Connected Trucks Market Size - By Component (Hardware, Software, Service), Connectivity (Vehicle-to-Infrastructure, Vehicle-to-Cloud, Vehicle-to-Vehicle), Range (Dedicated Short Range Communication, Long Range), Vehicle, Application & Forecast, 2024 – 2032

Connected Trucks Market Size

Connected Trucks Market size was valued at USD 24.3 billion in 2023 and is estimated to register a CAGR of over 14.5% between 2024 and 2032. The market growth is attributed to the rising demand for operational efficiency and cost savings. The need for improved operational efficiency and cost savings is a significant driver for the adoption of connected trucks. Fleet operators leverage connected technologies to optimize route planning, reduce idle time, monitor vehicle health, and enhance fuel efficiency.
 

For instance, in June 2023, Volvo Eicher Commercial Vehicles (VECV), a collaborative venture between the Volvo Group and Eicher Motors, reported that its Uptime Centre has significantly enhanced the operational reliability of its connected trucks and buses, leading to an impressive 98% improvement in uptime. This enhancement translates to substantial savings ranging from 7% to 10% for fleet operators. These measures contribute to overall cost reductions and improved profitability for trucking companies, which, in consequence, will foster the adoption of connected trucks market.

The increasing demand for remote diagnostics and predictive maintenance in the trucking industry is driving the widespread adoption of connected trucks. These technologies enable real-time monitoring of vehicle health, allowing for proactive maintenance and minimizing downtime. To that end, in March 2023, Volvo Trucks North America unveiled the Blue service contract, integrating connected services and asset data to implement an adaptive, dealer-managed preventive maintenance plan. Introduced at the Technology & Maintenance Council's 2023 Annual Meeting, the Volvo Blue service contract ensures that Volvo-certified technicians perform all tasks using authorized parts. It encompasses real-time monitoring, software management, and recall updates.
 

The primary goal is to streamline preventive maintenance scheduling for fleets and dealers alike. With the Blue service contract, dealers can proactively schedule maintenance 30 days in advance, leveraging connected fleet data for a more predictive approach. Fleet managers benefit from improved operational efficiency, reduced maintenance costs, and enhanced vehicle reliability. As the industry prioritizes cost-effective and streamlined operations, the integration of connected trucks market becomes pivotal in meeting the rising demand for efficient and predictive maintenance practices.

However, connected trucks rely heavily on data exchange and communication technologies, making them susceptible to cybersecurity threats. Concerns about data security and privacy breaches are significant barriers to adoption. Fleet operators and manufacturers must address these issues by implementing robust cybersecurity measures to protect sensitive information, including vehicle and cargo data, from unauthorized access and potential exploitation. Regulatory compliance and data protection concerns add complexity to the adoption of connected truck technologies.
 

Connected Trucks Market Trends

The integration of advanced analytics and artificial intelligence (AI) is poised to revolutionize the connected trucks industry. This upcoming trend promises to elevate fleet management by enabling sophisticated data analysis, predictive analytics, and intelligent decision-making.  In January 2024, RXO, a provider of asset-light transportation solutions, introduced an innovative artificial intelligence-enhanced check-in system for trucks arriving at warehouses and distribution centers. Utilizing visual AI technology, the system simplifies the check-in and security process by employing video to identify trucks and extract relevant image and video data.
 

Initially implemented at RXO's cross-border facility in Laredo, the visual AI technology has demonstrated positive outcomes, notably reducing gate wait times, expediting carrier processes, and aiding shippers in cost and time savings. AI algorithms help optimize routes, predict maintenance needs, and enhance overall operational efficiency, marking a significant leap forward in the capabilities of connected trucks to streamline operations and deliver data-driven insights for fleet managers.
 

Connected Trucks Market Analysis

Based on range, the dedicated short range communication segment held over 60% of the market share in 2023. DSRC facilitates direct vehicle-to-vehicle and vehicle-to-infrastructure communication, enhancing road safety through real-time data exchange. This technology is crucial for enabling cooperative intelligent transport systems, supporting features like collision avoidance and traffic management.
 

Additionally, DSRC-connected trucks contribute to efficient fleet management, optimizing routes and reducing fuel consumption. As the transportation industry embraces smart and connected solutions, the demand for DSRC-enabled trucks continues to rise, driven by the pursuit of enhanced safety, operational efficiency, and overall advancements in intelligent transportation systems.
 

Based on the vehicle, the HCV segment accounted for 57% of the connected trucks market share in 2023, propelled by the growing emphasis on fleet management efficiency and the integration of advanced technologies. Connected HCVs offer real-time monitoring, predictive maintenance, and data-driven insights, enhancing overall operational performance. Improved safety features, fuel efficiency, and compliance with regulatory standards further propel HCV sales. The demand is also fueled by the rising need for supply chain visibility, streamlined logistics, and the continuous evolution of telematics and connectivity solutions in the transportation industry.
 

