2019-09-24 23:18:15

Interview: Telematic Conference speaks to Teltonika

Telematics Conference speaks to Teltonika’s Aurimas Brazionis, Chief of Sales for SEE Group, and Aleksandr Krupovic, Chief of GPS Operational Marketing.

 

TC: Currently, Teltonika is one of the leading providers for IoT solutions. How your company started?

 

Teltonika celebrated 21st birthday this year. A lot of things happened in this time. By looking where we are now, it can be hard to believe how it all started. At first, it was a one man show. Our owner made business, manufacturing, R&D, everything in one place – in his apartment. Now we have offices in 10 countries and 800 employees.

 

 

TC: And what is your strategy for the future?

 

Our strategy for future is simple – to grow. We are constantly investing in development of new solutions. And we are not talking only about vehicle telematics. We are going strong into markets of networking, autonomous solutions (SAS), healthcare IoT and many more.

 

TC: In past decade, telematics Industry changed a lot. What is your experience? Are we finally in an era of advanced solutions or you believe companies are still looking for more basic telematics solutions?

 

Last year we sold our devices to customers in 188 countries. That gives us quite broad perspective of where things are going. It is correct to say that some markets are more mature and they demand more advanced solutions, but still there are huge opportunities and demand for simple and reliable devices and software.

 

TC: What are your main challenges at the moment, you both personally in the company and as a company itself?

 

We have big plans ahead as a company and as a vehicle telematics department. Currently we are focusing on making one huge step ahead. It is an automotive market. We already have on-going regional projects in it, but we are looking forward to cooperate with biggest automotive manufacturers in very near future.

 

TC: Which product is your bestseller? Which market is your biggest market at the moment?

 

Currently, the best-selling products are from FMB9 and FMB1 families. Regarding markets, we have quite many of markets, where we are very well established. It is hard to say, which of them are the best, if we are talking about country level. It is easier to talk regionally. European markets are our home markets, we are very well established here. In other regions, like Americas, Asia, Africa we still have plenty of space for developing. And it is exactly what we are doing. In many non-European countries, our revenue is going to grow two, in some three times this year.

 

TC: You work worldwide. How do you see the differences around the globe?

 

It is a question for the whole separate interview, but to say it simply. Some markets are still in development phase. Here biggest share is going to start-ups, which can offer quick and easy solutions. Some markets are well developed, especially in European countries. In those markets, installation costs are becoming really sensitive matter. It means solutions need to become easily installed and maintained. Also, it brings a need to squeeze more juice from a solution.

 

TC: We cannot predict the future of this industry, but we can see the directions where we are going. What will happen in next decade? And which role Teltonika will play in it?

 

Billion-dollar question. In our opinion, market should be more consolidated. Less players, bigger market shares. Share of aftermarket sales should shrink. More devices are going to be installed on production lines. And we will play leading role in this changed environment.

 

TC: We always do mistakes, but which mistake you believe we need to avoid as industry as a whole?

 

As in all technological industries, biggest threat is to lose the control of technology. Technologies should work for people and in synergy with us. We should avoid scenario where it starts to dictate rather than help.

 

Also, tracking, personal data protection is a sensitive topic. We need not let it interfere with personal life that it would become an object for society to resist to.

 

TC: What is the burning issue of the industry? Security, standardization, costs, fragmentations, consolidations?

 

We cannot say that there are such burning issues, which could seriously damage the market. As hardware developer and manufacturer, we see something what could be a little alerting - market is being flooded with low quality equipment. It might bring interest of some customers, which might get really disinterested in vehicle telematics after this bad experience.

 

TC: How will new technologies change this industry?

 

New technologies, like faster internet connection, new options for connectivity will expand the usage of equipment. New solutions will emerge, which will bring increase in overall effectiveness and functionality. Some say that smartphone or similar solutions will trump hardware business. Some of it, yes. But in general, usage is going to grow, new hardware will offer unexpected value to end users.

 

TC: Teltonika is supporting us almost from the beginning. How do you see Telematics Conference and what is the reason to be involved?

 

It is simple – we believe that it is a place where biggest names from region gather together. It helps not only to maintain business of our own, but to shape industry as a whole. There are not too many events like this, where you have such high concentration of like-minded people from our, in a whole context of technology market, quite niche field of business.

 

Interview prepared by Alenka Bezjak Mlakar, September 2019.

 

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