EV telematics market to reach $1.4 billion by 2017
The cleantech market intelligence firm forecasts that annual revenue from worldwide sales of EV telematics will total $1.4 billion by 2017.
For early PEVs, one of the key features for customers is not a component of the drivetrain, but rather, the telematics package.
Giving the driver the ability to check on the battery and the rate of charge, telematics serve as a lifeline of sorts to help alleviate concerns over the limited range of EVs (range anxiety).
A key group of players in the EV telematics supply chain will be wireless equipment manufacturers coming from outside the automotive industry.
Senior research analyst Dave Hurst said: â€œThe hardware manufacturers are experiencing a bit of a culture shock as automotive development generally targets an 8 to 10-year lifespan, compared to a 2 to 3-year lifespan for other wireless devices. For this reason, despite the fact that much of the data being transferred in PEV telematics can be done easily with a slow GSM connection, most hardware manufacturers are targeting 3G services with their modems to ensure compatibility with the wireless network long term.â€
In addition, while basic telematics packages that offer simple data connections for emergency services, breakdown calls, charging station locations, and diagnostics/vehicle monitoring will be standard features on most PEVs by 2017, many consumers will want more elaborate, connected vehicle telematics, which can provide live traffic, weather, streaming content, and cloud computing-based applications.
The research firmâ€™s analysis indicates that, by the end of the forecast period, 80 percent of PEVs will come with connected vehicle systems installed. Those costlier packages will push average revenue per user (ARPU) for electric vehicle telematics to $13.27 by 2017, up from $10.65 today.
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