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IoT Blog

Challenges with IoT Solutions for Telematics

by Martin Krona, Director of Sales, EMEA
After spending more than ten years working in telematics helping customers implement strategies for operational efficiencies, carbon footprint reduction, and improved customer satisfaction, I started to see the market from another angle when I joined Sierra Wireless. After seeing the challenges that both solution providers and end customers face in developing and implementing telematics, there are some key elements that neither can afford to overlook.

Someone once said to me that telematics has few barriers to entry, hence the fears of competition in the market. In some ways this is true. You can certainly source a telematics device relatively inexpensively today. Buy a local SIM at the supermarket, build a cloud-based platform quickly with readily available development tools and a user interface with limited reporting.

I have seen at least fifty new start-ups in Europe over the last twelve months all “experts” in the field of telematics trying to ride the wave of penetration within UBI, fleet management and the connected car industry. Their websites all look extremely professional, and they all service thousands of customers worldwide.

But it’s important to look beyond that when selecting a solution, and make sure you ask a few key questions: How stable is their technology? How much revenue do they spend on developing future technologies and services and protecting personal data year round? What security do they deliver on the device and cloud sides? And most importantly, what business value will this solution bring to me, and can it be scaled regionally and globally?

These questions may sound obvious to ask before deciding which technology and or supplier to choose. But I have personally witnessed global businesses making decisions to implement telematics across their organization without considering these vital topics, only to discover later on that the technology was in fact not always delivering what had been promised.

For solution providers, these are questions that should be addressed with customers in the qualification stage in the sales process. End-to-end security from device to cloud is a key element that needs to be addressed and taken seriously. The value of telematics data does not lie in the technology but in getting the right information to the right person at the right time in order to make the right decision. However, the device, platform and cellular connectivity are a key part of the solution that need to be strong in order to provide that information in a secure and reliable way. It also needs to be simple and scalable.

At Sierra Wireless, we’re honored to work with leading telematics solution providers who understand the value of delivering high quality of service and the highest security standards. By using the IoT Acceleration Platform, Smart SIM pre-integrated solution from Sierra Wireless with their own device, the focus can shift from technology and security to delivering business value for their end customers, which is what really matters.