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Connected Truck Market

Connected Truck Market

The market for Connected Truck was estimated at $32.9 billion in 2024; it is anticipated to increase to $134 billion by 2030, with projections indicating growth to around $430 billion by 2035.

Report ID:DS2002007
Author:Swarup Sahu - Senior Consultant
Published Date:January 2025
Datatree
Automotive & Transportation
Transportation & Logistics
Connected Truck
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Report Summary
Table of Contents
Methodology
Market Data

Global Connected Truck Market Outlook

Revenue, 2024

$32.9B

Forecast, 2034

$340B

CAGR, 2024 - 2034

26.3%
The Connected Truck industry revenue is expected to be around $41.6 billion in 2025 and expected to showcase growth with 26.3% CAGR between 2025 and 2034. The increasing need for more connected as well, as energy efficient road transportation options worldwide highlights the vast impact and widespread reach of this market segment.

The use of technologies such as IoT, AI and ML in Connected Trucks is transforming the transportation sector by offering improved operational efficiency and safety while promoting sustainability initiatives. A growing trend indicates a need, for data driven logistics and transportation solutions that incorporate predictive maintenance features and real time tracking capabilities.

Connected Truck market outlook with forecast trends, drivers, opportunities, supply chain, and competition 2024-2034

Market Key Insights

  • The Connected Truck market is projected to grow from $32.9 billion in 2024 to $340 billion in 2034. This represents a CAGR of 26.3%, reflecting rising demand across Fleet Management Solutions, Predictive Analytics in Maintenance and Enhanced Safety Measures.
  • The market leaders in this sector include Volvo Group and Daimler AG and Scania AB which determine the competitive dynamics of the industry.
  • U.S. and Germany are the top markets within the Connected Truck market and are expected to observe the growth CAGR of 25.2% to 36.8% between 2024 and 2030.
  • Emerging markets including India, Brazil and South Africa are expected to observe highest growth with CAGR ranging between 19.7% to 27.4%.
  • The Connected Truck market will experience a $45.5 billion growth boost from Digital Transformation in the Truck Industry by 2030.
  • The Connected Truck market is set to add $307 billion between 2024 and 2034, with manufacturer targeting Driver Behavior Analysis & Fleet Management Application Range projected to gain a larger market share.
  • With Increase in freight transport, and Advancements in communication technologies, Connected Truck market to expand 933% between 2024 and 2034.
connected truck market size with pie charts of major and emerging country share, CAGR, trends for 2025 and 2032

Opportunities in the Connected Truck

In the realm of connected trucks market lies a known domain—advanced fleet data analytics; systems, with smarts to scrutinize truck performance data alongside driver conduct and route efficiency have the potential to revolutionize logistics management significantly.

Growth Opportunities in North America and Europe

North America Outlook

In North America's market for Connected Trucks industry is experiencing expansion as a result of the early embrace of cutting edge technologies and the enforcement of stringent emission standards. Market conditions in this region are characterized by rivalry among major players such, as Daimler, Volvo and Tesla who are consistently introducing innovative connectivity solutions in their products.

Europe Outlook

In Europe's Connected Truck market is thriving due to the rise of online shopping and strict emission rules pushing for fleet upgrades. Despite facing competition from firms, like Siemens and Volkswagen delivering innovative tech solutions for better connectivity and eco friendliness. Nevertheless the expenses linked to integrating technology could impede market expansion.

Market Dynamics and Supply Chain

01

Driver: Increase in Freight Transport, and Stringent Vehicle Emission Norms

The growth of trade and online shopping sites has also created a higher need for transportation services for goods and products across countries and regions. Connected trucks play a role within this transportation system by contributing to its smooth operation and are also currently seeing a notable increase, in market demand. Countries globally are also implementing rules regarding vehicle emissions to tackle environmental pollution issues. This push is also leading to the increased use of telematics and sophisticated driver assistance systems, in trucks—an effort aimed at cutting down fuel usage and consequently lowering emission levels.
Advancements in communication technologies are also swiftly. Playing a significant role in the growth of the connected truck market. Especially, in IoT and telemetry sectors. These innovations enable real time tracking, monitoring and management of trucks leading to improved efficiency and cost optimization.
02

Restraint: High Cost of Implementation

The upfront expenses linked to implementing truck technology can be quite substantial at the start up phase and might present a notable challenge for smaller companies and those with limited financial resources available to them in their operations budget constraints. The process includes a series of steps like setting up the required hardware components and integrating the software solutions alongside conducting training sessions, for drivers and logistics staff members. All of which collectively contribute to the considerable initial investment involved in getting started with this technology.
03

