According to a report by InForGrowth, the global GPS tracking devices market was valued at $1,567 million in 2018 and is expected to grow at a CAGR of 12.2% during the forecast period 2026.
Increasing demand for fleet telematics and affordable prices of GPS tracking devices are expected to drive the growth of the GPS tracking devices market.
However, the report says, environmental obstacles and non-standard products are expected to impede the growth of the market in the coming years.
The growth of the GPS tracking devices market is attributed to the increasing demand for fleet telematics in the transportation and logistics sector. Government authorities are making rules and regulations for fleet tracking systems in commercial vehicles for improving the safety of passengers, the report said. In addition, vehicle rental companies are deploying an increased number of GPS tracking devices in their fleets.
Next, technological advancements such as self-driving vehicles and connected car technology mainly rely on GPS-based tracking systems for improving the accuracy and reliability of navigation. According to the report, many developing countries, such as India, are focusing on the advancement of their navigation technology. The adoption of 5G communication technology will also help in the advancement of driverless cars technology, which uses GPS tracking devices for movement and route planning.
Finally, the affordability of GPS tracking devices has encouraged market growth, the report said. This in turn has increased competition between manufacturers to develop updated technology-enabled GPS tracking devices.
InForGrowth is a market-intelligence company based in Dublin, California. Check out the full report here.
