The global positioning systems market size was valued at USD 75.97 billion in 2021. It is expected to grow at a CAGR of 16.5% during the forecast period (2022–2030).
The Global Positioning System (GPS) is a satellite navigation system that determines an object's current ground position. Due to the increasing ubiquity of smartphones and the rising number of GPS-enabled automobiles, the GPS industry is anticipated to experience considerable growth. In addition, GPS is used in civil applications such as rail transportation, heavy vehicle guiding, financial services, surveying and mapping, shipping, and road transportation. Using vehicle tracking systems allows for better monitoring of the entire fleet along the route while lowering costs and fuel consumption. The logistics market expansion is expected to drive future demand for GPS systems and segment growth.
The portable navigation devices segment is expected to develop at a compound annual growth rate of around 14% in the next seven years. This expansion is due to the user-friendliness and versatility of portable navigation systems. In contrast to gadgets affixed to other electronic devices, mobile navigation devices offer the convenience of portability and hence serve numerous purposes. It can serve as a navigation system, a vehicle/person tracker, and a topographical map, among other functions. The ability to save destinations, voice calling, a mounting option, and lane guiding make portable navigation systems even more valuable. Shortly, the advantages mentioned above are anticipated to stimulate demand for mobile navigation devices.
Passenger and commercial vehicles increasingly utilize global positioning systems and other connected technology to collect real-time data. The data is either processed by the car's onboard computer or sent to a cloud server for further analysis, allowing the vehicle to be tracked and monitored. GPS manages the Global Navigation Satellite System (GNSS) network, which uses satellites to send signals to GPS devices to record location, time, vehicle speed, and direction. GPS has shown to be a crucial technology for boosting operational efficiency in the automotive industry and is anticipated to gain popularity over the next few years. This technology's implementation in a vehicle facilitates vehicle tracking, route optimization, and accurate speed and distance calculations.
GPS is advantageous for organizations, such as fleet management, in which vehicles play a crucial role in the operation's success. The goal of fleet operators is to manage costs and improve the vehicle's productivity and efficiency. GPS monitoring software also provides a report on the consumption of fuel, which is a notable feature. The cost of gasoline is one of the most significant operating expenses for fleets, making this feature vital to fleet owners. The fleet operator can detect and eliminate the reasons for excessive fuel consumption by analyzing this fuel consumption tracking report. In addition, a GPS-enabled vehicle assists drivers in evaluating their driving habits, such as speeding, forceful braking, quick acceleration, and sharp cornering. It is also helpful for drivers traveling to unfamiliar regions. It provides them with real-time traffic information on a specific route and enables them to make route-related decisions on the go. As a result of the advantages mentioned above, it is anticipated that the GPS market will experience tremendous expansion in the fleet management industry.
The development of GPS-enabled consumer wearable devices, such as fitness trackers, smartwatches, clothes, and shoes, is anticipated to fuel the growth of the GPS market. Consumer wearable gadgets are gaining popularity due to increased disposable income, consumers' preference for convenience, and growing fitness and health awareness. The emergence of fitness tracking bands transforms the fitness sector through wearable technologies. People use fitness trackers more frequently because they help them stay motivated, set daily goals, maximize workouts, and monitor their fitness daily. In the future years, smartwatches are also anticipated to undergo substantial growth in popularity. GPS-enabled tracking gadgets are being utilized in the medical and healthcare industry.
Similarly, wearable health trackers monitor heart rates, body temperature, and body weight. Aira Tech Corporation has introduced spectacles for the sight handicapped that aid daily travel. The tracker connects the visually impaired individual to a remote agent who assists them with real-time visual data. These applications in a variety of industries are driving worldwide sales of wearables. Bosch announced the release of the BHI160BP, the industry's first location tracking sensor which can be integrated into any system without GNSS module updates. Similarly, STAT Sports Group is involved in providing GPS-enabled vests that are used to track player information during sporting events.
Mobile users and linked devices require faster data transfer speeds, improved network connectivity, and increased network availability. Global network providers have been consistent. They are modernizing their network infrastructures to accommodate the evolving needs of their customers. Nonetheless, the resulting networking technologies and equipment developments present obstacles such as security and interoperability. Various gateways and network routers are necessary to link devices via a network, increasing the cost and complexity even further. As a result of their susceptibility to several security threats, these network resources must also be managed and maintained promptly.