North America connected trucks market with a major share of over 45% in 2023. The region boasts a robust logistics and transportation sector, prompting increased adoption of advanced technologies for improved fleet management and operational efficiency. Stricter regulatory standards, emphasizing safety and emissions control, drive the integration of connected solutions.
 

Moreover, the vast geographic expanse necessitates sophisticated tracking and monitoring systems, making connected trucks essential for logistics optimization. Strong investments in infrastructure, the presence of key industry players, and a tech-savvy market contribute to the flourishing ecosystem, positioning North America at the forefront of the connected trucks industry's growth.
 

Connected Trucks Market Share

Daimler Truck SE and Volvo Trucks Corporation hold a significant market share of over 15% in the connected trucks industry. These prominent players in the market employ various key strategies to strengthen their position in the competitive landscape. Many focus on strategic partnerships and collaborations with technology providers, fleet operators, and other stakeholders.
 

Such alliances allow companies to leverage complementary expertise, share resources, and enhance the overall capabilities of their connected truck market. For instance, partnerships between technology firms and original equipment manufacturers (OEMs) enable the integration of advanced telematics and connectivity features directly into new truck models.
 

Besides, continuous innovation and product development play a pivotal role. Companies invest heavily in research and development to stay at the forefront of technological advancements. This includes the integration of artificial intelligence, machine learning, and advanced analytics into their connected truck solutions, offering more sophisticated features such as predictive maintenance, real-time data analytics, and enhanced safety measures. By consistently evolving their offerings, companies can address the evolving needs of the transportation industry and maintain a competitive edge in the dynamic market.
 

Connected Trucks Market Companies

Major companies operating in the connected trucks industry are:

• Bosch Connected Industry
• CalAmp
• Continental AG
• Daimler AG
• Fleet Complete
• Geotab
• MiX Telematics
• Navistar International Corporation
• Omnitracs
• PACCAR Inc.
• Samsara Networks Inc.
• Scania AB
• Telefonaktiebolaget LM Ericsson
• Teletrac Navman
• TomTom Telematics
• Trimble Inc.
• Verizon Connect
• Volvo Group
• WABCO Holdings Inc.
• ZF Friedrichshafen AG
   

Connected Trucks Industry News

• In January 2023, PACCAR and Platform Science unveiled a collaborative initiative to incorporate Platform Science's Virtual Vehicle into Kenworth and Peterbilt trucks. Serving as an open OEM platform, Virtual Vehicle empowers fleets to seamlessly access telematics, software solutions, real-time vehicle data, and third-party applications directly from their trucks. This integration provides Kenworth and Peterbilt customers with a tailored platform, offering extensive flexibility for fleet innovation and the utilization, management, and deployment of digital applications. Virtual Vehicle essentially serves as an expansive canvas, providing fleets with limitless possibilities to enhance their capabilities through digital advancements.
   
• In March 2022, Volvo Trucks North America unveiled two new technology tools to assist customers in the effective integration of Volvo VNR Electric Class 8 models into their fleets. These innovative route planning and connected technology tools aim to optimize the performance and benefits of the Volvo VNR Electric, a zero-tailpipe emission model.
   
• In January 2022, Volvo Trucks introduced enhancements to the VNR Electric, including a six-battery package with increased energy storage up to 565 kWh and an extended operational range of up to 275 miles. The next-generation Volvo VNR Electric, slated for production in Q2 2022, offers various configurations, such as a 6x4 straight truck, 6x4 tractor, 6x2 tractor, 4x2 tractor, and a single-axle straight truck.
   

The connected trucks market research report includes in-depth coverage of the industry with estimates & forecast in terms of revenue (USD Billion) and shipment (Units) from 2018 to 2032, for the following segments:

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Market, By Component

• Hardware
• Software
• Service

Market, By Connectivity

• Vehicle-to-Infrastructure (V2I) communication
• Vehicle-to-Cloud (V2C) communication
• Vehicle-to-Vehicle (V2V) communication

Market, By Range

• Dedicated Short Range Communication (DSRC)
• Long range

Market, By Vehicle

• Light Commercial Vehicle (LCV)
• Heavy Commercial Vehicle (HCV)

Market, By Application

• Fleet management
• Safety & compliance
• Remote diagnostics & maintenance
• Infotainment & connectivity

The above information has been provided for the following regions and countries:

• North America
  • U.S.
  • Canada
• Europe
  • UK
  • Germany
  • France
  • Italy
  • Spain
  • Nordics
  • Rest of Europe
• Asia Pacific
  • China
  • India
  • Japan
  • Australia
  • South Korea
  • Southeast Asia
  • Rest of Asia Pacific 
• Latin America
  • Brazil
  • Mexico
  • Argentina
  • Rest of Latin America
• MEA
  • UAE
  • Saudi Arabia
  • South Africa
  • Rest of MEA