Why are the sales of electronics for your car expected to rise 12 percent this year?

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What is vehicle telematics?

A man admires the excellent integration in a new car in Seoul, South Korea.

A man admires the excellent integration in a new car in Seoul, South Korea.

Chung Sung-Jun/Getty Images

There’s actually a specific name to describe the computer and electronic technology involved in our cars — it’s called telematics. The vehicle telematics business has been changing very rapidly over the past few years, with advances in cell phones, the Internet and GPS receivers, but there are a few sections we can look at to understand the increased demand for in-car electronics.

Satellite navigation

How did some of us get around before GPS? For those of us with a terrible sense of direction, GPS receivers are great tools — they use radio signals transmitted from satellites to send detailed maps, specific directions and important locations like gas stations and restaurants to a tiny box mounted on the dashboard. Most GPS receivers are battery powered and can be integrated into your car’s audio and power systems, and their assistance have made them increasingly popular for car owners.