© copyright 2002 frost & sullivan. all rights reserved. the european remote vehicle diagnostics...

© Copyright 2002 Frost & Sullivan. All rights reserved.

The European Remote The European Remote Vehicle Diagnostics Vehicle Diagnostics

Systems MarketSystems MarketInteractive Analyst Interactive Analyst

BriefingBriefing

77thth November 2002 November 2002

Anil ValsanAnil Valsan


Agenda

• Remote Diagnostics Defined• Market Overview• Market Trends• Key Aspects of Remote Diagnostics• Strategic Impact on Key Participants• Service Evolution• Key Demand Drivers and Restraints• Market Size and Forecasts• Report Highlights• Questions


Remote Diagnostics DefinedThe ability to access the vehicle’s performance parameters and trouble codes in case of malfunction using a wireless network, and provide necessary support services.

Data Centre

Mobile Services

Vehicle Manufacturer

Service Centre

Customer Service Centre

Data Link

Wireless Wired PhysicalType of Link:


Market Overview

• Overall market expected to grow by 39.5 percent during forecast period.

• Number of units installed is expected to be 5.4 million by 2009.

• Market expected to be driven by vehicle manufacturers.

• Significant opportunities for a number of value chain participants.

0

500

1,000

1,500

2,000

In m

illio

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uro

s2002 2009

Revenues


Market and Technology Trends

Market Trends• Revision of

Competition Laws by European Commission

• Issues relating to personal privacy

• New model introduction

• Car culture in the European market

Technology Trends• Initiatives for

standardisation of architecture such as AMI-C, OSGi, ERTICO

• Key emerging technologies such as – 3G – Embedded systems – On-board Vs off-

board systems


Benefits of Remote Diagnostics

• Reduction in warranty costs• Quality aftersales service support to

customers• Relationship with subsequent vehicle

owners• Mobile asset management


Strategic Impact on Key Participants

• Vehicle manufacturers• Aftersales service market• Diagnostics equipment suppliers• Telematics service providers• Tier One suppliers• Software companies


Service Evolution

Remote Diagnostics

Remote Diagnostics

Passive

Passive

Proactive Diagnostics

Proactive Diagnostics

PeriodicPeriodic Continuous

Continuous

Reactive Diagnostics

Reactive Diagnostics

Vehicle Initiated Fault Notification

Vehicle Initiated Fault Notification

Prognostics

Prognostics

Preventive Maintenance

Preventive Maintenance


Key Demand Drivers and Restraints

Drivers• Reduction of warranty

costs• Data for new product

development• Benefits to vehicle

owners• New competition laws

in European Union• Fleet management

benefits

Restraints• Absence of a business

model• High cost of introduction• Confidentiality of vehicle

performance data• Lack of perceived needs

and benefits by consumers

• Threat of obsolescence of constituent technologies


Market Size and Forecasts

Passenger Cars• RVD for passenger vehicles to grow by 38.9 percent

between 2002 and 2009 to touch € 1.8 billion• Number of vehicle manufacturers expected to introduce

between 2003 and 2005• To be initially introduced in the upper-medium, executive

and luxury segments• Remote diagnostics to be packaged along with telematics

services.• Main countries expected to see introduction include

Germany, United Kingdom, France, Sweden and Italy


Market Size and Forecasts (Contd…)

Commercial Vehicles• RVD for commercial vehicles to grow by 59.5 percent

between 2002 and 2009 to touch € 93.4 million• To be initially introduced in the higher tonnage

vehicles• Remote diagnostics to be packaged along with fleet

management applications• Main countries expected to see introduction include

Germany, France, the UK, Netherlands, and the Scandinavian countries


Report Highlights

Based on extensive primary and secondary research Detailed roadmap and product life cycle analysis A cost benefit analysis model for evaluating the

business feasibility Forecasts for units, prices and revenues for passenger

and commercial vehicles Includes forecasts for penetration levels for different

vehicle manufacturers Recommendations for key industry participants and

analysis of implications for key industry participants Detailed profiles and initiatives of prominent value

chain participants


Questions?

For further information please contact us

Call: +44 (0) 20 7343 8383

Email: [email protected]

© copyright 2002 frost & sullivan. all rights reserved. the european remote vehicle diagnostics...

Documents

frost sullivan

market overview overall

agenda remote diagnostics

restraints market size

key industry participants

constituent technologies

anil valsan slide

passenger vehicles