Installed base of off-highway vehicle telematics systems to reach 7.5 million units worldwide by 2023

Berg Insight estimates that the global installed base of active off-highway vehicle telematics systems reached 3.3 million units in 2018. This includes connected units deployed on various off-highway vehicles across construction, mining, agriculture and forestry sectors. The construction sector accounts for the largest share, driven by OEM telematics systems, offered by heavy equipment manufacturers.

Agriculture and mining account for a similar number of connected units deployed on machines and vehicles used in agricultural and mining operations, respectively. The remainder is represented by the forestry sector, including telematics systems fitted to various forestry equipment. Growing at a CAGR of 17.8 percent, the active installed base of off-highway vehicle telematics systems across all sectors is forecasted to reach 7.5 million units worldwide in 2023.

Rickard Andersson, Principal Analyst, Berg Insight, said, “The top-10 equipment manufacturers offering telematics together account for more than 70 percent of the total number of off-highway vehicle telematics systems in use across the construction, mining, agriculture and forestry sectors globally.”

Berg Insight ranks Caterpillar and Komatsu as the leading off-highway vehicle telematics providers.

Andersson added, “Far from surprising, the leading equipment manufacturers by market share are also by far the top players when it comes to the number of off-highway vehicle telematics subscribers.”

This is a natural development in an industry where telematics has increasingly been included as the standard with the machine purchase, gradually covering more models and equipment categories.  “Caterpillar is well on its way to achieve its target of 1 million connected assets this year,” he continued.

Other major manufacturers with installed bases of more than 100,000 units include Hitachi Construction Machinery, JCB, Deere & Co., and Volvo Construction Equipment.  “Additional players having installed bases of off-highway vehicle telematics units in the tens of thousands include, Doosan Infracore, Liebherr, CNH Industrial, CLAAS Group and Hyundai Construction Equipment,” he concluded.