In addition, poor adoption of high-bandwidth technology is a significant issue that must address. Developed nations have the infrastructure and cash to invest in new network technologies to meet the changing expectations of customers. On the other hand, underdeveloped countries have a lower acceptance rate of LTE technologies and are still in the early stages of transition. Significant investments in network technology are required to ensure the proper operation of linked devices, improve security, and allow for greater market penetration in developing countries. Nonetheless, in several developing nations, the market may be hampered by a deficiency of critical investments.
As the business world realizes, GPS can use data collected to solve multiple business challenges. As the IoT develops, more and more devices are becoming internet-connected, resulting in the collection of enormous volumes of data. Information about a user's location simplifies data analysis by adding structure to data sets. The International Telecommunication Union reports that 93% of the world's population has access to a mobile broadband network, with an expected 105 mobile-cellular customers per 100 people. Thus, the global prevalence of the internet and the increasing number of smartphone users are projected to generate growth prospects for the GPS market.
Global Navigation Satellite Systems (GNSS) positioning technology has changed the ability to access positional information at the touch of a button. The positioning gives value to consumers, from smartphones to driverless vehicles, through increased productivity, safety, and innovation. Several governments aspire to optimize this value by providing extraordinary precision and dependability from a new generation of infrastructure for positioning systems. Countries worldwide are creating the required ground infrastructure to enable data from global satellite networks to be tracked, verified, and optimized for precise international locations.
The GPS Market is segmented by Deployment, Technique, and Application.
Based on deployment, the global positioning systems market is classified into Standalone Trackers, Portable Navigation Devices, Automotive Telematics Systems, and Consumer Devices.
The consumer device segment is the major contributor to the global positioning market and is expected to grow at a CAGR of 17.30% during the forecast period. The rising demand for GPS-enabled consumer electronic devices such as smartwatches, smartphones, tablets, and laptops is anticipated to drive segment expansion in the following years. Increasing use of GPS technology in autos for guiding drivers to their destination, tracking transport operator location while delivering goods, and boosting driver safety and security. The increasing demand for e-commerce services compels logistics and transportation service providers to implement advanced tracking and monitoring technology, such as GPS and RFID. In addition, these technologies will boost operational efficiency and reduce supply chain risks. Thus, it is anticipated to improve segment growth in the coming years.
Based on application, the global positioning systems market is classified into Road, Surveying and Mapping, Marine, Aviation, and Location-Based Service.
The location-based service is the most dominant and is predicted to grow a CAGR of 17.2% during the forecast period. This segment is anticipated to be driven by the rising usage of location intelligence services, e-hailing, and e-commerce services. Increasing enterprise use of RFID, GPS, and beacon technologies for capturing location-based data is anticipated to fuel the demand for location-based services. In addition, the information is utilized to target clients with targeted adverts, including SMS and e-mails. The GPS-enabled cellphones collect location data from users, such as the locations of stores they frequent for shopping. Businesses can use this data to analyze consumer behavior and trends, which improves marketing campaigns and the customer experience. As a result, the market is expected to grow in the coming years.
The global positioning systems market is primarily classified into three regions, namely North America, Europe, Asia-Pacific, and the Middle East and Africa.
Asia-Pacific dominates the global positioning systems market and is expected to grow at a CAGR of 18.40% during the forecast period. The Asia-Pacific market is anticipated to experience the highest rate of development due to the increasing prevalence of e-commerce, online food delivery, and taxi services. In addition, the expanding usage of in-store analytics and social media platforms, particularly in emerging economies such as India, Australia, Malaysia, and China, are anticipated to generate enormous development potential for the market. During the forecast period, the expansion of the regional market is expected to be driven by the increasing use of smartphone applications, the rising investment in building network infrastructures, and the expanding availability of affordable internet services.
North America will dominate the worldwide positioning systems market, and it is anticipated that this region will enjoy substantial expansion during the forecast period. The regional growth is attributable to the significant concentration of system integrators and component manufacturers, such as Qualcomm Inc., Broadcom Inc., Hexagon AB, and the widespread usage of military & defense and aerospace industries. In addition, the general availability of smartphones, intelligent technologies, and upgraded network infrastructure is anticipated to stimulate the expansion of the regional market in the upcoming years.
List of Key Companies Profiled in Global Positioning Systems Market
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