Construction equipment telematics market set for strong growth

Global, October 1, 2025

News Summary

Analysts forecast a substantial expansion in the construction equipment telematics market, projecting growth from USD 6.92 billion to USD 20.59 billion over the forecast period, implying roughly an 11.5% CAGR. Fleet and rental segments lead demand, with fleet holding the largest share and rental accounting for nearly half of industry use. Hardware and OEM channels dominate revenues, while top manufacturers together control a majority of the market. Rising adoption of connected systems, predictive maintenance, fuel-efficiency improvements and electrification are driving telematics uptake across construction, mining and materials handling operations worldwide.

Construction Equipment Telematics Market Seen Growing Rapidly to 2034

The global construction equipment telematics market is forecast to expand sharply over the next decade, rising from USD 6.92 billion in 2024 to USD 20.59 billion by 2034, driven by rising demand for connectivity, remote monitoring and equipment uptime management (Global Market Insights Inc.). The implied compound annual growth rate for this projection is 11.5% from 2025 to 2034 (Global Market Insights Inc.).

Why the market is moving fast

Telematics is being adopted to cut downtime, enable predictive maintenance, improve fuel efficiency and support automation on job sites. Additional drivers include expanding infrastructure work, stricter emissions rules that push toward hybrid and electric powertrains, and growing use of GPS-guided and autonomous functions in machines (ResearchAndMarkets.com report summary; ResearchAndMarkets.com).

Market shape and dominant segments

The market is divided by equipment class into Heavy, Fleet, Medium, and Light categories (Global Market Insights Inc.). The Fleet segment dominated around 80% share of the construction equipment telematics market in 2024 and is expected to grow at a CAGR of over 11% from 2025 to 2034 (Global Market Insights Inc.).

By industry, market segmentation includes rental, contractor, heavy civil, and vertical construction. The rental segment dominated the market with 45% share in 2024 and is expected to grow at a CAGR of 12% between 2025 and 2034 (Global Market Insights Inc.).

Product segmentation separates hardware and software. The hardware segment dominated the market and was valued at USD 4.95 billion in 2024 (Global Market Insights Inc.). Sales channels are split between OEM and Aftermarket, with the OEM segment dominated the market and was valued at USD 4.8 billion in 2024 (Global Market Insights Inc.).

Regional notes and national figures

In North America, the U.S. dominated the North America construction equipment telematics market with around 89% market share in 2024. The U.S. construction equipment telematics market revenue was USD 2.15 billion in 2024 (Global Market Insights Inc.). Several other national markets are singled out for expected strong or high growth between 2025 and 2034, including Germany, China, Brazil, and the UAE (Global Market Insights Inc.).

Market players and concentration

Seven companies together held a large portion of the market in 2024. The top seven named are Caterpillar, KOMATSU (Komtrax), Verizon Connect, Geotab, MiX Telematics, Volvo CE, and TOPCON, and those top 7 companies hold around 55% of the market share in 2024 (Global Market Insights Inc.). A separate industry estimate notes that one OEM alone has well over 1 million connected assets in the construction equipment segment (Berg Insight).

Survey, report and data coverage

The market report noted in the data provides detailed breakdowns by equipment class, industry, product, technology, customer, GAR, and sales channel and was prepared with base year 2024. The report lists 30 companies, contains 150 tables & figures, covers 24 countries, and is 300 pages long (Global Market Insights Inc.). Repeated site messaging includes a prompt to Download Free PDF in several locations in the source material.

Other published estimates and differences to note

The broader construction equipment market (not limited to telematics) was estimated at US$183.6 billion in 2024 and projected to reach US$239.5 billion by 2030, with an expected CAGR of 4.5% from 2024 to 2030 (ResearchAndMarkets.com). A regional company overview presented a different telematics valuation, stating the global construction equipment telematics market was valued at over USD 1.29 billion in 2024 and projecting a CAGR of 14.5% through 2035 (Volvo CE / regional context). These variations reflect different scopes, definitions and time horizons among reports.

Installed base and OEM trends

One industry analysis forecasts the active installed base of CE telematics systems to grow at a CAGR of 12.0 percent to reach 12.1 million units worldwide in 2028 and notes that most major construction equipment OEMs now offer telematics either independently or in partnership (Berg Insight). That analysis ranks Caterpillar as the leading OEM by number of CE telematics systems deployed worldwide and lists a range of other OEMs with large or growing installed bases (Berg Insight).

Technology and product focus

Recent product and production advances emphasize fuel efficiency, automation, operator safety, hybrid technologies and electric powertrains as manufacturers seek lower emissions and higher energy efficiency. Automation and IoT integration are enabling remote control, predictive maintenance, and real-time performance monitoring (ResearchAndMarkets.com report summary).

What this means for contractors and fleet owners

Contractors and rental fleets can expect continued investment in onboard hardware and connected software tools that track location, fuel use, utilization, idle time and service needs. Market dominance by the fleet and rental segments suggests that larger mixed fleets and rental companies will remain primary adopters in the near term, while OEMs continue to factory-fit telematics on heavier equipment and move toward standardization across machine classes (Global Market Insights Inc.; Berg Insight).

Method and source transparency

The numbers and projections in this summary come from multiple industry reports that use different scopes and definitions. This account lists each figure with its attributed source to make clear where values and growth rates differ.

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Key Features Table

Deeper Dive: News & Info About This Topic

Additional Resources

• Global Market Insights — Construction Equipment Telematics Market
• Wikipedia: Telematics
• GlobeNewswire — Construction Equipment Strategic Industry Report 2025–2030
• Google Search: Construction Equipment Telematics Strategic Industry Report 2025-2030
• MarketDataForecast — North America Construction Equipment Market
• Google Scholar: North America construction equipment market
• Volvo CE — Smart Machines, Smarter Cities (Asia)
• Encyclopedia Britannica: Volvo connectivity telematics construction
• IoT Business News — Installed base of OEM telematics to reach 12M units by 2028
• Google News: installed base construction equipment OEM telematics 2028

Author: Construction TX News

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