Apr 20, 2021   SOURCE: BusinessWire

China Telematics Service Providers (TSP) Market Report 2021: Small and medium TSPs will Fade Away and TSP Giants will Come to the Front - ResearchAndMarkets.com

The "China Research Report on Telematics Service Providers (TSP) and Their Products, 2021" report has been added to ResearchAndMarkets.com's offering.

Small and medium TSPs will fade away and TSP giants will come to the front

As "smart car as a service" grows, automakers focus more on introduction of technologies or platforms from big data and cloud computing to security, content platform and artificial intelligence, providing more intelligent, more diversified content and value-added services, while making an expansion in OEM market.

As the gateway for vehicle traffic flow, telematics service providers (TSP) are catering to the industrial change by constantly extending services content and boundaries, across fields from initial remote service to phone mirroring and connectivity, then to connected IVI system, finally to integrated telematics system covering people, vehicle and life.

There are four typical types of TSPs: OEMs, telecom operators, internet/technology companies, and third-party platform providers. These players have built a mode of multi-party cooperation.

For example, OEMs push for their partnerships with BATH, Pateo and more in their efforts to improve their ability to develop telematics and provide services, and work together with telecom operators to explore 5G + telematics application scenarios and application ecosystem. In the long run, the four major participants will integrate with each other across fields for win-win cooperation.

In future, China's TSP industry will head in the following directions:

1. The closer connection of a vehicle with people, other vehicles, smart home appliances, living services and smart city comes with TSPs' greater attempts to extend their services and open up their technology and ecosystem for a gradual coverage of all scenarios of mobile phone, car, home and city.

For example, based on extended BATH ecosystem (Baidu, Huawei, Tencent, Suning, Ping An, UnionPay, China Telecom, etc.) and third-party ecosystem, Pateo has made deployments in mobile phone, car, home and city scenarios, and will add "five new operations", i.e., New Mobility, New Finance, New Retail, New Insurance and New Marketing. Now it has carried out its landing of new car retail strategy together with New Baojun and Sunning Car.

2. As cross-field integration becomes normal, players will achieve complementary advantages, resource sharing, and ecological integration to build a large ecosystem ultimately.

Examples include Baidu, Alibaba and Tencent (BAT) which are establishing closer partnerships with OEMs in more areas. Among them, in late 2020 Alibaba joined hands with SAIC again to set up IM Motors in charge of developing smart electric vehicles, following their establishment of Banma Network Technology (which finished strategic restructuring with AliOS in May 2020, aiming at improving automotive operating system and AI technology and upgrading the cloud-network-edge-terminal open system); based on their in-depth cooperation on intelligent connectivity, cloud technology and Baidu Ecosystem, Baidu and Geely announced they would co-found an intelligent vehicle company in January 2021, with Jidu Auto coming into being on March 2.

3. OEMs-lead TSPs to provide better IVI system-centric services.

Currently, OEMs have found common ground on intelligent connectivity and digital transformation acceleration. To hold core technology and data, Geely, Great Wall Motor and Honda China have founded their telematics company independently or together with others, with IVI system at the core of their multi-directional deployments:

4. TSPs face intensified competition and a new reshuffle amid telematics industry change, with four or five giants expected to be born by 2025

Currently, most conventional TSPs have been acquired and integrated into other business by tycoons. A handful of TSPs can run independently. Even Baidu, Alibaba, Tencent and Huawei (BATH) are able to deploy just one of dozens of intelligent connected vehicle product lines each. As OEMs regain dominance in software development, TSPs will contend more fiercely and face a new reshuffle.

It is predicted that by 2025, four or five bellwethers that have ability to develop full-stack telematics systems and link vehicles with V2X equipment facilities, earphones, watches, bracelets and various IoT (Internet of Things) device will come out. Small and medium TSPs will be edged out by TSP giants.

Key Topics Covered:

1. Overview of TSP

1.1 Position of TSP in Telematics

1.2 Core Modules of TSP

1.3 Core Value of TSP

1.4 Business Model of TSP

2. China TSP Market and Trend

2.1 Telematics steps into the era of vehicle-road-people collaboration, giving birth to a new generation of TSP

2.2 China TSP Market Forms four Camps

2.3 OEM-dominated TSP

2.4 Internet TSP

2.5 Telecom Operator TSP

2.6 Third-party TSP

2.7 Business Layout of Major TSPs

3. OEM-dominated TSPs

3.1 ECARX

3.2 Bean Tech

4. Internet and Telecom Operators-lead TSPs

4.1 iFlytek

4.2 Baidu Internet of Vehicles

4.3 Tencent Auto Intelligence

4.4 Banma Network

4.5 China Mobile Shanghai Industry Research Institute (China Mobile Intelligent Mobility)

4.6 China Unicom Smart Connection Technology Co., Ltd.

4.7 Tianyi IOT Technology

5. Third-party TSPs

5.1 PATEO

5.2 BDStar Intelligent & Connected Vehicle Technology Co., Ltd. (BICV)

5.3 NavInfo

5.4 Yesway

5.5 Tima Networks

5.6 FutureMove Automotive

5.7 ECAR Telematics

5.8 Shenzhen Soling Industrial Co., Ltd.

For more information about this report visit https://www.researchandmarkets.com/r/4xmuc0