Berg Insight Expects 60 Million Two-wheelers to Have an Active OEM Embedded Telematics System by 2029

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According to a new market research report from the IoT analyst firm Berg Insight, the number of active two-wheeler OEM telematics systems will reach 59.7 million in 2029, up from 16.7 million in 2024. This represents a CAGR of 29.0 percent. The report focuses on motor-powered two-wheelers including motorcycles, mopeds and scooters. Only a proportion of the largest two-wheeler OEMs offer embedded telematics services today, but other OEMs are expected to follow in the coming years. “Important drivers for telematics adoption include safety and security services such as emergency and roadside assistance services and stolen vehicle tracking solutions. The increasing uptake of electric two-wheelers is also a major factor driving adoption”, said Martin Cederqvist, Senior Analyst at Berg Insight.

Aftermarket telematics solutions have been available on the market for many years already. The main aftermarket telematics use cases are stolen vehicle tracking and theft prevention. The penetration rate of embedded OEM telematics solutions will increase in the coming years, but there will still be plenty of opportunities for aftermarket telematics service providers. The number of aftermarket two-wheeler telematics systems in active use is forecasted to grow from 17.2 million at the end of 2024 to reach 30.8 million in 2029. This represents a CAGR of 12.3 percent. The Asia-Pacific region accounts for the largest number of active aftermarket telematics systems followed by RoW including regions such as Africa, the Middle East and Latin America.

There are numerous of two-wheeler OEMs that offer connected services today. Examples include BMW Motorrad in Europe; LiveWire and Zero Motorcycles in the US; Hero MotoCorp, TVS Motor, Bajaj Auto (Chetak) and Royal Enfield in India; as well as Yadea, NIU Technologies, Segway-Ninebot and Sunra in China. BMW Motorrad has been the pioneer in terms of telematics adoption. The company has offered emergency call telematics services in Europe since 2017 and in North America since 2023. OEMs in India and China are leading the rollout of telematics solutions and feature availability. “In addition to safety services, OEMs in India and China focus on connected services that can improve the overall riding experience. The introduction of connected services has become a way for OEMs to differentiate their offerings”, continued Mr Cederqvist.

Suppliers to OEM telematics programs include tier 1 automotive firms and specialised TSPs. Companies like Actia, Bosch, Cerence AI, Continental, Harman International, Panasonic and Sibros leverage their automotive capabilities to also serve the two-wheeler segment. TSPs such as Ajjas, iTriangle Infotech and Trak N Tell provide hardware and software services to two-wheeler OEMs in the Indian market. “Tier 1 suppliers traditionally focused on the automotive industry are gradually entering the two-wheeler OEM telematics sector. Their approach has been relatively cautious so far and many of them focus on infotainment clusters without embedded connectivity, such as smartphone integration solutions”, said Mr Cederqvist.

The two-wheeler aftermarket telematics segment is served by a wide range of companies. Telematics service providers in this market come from diverse backgrounds and are either specialising in two-wheelers or expanding from adjacent sectors. Examples of two-wheeler telematics service providers include Mapit IoT, Trackting, GeoRide, Monimoto, Sizzapp and Scorpion Automotive from Europe; SVR Tracking and Find it Now from North America; Carsystem and Strix from South America; Ajjas, Fleettrack, iTriangle Infotech, Onelap Telematics and Trak N Tell from India; WanWayTech from China as well as Tracker Connect from South Africa. There are also a range of companies focusing on developing hardware telematics devices. Examples of such companies include ERM Advanced Telematics, Jimi IoT, Positioning Universal, Queclink Wireless Solutions, Teltonika and Tramigo.