What is Telematics?

Telematics is the combination of telecommunications and vehicle data — sending information about how a vehicle is being driven, not just where it is.

Telematics joins two words: telecommunications and informatics. In practice it means a device fitted to a vehicle that collects data and sends it somewhere over a mobile network.

The distinction from plain GPS tracking is the breadth of data. A GPS tracker answers where. A telematics unit also answers how — engine hours, fuel consumption, harsh braking, idling, fault codes, seatbelt use.

Where the extra data comes from

Position comes from satellites, the same as any tracker. The vehicle data comes from the vehicle itself, over one of two connections:

The OBD-II port, standard on cars since the mid-1990s. A plug-in dongle reads engine data, fault codes, and speed. Two-minute installation, and just as easily unplugged.

The CAN bus, wired directly into the vehicle’s network. More data, more reliable, harder to remove, and requires proper installation. Standard on commercial fleets.

Some data also comes from the device rather than the vehicle — an accelerometer detecting harsh braking or a collision, for example, which works in any vehicle regardless of what its bus exposes.

What a full platform typically offers

Geofencing appears near the bottom of most feature lists, but it is frequently the feature small operators actually use.

What it costs

Typical fleet telematics runs $20–45 per vehicle per month, with hardware adding $100–500 per vehicle up front. Full-featured platforms with dashcams and compliance reporting go higher.

That pricing makes sense for an operation where fuel and driver behaviour are major cost lines, and where compliance reporting is a legal requirement. Across a hundred vehicles, a few percent of fuel saved covers the subscription easily.

Across six vans it usually does not, and the compliance features are solving a problem you may not have.

When you do not need it

If your questions are “did the van reach the customer”, “when did it leave the depot”, and “did anything move overnight”, those are geofencing questions and they need position data only. Everything else on the list is cost without benefit.

Geoblip does the geofencing part — zones, per-vehicle schedules, arrival and departure alerts, position history — without per-vehicle pricing. It does not do driver scoring, fuel analysis, fault codes, or compliance reporting.

If you need compliance reporting, you need a compliance platform. Tachograph and hours-of-service rules are regulated, audited, and not something a general geofencing tool should pretend to cover. That is a genuine reason to buy telematics rather than a reason to buy us.

See small fleets for where the line usually falls.

AVL (Automatic Vehicle Location) is an older term for the positioning half alone, still common in public sector and emergency services procurement.

ELD (Electronic Logging Device) is the US-mandated device recording driver hours for commercial vehicles. Legally specified, and not something geofencing substitutes for.

Fleet management is the broadest term of all, covering telematics plus maintenance scheduling, procurement, and driver administration.

For the underlying identifiers and connectivity these devices depend on, see IMEI and APN.

Last reviewed 7 August 2026.

Related terms

Geofencing

Geofencing is the practice of drawing a virtual boundary around a real-world place and having software react when a tracked device crosses it.

Reporting interval

The reporting interval is how often a tracker sends its position to a server — the single setting that most directly trades battery life against how quickly you learn about a boundary crossing.

IMEI

An IMEI is the 15-digit serial number that uniquely identifies a mobile device, and on most GPS trackers it doubles as the only credential the device presents to a server.

APN

An APN (Access Point Name) is the setting that tells a SIM-equipped device which gateway to use for mobile data — and the most common reason a GPS tracker never reports.

Browse the full glossary →

Put it into practice

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