Global Positioning Systems Market Size, Share & Trends Analysis Report By Deployment, By Application (Aviation, Marine, Surveying, Location-Based Services, Road), And Segment Forecasts, 2018 - 2025

Report Overview

The global positioning systems (GPS) market size was estimated at USD 37.9 billion in 2017. It is anticipated to progress at a CAGR of 18.4% during the forecast period. Increasing penetration of smartphones along with rising GPS-enabled vehicles is projected to bolster the growth of the market during the forecast period. Moreover, surging use of social media across developing countries and a high number of mergers and acquisitions between component manufacturers and integrators are poised to stoke the growth of the global positioning systems market.

Nowadays, the global positioning system has become a common tool used for navigation. The past couple of years have witnessed a rise in the use of GPS-enabled smartphones. The growing adoption of e-hailing services across the globe is further likely to escalate the demand for GPS-enabled smartphones. The system used in road applications provides various benefits to customers, including ease of traveling and accurate monitoring of operations and assets. Increasing smart mobility applications, such as navigation, fleet management, satellite road traffic monitoring, and several others, are expected to propel the market over the forecast period.

Prominent GPS component manufacturers such as Qualcomm Inc.; Hexagon AB; Broadcom Inc.; Trimble Navigation Limited; MiTAC Digital Technology Corporation (Navman); TomTom N.V; Rockwell Collins Inc.; Texas Instruments Inc.; Garmin Ltd.; and Mio Technology Corporation are estimated to make significant investments in R&D activities. The strategy is anticipated to help them in developing new innovative products, solutions, and augmented services, which will consolidate their position in the global arena.

Besides, mergers and acquisitions between component manufacturers and system integrators are projected to help GPS market players capture a high revenue share and increase overall profitability over the coming years. For instance, in June 2018, Hexagon AB acquired AutonomouStuff, LLC, a U.S.-based autonomous vehicle solutions provider, to deliver advanced autonomous vehicle solutions with the help of its GPS products.

However, lack of network infrastructure in underdeveloped areas and accuracy of location are poised to restrict the market from realizing its utmost potential. Clock inaccuracy and orbit shift of satellites are likely to provide technical challenges to GPS usage. Licensing, strict rules, and regulations are also expected to act as a significant barrier for rendering services efficient.

Deployment Insights

GPS technology is increasingly being deployed in consumer devices such as smartphones and tablets. It is also being used in other devices, such as automotive telematics systems, portable navigation systems, and standalone trackers. The consumer devices segment accounted for 43.8% of the overall revenue in 2017, owing to the proliferation of smartphones, tablets, and PCs across the world.

Moreover, GPS technology is used to transmit fleet positioning information through onboard units (OBUs) to assist transport operators in monitoring logistics performance activities. An increasing number of connected vehicles along with growing safety concerns whilst driving is subsequently estimated to lead to significant growth of the automotive telematics systems segment during the forecast period.

Application Insights

GPS technology can be used in a variety of applications including road, aviation, marine, location-based services, and surveying and mapping. The location-based services segment represented the leading share of 41.7% of the global positioning systems market in 2017. This can be attributed to a shift in consumer trends towards services such as e-commerce and e-hailing services.

Mobile manufacturers and application developers are showing an increased interest in using location-based information as an enabler for several enterprises, customer, and public safety services. For instance, several enterprises also leverage location-based data for analytics and advertising applications that help enterprises understand consumer behavior and reach the target customers, thus aiding them in expanding their business. Location-based information can be useful for secure authentication of users and fraud management services whilst enabling mobile services.

Location technology plays a vital role in road applications, owing to which, the road applications segment is anticipated to command a sizeable share in the overall value in 2017. In addition, with rising demand for inbuilt GPS modules in automobiles along with surging demand for autonomous vehicles, key vehicle manufacturers are focusing on undertaking partnerships and agreements with component manufacturers.

Regional Insights

North America, Europe, Asia Pacific, South America, and MEA (Middle East and Africa) are the key regions reviewed in the report. North America spearheaded the global arena in 2017 owing to high military expenditure by governments (approximately 4.0% of the country’s GDP each year) and high penetration of smartphones in the region. The penetration of smartphones in the region was approximately 64.0% in 2017 and is creating an upswing in the demand for location-based services. Thus, the regional market is projected to register a healthy growth rate during the forecast period.

However, Asia Pacific is poised to witness the highest growth rate during the forecast period, owing to the rising number of smartphone users, the growing adoption of broadband, and high investments in network infrastructure. Moreover, the widening base of social media users and increasing number of GPS-enabled applications to share their real-time locations are likely to stimulate the growth of the regional market during the forecast period.

Key Companies & Market Share Insights

Some of the key companies operating in the global positioning systems market are Qualcomm Inc., Hexagon AB, Broadcom Inc., Trimble Navigation Limited, MiTAC Digital Technology Corporation (Navman), TomTom N.V, Rockwell Collins Inc., Texas Instruments Inc., Garmin Ltd., and Mio Technology Corporation. They are aiming at expanding their regional footprint through mergers, acquisitions, and partnerships.

For instance, in October 2018, Trimble Inc. acquired Veltec, a Brazil-based fleet management provider, to deliver fleet management solutions to transport companies. The acquisition was undertaken to enhance market footprint and overall profitability. Similarly, in May 2018, Hexagon AB launched PIM7500 GNSS receiver, which is integrated with artificial intelligence technology. It is specially designed for autonomous buses that would deliver high accuracy positioning of vehicles.

Global Positioning Systems (GPS) Market Report Scope

Segments Covered in the Report

This report forecasts revenue growth at the global, regional, and country levels and provides an analysis of the latest industry trends from 2015 to 2025 in each of the sub-segments. For the purpose of this study, Grand View Research has segmented the global GPS market report on the basis of deployment, application, and region:

• Deployment Outlook (Revenue, USD Million, 2015 - 2025)

  • Standalone Trackers

  • Portable Navigation Devices

  • Automotive Telematics Systems

  • Consumer Devices

  • Others

• Application Outlook (Revenue, USD Million, 2015 - 2025)

  • Road

  • Aviation

  • Marine

  • Location-Based Services

  • Surveying and Mapping

  • Others

• Regional Outlook (Revenue, USD Million, 2015 - 2025)

  • North America

    • The U.S.

    • Canada

    • Mexico

  • Europe

    • The U.K.

    • Germany

    • France

    • Italy

    • Spain

    • Russia

  • Asia Pacific

    • India

    • China

    • Japan

    • South Korea

  • South America

    • Brazil

    • Argentina

  • Middle East & Africa (MEA)