Opportunity: Growing Emphasis on Green Technology and Advancing Autonomous Technology

Amid growing worries in the industry sector today manufacturers are putting a lot of resources into eco friendly technologies.There'sa chance to see growth in the market by introducing hybrid and all electric smart trucks that reduce emissions and offer the advantages of connected vehicles. These friendly trucks paired with sustainable energy solutions could lead to cost savings and mark a significant change, for the sector setting their products apart in a fiercely competitive market landscape.
The advancements in self driving vehicle technology offer market opportunities in the Connected Truck sector. The introduction of self driving trucks featuring sensors and AI software will transform the way goods are transported boost efficiency and safety in freight logistics. Self driving trucks have the potential to lower expenses, enhance delivery times and mitigate driver shortages prevalent, in the sector.
04

Challenge: Cybersecurity Concerns

The growing interconnection and digital transformation of vehicles have raised alarms about cybersecurity vulnerabilities and potential data breaches within the industry. Trucks that heavily depend upon internet connectivity for communication and functionality are at risk of cyberattacks and unauthorized data breaches. Such security threats pose a deterrent for businesses considering the adoption of connected truck technology thereby hindering the overall market expansion, in this sector.

Supply Chain Landscape

1
Component Manufacturing

Bosch

Continental AG

2
Hardware & Software Development

IBM

Microsoft

3
Assembly & Integration

Daimler AG

Volvo Group

4
End User Applications

Logistics and Transportation industry

E-commerce industry

*The illustration highlights the key stakeholders within the supply chain ecosystem.

Applications of Connected Truck in Fleet Management Solutions, Predictive Analytics in Maintenance & Enhanced Safety Measures

Fleet Management Solutions

By utilizing Connected Truck technology companies can enhance their fleet management processes. This involves tracking vehicles, in time finding the most efficient routes and cutting down fuel usage. Notable benefits include boosted productivity and lower operational expenses. Volvo stands out as an user of this technology.

Predictive Analytics in Maintenance

Connected Truck technology gathers information to support predictive analysis for maintenance purposes by anticipating equipment breakdowns and allowing for proactive steps to prolong the vehicles lifespan effectively while achieving significant cost reductions, in maintenance and minimizing operational downtimes. A field where Daimler stands out prominently.

Enhanced Safety Measures

Connected Truck applications play a role in enhancing safety standards by incorporating advanced driver assistance systems such as lane departure alerts and automatic emergency braking systems – effectively mitigating the occurrence of road accidents in a significant manner. These innovative solutions not ensure safer working environments for drivers but also guarantee the secure and punctual transportation of goods to their destinations without any compromise in safety standards. Navistar stands out as an industry leader that spearheads the provision of these pivotal safety enhancements, in the market space.

Recent Developments

December 2024

A new fleet management system was introduced by Daimler AG using intelligence to boost operational efficiency in the realm of connected trucks.

October 2024

Volvo Trucks has unveiled a range of self driving and interconnected trucks designed to enhance supply chain operations and support eco friendly practices, with energy saving capabilities.

August 2024

Ford Motors has revealed a collaboration, with Cisco to develop cutting edge telematics solutions that will enhance Fords standing in the interconnected truck sector.

The world of transportation has seen the rise of Connected Truck technology as a development in the transport and logistics sector—a positive evolution driven by regulatory changes and greater investments, in telematics to improve operational effectiveness.

Impact of Industry Transitions on the Connected Truck Market

As a core segment of the Transportation & Logistics industry, the Connected Truck market develops in line with broader industry shifts. Over recent years, transitions such as Digital Transformation in Truck Industry and Move to Smart Logistics have redefined priorities across the Transportation & Logistics sector, influencing how the Connected Truck market evolves in terms of demand, applications and competitive dynamics. These transitions highlight the structural changes shaping long-term growth opportunities.
01

Digital Transformation in Truck Industry

The market for Connected Trucks is going through a change due to the impact of digital transformation technology on the industry landscape. Through digitalization advancements have made it possible for communication and data sharing between truck systems. This has paved the way for the introduction of functionalities like predictive maintenance and improved navigation in trucks as well, as automated fleet management systems that contribute to safer and more effective transportation solutions. This shift is transforming the market dynamics. Pushing manufacturers to incorporate new technologies into their products to remain competitive. This industry transition is expected to add $45.5 billion in the industry revenue between 2024 and 2030.
02

Move to Smart Logistics

The shift to logistics marks a significant development in the Connected Truck industry. Leveraging devices and AI technologies alongside big data enables real time tracking and route optimization, for efficient fleet management and improved supply chain visibility while reducing logistical inefficiencies.

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