Telematics is a term that contains two different words – telecommunications and informatics.
Broadly defined, it means an integrated use of telecommunications and information technologies Telematics makes the car/vehicle safer,summons roadside assistance at the press of a SOS button, re-routes the vehicle in case of congestion, auto-dials emergency contacts if the vehicle meets with the accident, and not letting people lost their ways on the roads in new cities.
Apart from making fleet operations secure and budget-friendly, telematics also impacts client satisfaction. Vehicle telematics are used by car rental companies to provide best-in-class customer service and faster emergency response. The vehicle data is also used by insurance companies to study the driving patterns and rewarding customers with good driving records. Also, car manufactures use telematics to remote diagnose the lifespan of the vehicle to have a better client experience. When IoT and telematics come together, vehicles can be improved with electronics, hardware and connectivity enabling them to communicate with other devices. This technology is the one behind GPS for directions, Wi-Fi for hotspot and other innovations making driving a new experience altogether.