EOBR, HOS Issues Posed Big Challenges to Trucking Technology Service Providers

The telematics industry is ending the year in a technology march that continues revolutionizing the way trucking companies do business.

By far, the biggest issues telematics device makers faced in 2011 were the wrangling over a final rule on electronic onboard recorders and potential changes to hours of service.

“Fleets are recognizing that these regulations are not going away,” said Christian Schenk, Xata Corp.’s vice president for product marketing, “so they know they need to operate their fleets safer.”

Schenk also said Xata has seen “increased adoption in the marketplace for a lot of this stuff [related to regulations and the Compliance, Safety, Accountability program of the Federal Motor Carrier Safety Administration]. Fleets are looking at their scores and saying: ‘I’ve got to do something.’ ”

The scores refer to safety violations that show up in fleets’ CSA reports (see story, p. 10).

“I believe carriers have adopted the outlook that vehicle tracking and operations logging will be nonoptional at some point in the near future. So they might as well seize the bull by the horns and look at ways to really increase the returns to the business from that vehicle tracking and remote communications technology investment,” said Monica Truelsch, director of marketing at transportation management software provider TMW Systems Inc., Cleveland.

“We have seen increased adoption of EOBRs, especially for those who are making mobile communications investments,” said Mark Cubine, vice president of marketing at fleet management software maker McLeod Software Corp., Birmingham, Ala.

“We also see higher levels of investment in trailer tracking and reefer monitoring than in previous years. This capability can have a great impact on a reefer carrier’s ability to manage claims and reduce costs,” he said.

McLeod announced in August a partnership with truck credit card services provider Multi Service Corp., Overland Park, Kan., to create a fleet fuel management data system.

“The market is also starting to see an increase in the adoption of Tablet and other portable onboard computing solutions, which we foresee being a trend that will increase,” said Meghan AuBuchon, spokeswoman for PeopleNet Communications Corp., Minnetonka, Minn., a provider of motor carrier onboard computing and mobile-communications systems.

Norm Ellis, general manager and vice president at Qualcomm Enterprise Services, noted that workflow products have changed the paradigm for drivers.

“It is all about applications,” he said. “This was a big thing in 2011 and it’s going to be a big thing in 2012 as well.”

There were many other developments in the world of telematics this year. For example, the industry saw several improvements in navigation technology for trucking.

“Truck navigation helps drivers and fleets cut fuel usage by reducing out-of-route miles. It also helps eliminate the possibility of being lost — again saving fuel and time,” said Dave Muscatel, CEO of Rand McNally Co.

To begin 2011, supply chain technology firm lntermec Inc. bought warehouse technology firm Vocollect Inc. for $190 million.

In July, Trimble Navigation Ltd. bought privately held PeopleNet, which was an exit for investment firm Norwest Equity Partners, Minneapolis, which had owned PeopleNet since 2000.

Before buying PeopleNet, Trimble had scooped up Chinese GPS device maker Yamei Electronics Technology Co. Ltd.; Finnish software maker Tekla Corp.; privately held print and digital mapmaker MyTopo Inc., Billings, Mont.; and a signal corrections business that uses the OmniStar satellite navigation system.

In July, truck supplier Bendix Commercial Vehicle Systems paid $14 million to purchase of SafetyDirect and AutoVue Lane Departure Warning from roadway sensors and vehicle and lane-departure technology maker Iteris Inc., Santa Clara, Calif.

In August, fleet safety software supplier Vigillo LLC, Portland, Ore., released a new product called Inspection Management System and listed Schneider National Inc. as its first client.

In September, TMW Systems revealed several product enhancements, including agreements with Qualcomm, PeopleNet and Pro-Miles Software Development Corp.

In early December, wireless technology company Telular Corp. agreed to buy equipment tracking device maker SkyBitz Inc. for $42 million in cash and stock.

And ALK Technologies Inc. formed a new group called Enterprise Solutions comprised of its PC Miler, CoPilot Truck and CoPilot Live Professional product lines.