Vehicle Tracking Device Market Size - By Component (Hardware, Software), Tracker Type (Wired, Wireless), Vehicle (Passenger Vehicles, Commercial Vehicles [High-Duty, Medium-Duty, Light-Duty]), Communication, Application & Global Forecast, 2023 - 2032

Vehicle Tracking Device Market Size

Vehicle Tracking Device Market size was valued at USD 28.6 billion in 2022 and is anticipated to register a CAGR of over 15% between 2023 and 2032. The rising incidences of vehicle theft have significantly increased the demand for vehicle tracking devices. These devices provide real-time location information, enabling swift recovery of stolen vehicles. According to the National Insurance Crime Bureau (NICB), more than one million vehicles were found stolen in 2022, marking a 7% rise from 2021 and exceeding one million marks for the first time since 2008.

California and Texas reported the highest number of stolen vehicles with Illinois experiencing the most significant increase, which is estimated at 35% between 2021 and 2022. Businesses & individuals are investing in tracking systems to enhance security measures and protect their assets. As a result, the vehicle tracking device market has experienced substantial growth, driven by the need for advanced anti-theft solutions and the desire to effectively safeguard valuable vehicles & assets.

Zero trust security solutions are benefiting industries by component robust protection against cyber threats and unauthorized access attempts. By implementing strict access controls, continuous monitoring & identity verification, these solutions prevent security breaches and data leaks. Industries gain enhanced data protection, reduced attack surface, and improved overall security posture. As organizations witness the effectiveness of these devices, their demand continues to rise, propelling the market growth.

Privacy concerns pose a significant challenge to the vehicle tracking device market. With the increasing use of tracking tracker, there are growing worries about the potential misuse of personal data. Users, especially individuals, are concerned about their location information being tracked and stored. Striking a balance between the benefits of tracking devices, such as enhanced safety & security, and respecting user privacy is crucial. Regulators are continuously working on policies to ensure data protection; however, finding a universally acceptable solution remains a challenge.

COVID-19 Impact

The COVID-19 pandemic positively impacted the vehicle tracking device market. With the widespread shift to remote work, businesses rapidly embraced zero-trust principles to secure decentralized networks. Increased cyber threats during the pandemic further emphasized the importance of vehicle tracking devices, driving higher demands for related solutions. As organizations prioritize data security and remote access management, the market for vehicle tracking device technologies & services continues to grow, ensuring enhanced cybersecurity in the post-pandemic digital landscape.
 

Vehicle Tracking Device Market Trends

The integration of AI-based accident detection in tracking devices is a significant factor driving the vehicle tracking device industry growth. These advanced systems can analyze vehicle movements in real-time, accurately detecting accidents and triggering immediate alerts. For instance, in October 2023, Qubo, a subsidiary brand of Hero Electronix, introduced GPS trackers for cars and bikes along with two new dashcam models. These GPS trackers provide real-time location tracking, alerts for unusual activities, and AI-based accident detection.

The dashcams feature full HD recording, a rotatable design, and excellent performance in low-light conditions. This tracker enhances overall road safety, reduces emergency response times, and minimizes accident-related damages. As a result, the demand for tracking devices with AI-based accident detection is surging with businesses and individuals increasingly valuing this feature for enhanced safety & security on the roads.

Fleet management is a key factor driving the vehicle tracking device market demand. Businesses with extensive vehicle fleets are increasingly adopting tracking devices to optimize their operations. These devices provide real-time location data, enabling businesses to monitor vehicle movements, improve route planning, reduce fuel consumption, enhance driver behavior, and ensure timely deliveries. Advanced features, such as geofencing & predictive maintenance, further streamline operations, leading to cost savings and improved overall efficiency. Consequently, fleet management solutions employing tracking devices are in high demand across various industries.

