Why Telematics Is the New Boardroom Priority

Why Telematics Is the New Boardroom Priority

News Desk | August 7, 2025 | Featured Edition, International, Technology | Follow on Google News

Why Telematics Is the New Boardroom Priority

Authored By: By Ohad Peled, Product Marketing Manager at Sony Semiconductor Israel

Fleet tracking has moved from operational nice-to-have to boardroom priority. According to Allied Market Research, the global commercial telematics market will surge from US $16.9 billion in 2020 to US $64 billion by 2030, a 14.3 % CAGR, underscoring why telematics is moving from pilot project to board-level priority.

Whether you’re managing long-haul trucks, last-mile delivery vans, or a growing pool of electric vehicles, knowing where each asset is, how it’s being driven, and what condition it’s in is no longer optional. It’s fundamental to managing costs, complying with evolving regulations, and meeting customer expectations for speed, transparency, and reliability. But while early-stage pilots often succeed, the real test begins when telematics systems are deployed at scale. In complex, real-world environments where coverage drops, security threats evolve, and logistics get messy, many deployments falter.

Coverage Gaps and Security Risk: The Hidden Costs of Scaling

During any typical driving session, vehicles pass through tunnels, parking structures, rural areas, and other challenging connectivity zones. When that happens, back-end systems are left to guess what happened in between, risking incomplete data, failed audits, or lost customer trust. However, the right connectivity tools can capture those blind spots. For example, devices that blend satellite positioning with Wi-Fi and cellular signals can store data locally for delayed transmission. Fleet managers can now achieve full visibility.

Security and maintainability present a second challenge. Many telematics systems contain more than vehicle tracking data. They hold sensitive driver behavior, customer data, and route histories. Each device becomes a cybersecurity risk if not properly secured and regularly updated. Yet maintaining security patches across thousands of units, running different hardware revisions on dozens of mobile networks, quickly turns into a logistical nightmare.

Also Read – Culture Kicks Rebrands as Culture Media & Entertainment

Installing hardware-based security provides a strong foundation, especially when combined with dedicated security chipsets. These chipsets enable secure boot, encrypted storage, and tamper resistance, allowing fleets to deliver trusted operations and lightweight, incremental updates efficiently and safely. In fact, New York City already monitors more than 27,000 municipal vehicles in real time via its Department of Citywide Administrative Services’ Geotab rollout, demonstrating that large-scale telematics can be operated and updated centrally without pulling trucks off the street.

Scaling Up Without Losing Control

What works for a 50-vehicle pilot often breaks down when applied to a 50,000-unit rollout. Manual provisioning, multiple hardware configurations for different countries, and inventory tracked in spreadsheets cannot sustain real-world operations.

Also Read – GCMD and INTERCARGO partner to advance decarbonisation in the dry bulk shipping sector

What’s needed is a unified approach: cloud-native device management, eSIM profiles that auto-configure on power-up, integrated SIM (iSIM) that provide out-of-the-box connectivity with swappable profiles for last-step provisioning, and hardware that supports global network bands out of the box. These are the building blocks for scaling smoothly, without spiraling complexity or cost.

Power consumption, too, is more important than many realize. Even when hardwired to a vehicle, trackers must consume as little energy as possible to preserve battery life, especially in electric fleets. Modern systems rely on low-power design and intelligent filtering to wake the modem only for meaningful events. That means fewer false alerts, lower power usage, and greater confidence from OEMs and operators alike.

Read: Trump Media Begins Public Beta Testing AI Search Engine

Meanwhile, demand for location precision is rising. In some cases, it’s enough to know a vehicle was in the general area, but more often, accurate, lane-level tracking is essential for billing, safety reviews, and delivery verification. Fortunately, sensor fusion technology is catching up. By blending multiple satellite constellations with Wi-Fi and cellular signals, it’s now possible to achieve pinpoint accuracy without external processors.

Accuracy is also climbing the priority list. It’s not enough to know what neighborhood a vehicle was in. Telematics use cases often require frequent, high-precision location fixes combined with other behavioral data. For billing, safety investigations, and delivery verification, this level of precision is essential.

Advances in sensor fusion now make this possible without external processors, combining multiple satellite signals with Wi-Fi and cellular data to fill in the gaps. By enabling external GNSS for continuous 1-meter accuracy, asset trackers can support a high quality level of service.

Telematics as Infrastructure, Not a Feature

What ties all of this together is the shift in mindset, moving from treating telematics as an add-on to embracing it as a strategic infrastructure layer. That means designing systems to last a decade, meet emerging cybersecurity standards, and accommodate the ongoing transformation of transportation.

Getting there requires more than smart chips or sleek dashboards. It requires foresight, planning for real-world duty cycles, optimizing firmware update strategies, and making sure every device can onboard and operate autonomously.

Only then can fleets benefit from the full promise of telematics: cost savings, compliance, safer roads, and better service. The road ahead is clear. Fleets that invest in scalable, resilient, and secure telematics platforms won’t just keep pace, they’ll lead.