Why selecting a telematics provider has rapidly changed in 2026 for the transportation industry
Key takeaways
- Telematics adoption is widespread, but many fleets still struggle to turn data into useful decisions.
- Mixed fleets are increasing the need for flexible telematics and stronger data integration.
- Safety data is widely collected, while utilization metrics remain less developed.
Organizations operating transportation and distribution fleets are asked, more often than ever, to evaluate a crowded telematics market before committing to a platform. Selecting a telematics provider has now become one of the most important technology decisions these organizations make, not because telematics itself is new but because each platform offers a different mix of GPS visibility, electronic logging, predictive maintenance, driver scorecards, and safety alerts—and determines how that data merges into their asset TCO tech stack.
Business leaders rarely have a consistent framework for separating genuine functionality from marketing language, and recent research shows how widespread this confusion has become.
According to Escalent’s Fleet Advisory Hub 2025 Next Generation Telematics Growth report, fewer than half of organizations with transportation fleets that have adopted telematics (45%) strongly agree the technology fully meets their business needs, with satisfaction ranging from 63% for driver safety improvements down to 40% for vehicle scheduling and routing.
The National Private Truck Council’s 2026 Benchmarking Report echoes that frustration, noting that companies still struggle to turn massive amounts of data into actionable intelligence. Telematics is being implemented broadly but not always leveraged fully, and the more important question is whether organizations have an objective framework for evaluating how that data supports broader asset performance, maintenance planning, and financial decision-making.
How default choices create blind spots
Much of this confusion traces back to how organizations first select a provider.
Many default to whichever platform their sales conversation lands with first—whether bundled with vehicle procurement, recommended by a peer company, or introduced through an OEM relationship—then build years of process around that single system. Because every vendor presents its platform favorably, organizations often lack an independent way to compare one against another, particularly around maintenance history, fault codes, inspection records, and total value of ownership (TVO) metrics.
A 2023 survey of fleet professionals found that nearly one-third of organizations using a telematics provider (32.7%) were not seeing the expected return on investment, with complaints centering on data that was difficult to act on and trouble collecting consistent information across vehicle types. Without an objective framework, organizations can overlook operational data that grows more valuable as their equipment diversifies.
When growth outpaces the system
The problem compounds as organizations diversify their heavy-duty truck equipment. A system built for a uniform diesel fleet of 20 semi-trucks does not scale cleanly to a mixed fleet spanning multiple manufacturers or electric yard equipment.
Industry momentum has shifted toward open, flexible telematics architectures that integrate into an organization’s TCO tech stack, because closed, single-vendor architectures make it costly to adapt as needs change, often forcing an expensive platform switch instead of a simple expansion.
This challenge shows up directly in the data. A 2025 survey found that 66% of organizations identify interpreting and acting on telematics data—rather than collecting it—as their top challenge, citing device sprawl as a leading cause, with 70% already using two or more devices to manage safety. The result is familiar and expensive: more sensors, more dashboards, and no clearer path to a usable decision.
artificial intelligence in truckingThe safety stakes of fragmented data
Safety data deserves particular scrutiny because integration gaps often carry the highest cost. Brake-related issues factor into nearly 29% of large truck crashes, according to the Federal Motor Carrier Safety Administration’s Large Truck Crash Causation Study. That statistic makes it essential that maintenance records, inspection results, and vehicle health signals reach the people responsible for an organization’s safety program, rather than remaining isolated inside a provider’s portal. Partial visibility can quietly erode an otherwise strong safety culture.
What the latest benchmarking data confirms
The NPTC report offers a useful gauge of how far organizations have come. This year, 91% of respondents reported using back-office technology, holding near-record levels and far above the 56% recorded just over a decade ago. Nine out of 10 now report integrating that back-office technology with their onboard telematics, and private fleets are leading that shift, turning dispatch, maintenance, and safety data into one operating picture instead of several disconnected ones.
Safety-related categories dominate what onboard devices and back-office platforms capture, while utilization tracking tells a different story. The data places less emphasis on metrics such as out-of-route miles and payload, suggesting companies have matured faster on safety analytics than utilization analytics. This gap can be closed with the same TCO-focused approach.
A separate 2026 Use of AI in Fleets survey reinforces the point: 51.6% of respondents collect telematics data without integrating it into any analytical tool, and only 9.7% use it for real-time insight. Telematics should be one input in a broader strategy that combines maintenance, compliance, utilization, and financial data into a single view of fleet health. Together, it becomes a strategic asset that supports smarter life cycle decisions, and fragmentation undermines those decisions.
The financial case for a unified view
It is tempting to treat this as an IT problem or a maintenance issue confined to the shop floor. Still, fragmented telematics data ultimately becomes an executive problem because the financial exposure runs to the top of the organization.
Industry estimates built on data from the American Transportation Research Institute (ATRI) put average truckload revenue at roughly $637 per day per truck, a direct hit to utilization whenever a vehicle sits idle unexpectedly. When the data needed to anticipate downtime is scattered across disconnected systems, the financial risk shows up on the income statement and compounds quickly across a fleet of any meaningful size.
Organizations realizing the greatest value from telematics no longer treat it as a standalone tool owned by maintenance or IT alone. Instead, they recognize that telematics data influences procurement, finance, maintenance, safety, and compliance alike, making telematics selection an executive level decision.
A vendor-neutral path forward
None of this points toward one telematics platform over another. It points toward the need for a consistent, business-first framework for evaluating any provider against the organization’s full asset life cycle and corporate TVO needs, including how the vendor and the data fit into current TCO, tech, and analytics software.
Business leaders who ask how operating data, maintenance history, fault codes, inspection records, and safety alerts flow into a single, shared view of vehicle health are better positioned to close the gap between adoption and impact.
As organizations diversify and grow more complex, that framework, more than any single feature list, will determine whether telematics becomes another disconnected investment or a strategic component of a broader asset performance strategy.
About the Author
Brian Antonellis
Senior Vice President of Fleet Operations
Brian Antonellis, CTP, is senior vice president of fleet operations at Fleet Advantage, a provider of truck fleet business analytics, equipment financing, and life-cycle cost management. For more information visit www.FleetAdvantage.com.