Vehicle Tracking Device Market Analysis

Based on tracker type, the market is divided into wired and wireless. The wired tracker segment will gain remarkable momentum during the forecast timeline, due to their reliability and accuracy. Directly connected to the vehicle's power source, they offer stable & uninterrupted operation, ensuring precise real-time data. Their enhanced features including diagnostics, remote vehicle control, and seamless integration with other systems make them appealing to businesses requiring advanced functionalities. Additionally, wired trackers provide enhanced security against tampering & theft, are cost-effective with lower maintenance, and offer stable data transmission even in areas with weak network coverage, making them a preferred choice in various industries.

Based on vehicle, the commercial segment held around 58% of the vehicle tracking device market share in 2022. The growing need for efficient fleet management is driving the demand for commercial vehicles equipped with tracking devices. Businesses are increasingly adopting these systems to optimize operations, reduce fuel costs, enhance route planning, and ensure timely deliveries.

For instance, in October 2023, Mullen Automotive introduced an internal telematics solution, Commercial Pulse. This system offers users maintenance notifications, real-time vehicle tracking, driver safety monitoring, battery charge status, metrics, and additional features. The user dashboard includes tools for asset and trip management, evaluating electric vehicle & driver performance, setting geofences, and generating reports. This trend is propelling the commercial vehicles segment growth as companies seek advanced solutions to streamline their fleet management processes and improve overall efficiency.

North America vehicle tracking device market size dominated around USD 9.7 billion in 2022. The convergence of tracking devices with IoT allows seamless communication and data exchange between vehicles & other connected devices. Real-time data analysis, predictive maintenance, and intelligent decision-making are facilitated, enhancing the overall efficiency of fleet operations. This integration not only optimizes route planning but also enables proactive maintenance, reducing downtime and operational costs. IoT-enabled tracking devices offer businesses in North America advanced functionalities, making them increasingly essential in the evolving landscape of transportation and logistics.

Vehicle Tracking Device Market Share

Major companies operating in the vehicle tracking device industry are:

• AT&T Intellectual Property
• Continental AG
• Geotab Inc
• Robert Bosch GmbH
• Sierra Wireless
• TELTONIKA
• TomTom International BV
• Verizon

Dominating companies in the vehicle tracking device industry have garnered around 12% of the market share. Moreover, these companies competed in component wide range of products and software. They excel in AI-based solutions and advanced fleet management technologies, component innovative, real-time tracking & intelligent analytics for optimized operations. Moreover, companies invested heavily in research and development to introduce innovative solutions.

Vehicle Tracking Device Industry News

• In December 2022, ATrack Tracker Inc. introduced two products: AK300 LTE, a vehicle tracker, and AS500, a long standby asset tracker, for vehicle safety. The AK300 vehicle tracker equipped with diverse interfaces accommodates multiple vehicle applications, making it ideal for various commercial vehicles. It aids logistics operators, enhancing fleet management efficiency by providing versatile support tailored to different needs.
   
• In January 2021, Spireon introduced FL360, a modular vehicle tracking hardware device, and an optional FL Dashcam powered by Surfsight, a Lytx solution. This innovative dual-camera system enhances the advanced features of FL360 and FleetLocate components. It provides video evidence and employs vision-based artificial intelligence, elevating fleet operations and risk management to new heights by optimizing operations & ensuring comprehensive monitoring.
   

The vehicle tracking device market research report includes in-depth coverage of the industry, with estimates & forecast in terms of revenue (USD Million) from 2018 to 2032, for the following segments:

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Market, By Component

• Hardware
• Software

Market, By Tracker Type

• Wired
• Wireless

Market, By Vehicle

• Passenger Vehicles
• Sedan
• SUV
• Hatchback
• Others 
• Commercial Vehicles
• High-Duty
• Medium-Duty
• Light-Duty

Market, By Communication Tracker

• Cellular Networks
• Satellite
• Dual Mode

Market, By Application

• Transportation & Logistics
• Construction
• Oil & Gas
• Mining
• Emergency Services
• Others

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

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