European Commission Driving European eCall Despite 12 month Delay
Boston, MA - January 9, 2007 - The European Commission's (EC) eSafety initiative will invigorate the European eCall market, despite a 12 month delay in project roll out, according to technology and consulting firm Strategy Analytics. The Strategy Analytics report, "Automotive Telematics Services: Business as Usual until 2010," highlights the impact mandatory regulations will have on the currently stagnant European eCall market.
Unlike the US, where GM's OnStar telematics service has over four million subscribers, European eCall services have been far from successful. The EC plan to introduce mandatory eCall services after 2009 was delayed 12 months after a September 2006 announcement. However, Strategy Analytics remains confident that regulations will jump start rollout of eCall services in Europe. Launched in 2003, the eSafety initiative aims to cut European road deaths by 50 percent. eCall services include automatic notification of emergency services in the event of a crash, and transmission of location data.
"European eCall activity has been confined to premium brand vehicles in selected national markets, but the eSafety initiative will radically change that," says report author, Clare Hughes, of Strategy Analytics. "The 12 month delay is due to problems in upgrading the communications infrastructure and a lack of commitment from some European countries, including the UK and Germany. Progress is being made in these areas, thus we believe EC directives will start to emerge from 2008."
Service Director, Joanne Blight, agrees, "Currently, the US is the key market for telematics services, with limited activity in Japan and Europe. However, significant European market growth is expected within 5 years, with the telematics service market forecast to be worth nearly $5 billion by 2012."