication (DSRC)-based technologies. A flexible and effective system for distance-based collection of toll for heavy vehicles, VPS works with the help of a satellite-based vehicle-tracking system to determine exact vehicle location while using mobile communication technology to compute toll charges.

"Apart from reducing the need for gantries and enabling accurate distance-based toll collection, the VPS system pioneered by Toll Collect also boasts additional benefits, particularly flexibility and interoperability, thereby offering customers a truly value-added technology," notes Frost & Sullivan Transportation Industry Analyst Hema Bhaskaran.

For instance, the onboard units installed by the company can be used to deduct tolls in Austria and Switzerland. Moreover, Toll Collect's VPS technology-based systems can be made compatible with any of the current electronic toll collection systems through a minor software upgrade, thus enabling interoperability with existing DSRC technology.

With the European Union in its directive for interoperability favouring the use of VPS technology for toll solutions and the appeal of satellite solutions for toll collections likely to rise with the launch of Galileo, governments are likely to consider migrating to this platform by the end of the decade. Such trends are set to reinforce the technological and competitive significance of Toll Collect's innovation.

Nearly 80 percent of Germany's commercial vehicle users subscribed to Toll Collect's system within two months of its implementation on the 1st of January 2005. Indicative of its rapid adoption rate, revenue generation surged from EUR 200 million in January to EUR 250 million in February.

Following its successful launch in Germany, the United Kingdom and Netherlands are also considering adopting VPS-based systems for heavy vehicle road user charging. Several central and eastern European countries are conducting feasibility studies for VPS implementation.

"Vehicle positioning technology is projected to revolutionise the toll collection market," says Ms. Bhaskaran. "The successful implementation of Toll Collect's VPS technology-based electronic toll collection is set to motivate leading motorway operators who have currently implemented DSRC technology to adopt similar systems in their motorways, creating immense market potential for Toll Collect's offering."

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Frost & Sullivan Awards are presented to companies that demonstrate best practices in their industry, commending the diligence, commitment, and innovative business strategies required to advance in the global marketplace. Frost & Sullivan rigorously analyses specific criteria to determine award recipients in a broad spectrum of market industries and landscapes (www.frost.com).