Automotive OEM Telematics in the Middle East

What is Telematics?

Telecommunications (the communication of information over phone lines, cables, and now the cloud) and computer processing or data synthesis are two scientific disciplines that come together in telematics. Telematics is the use of wireless devices and “black box” technologies to send data back to a company in real-time. Telematics is most commonly associated with commercial vehicle fleets, where a detector collects and transmits data on vehicle usage, maintenance requirements and other factors. Put simply telematics refers to the collection, transmission and processing of data from real-world machines (like trucks trailers and other assets) and almost always refers to two commercial fleet solutions. Here is how it works: first data is collected from a vehicle or asset (either using an aftermarket sensor or enabling a factory-build solution). The data collected includes GPS location data and information about the vehicles used like speeding, harsh-breaking or turning and vehicle diagnostics. With new technologies, this data is then directly sent to the cloud, where it can be processed and translated in real-time and include indigestible format on a website or dashboard. Telematics solutions provide fleet managers with real-time information about what is happening with their fleet on the road by collecting, transmitting and synthesizing data. This solution helped capture important information about their operations, driver behavior, safety & vehicle health.

Telematics solutions allowed businesses to increase operational efficiency by radically improving their visibility into their operations with real-time data and uncovering new ways to save money & time. They also improve customer service by storing up-to-the-minute data on daily fleet movement in the cloud, allowing the back office to investigate customer questions without disrupting drivers. Telematics solutions also allow businesses to protect their drivers with their safety programs and coaching based on real fleet and driver performance information and finally, telematics solutions allow businesses to stay compliant with regulations for logging time of service, completion of vehicle scrutiny reports and more.

Telematics in the Middle East

In the coming years, the automotive industry in the Middle East and Africa is expected to expand rapidly. The high disposable income of consumers in the Gulf countries accounts for this strong growth. Furthermore, several new cars with infotainment and data connectivity systems are being introduced to the market, adding to the region’s progress in the automotive telematics market. On the other hand, Oman has launched a telematics system that will serve the country’s oil and gas industry.

The Insurance Authority in the United Arab Emirates is working to implement a vehicle technology system that will monitor drivers’ behaviour and guide them to avoid traffic violations. The idea is to use well-developed applications, such as telematics, to reduce the number of accidents and fatalities. Furthermore, Mobileye, an Intel subsidiary and Al Habtoor Group recently announced a strategic partnership to promote the adoption of autonomous vehicles and mobility services in Dubai. As a result, such initiatives are expected to increase demand for telematics solutions, thereby propelling the automotive telematics market forward.

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