EMapGo (EMG) announced plans to become a Telematics Service Provider (TSP) at the Zhengzhou China International Auto Fair held at the end of June. Up to this point, EMG has been a digital map database supplier focused on the aftermarket.

The move by EMG is part of a wider trend in China of new companies entering the telematics value chain to attempt to benefit from the fast-growing market with up to 20 domestic and foreign vehicle manufacturers either launching or planning services.

“In addition to content providers, other companies in the Chinese telematics value chain, including mobile network operators and call centre operators, are looking to expand their offering to include TSP functions,” says Stephen Longden, author of SBD’s new report, Who will win the race to become China’s leading telematics service provider? “This is a new challenge to the international TSPs who are concentrating on finding partners in China,” he adds.

EMG says it plans to offer a range of navigation-related services to both aftermarket suppliers and vehicle manufacturers. The company claims it already supplies its maps to FAW VW, Dongfeng Peugeot, Chrysler and BYD.

At the same event in Hunan province, China Telematics Services (CTMS) announced it has finished constructing two call centres in Wuhu and Beijing with the capability of providing telematics services to up to 300,000 customers. Digital map supplier Ritu (a competitor to EMG) is the leading investor in CTMS which is aimed at providing both aftermarket and OE services.

Want to know the latest developments in the China telematics industry? SBD has been closely following the China telematics scene and our intelligence from experts based in the area ensures you have an up to date understanding. To learn more about how our range of reports on China can help your telematics strategy or to buy the report Who will win the race to become China’s leading telematics service provider? please contact Kavitha at kkuppuswamy@sbd.co.uk.