ABI: Fleet Management Systems Use Variety of Cellular, Satellite Technologies

September 15, 2006 // Published as a news service by IHS

According to ABI Research, the many forms of fleet management - long-haul and short-haul trailer tracking, intermodal trailer tracking, taxis, rental vehicles, public transportation, school buses, etc. - require technologies that are just as varied.

In a recent study, analysts said the technologies required to manage these fleets range from a few cell phones to large, sophisticated, integrated commercial telematics systems, with some employing GPS, cellular or satellite-based technologies.

"Telematics vendors examining prospective markets must understand the particular user requirements and market barriers for these segments," said ABI Research analyst Steven Bae.

"The applications may vary greatly among these markets and solutions providers must understand their own core competencies in order to realize where synergies with specific market segments may be realized. In a complicated operational environment, these choices can be difficult and guidance can be hard to find."

The new analysis not only reviews the current and future mix of commercial telematics technologies, but also identifies relevant applications for them, and how vertical markets are building use cases for them within application and business process environments.

For example, analysts said systems employing cellular services are best-suited for domestic fleets, or those that need frequent communications, such as short-haul trucking, for-hire, taxi, rental and emergency service fleets. In contrast, satellite communications can provide (at greater hardware and subscription cost) global coverage and no roaming charges, meeting the needs of long-haul and international fleets. But they fall short in the bandwidth needed for firmware upgrades.

"It is complexities such as these that successful market players must navigate in today's competitive environment," said Bae.

Source: ABI Research.