Tracking system in the context of Location-based services

A GPS tracking unit, commonly referred to as a GPS tracker or simply tracker, is a device used as part of a tracking system to track the location of the asset it is connected to. It uses a Global Navigation Satellite System (GNSS) to determine its geographic position. This location data, along with other vehicle or asset telemetry, is transmitted to an Internet-connected device or a central server using an embedded cellular, radio, or satellite modem. This enables the real-time monitoring and management of vehicles, assets, personnel, and animals from a remote location, and is used in intelligent transportation systems. The global market was valued at over $2.5 billion in 2022 and projected to grow at a CAGR of over 13% to reach $4.76 billion by 2027.

GPS tracking units are used by consumers and are a component of fleet telematics systems and fleet digitalization. Data collected by these devices is typically sent to specialized fleet management software platforms. While many modern vehicles are equipped with a factory-installed telematic control unit (TCU) from the manufacturer, aftermarket GPS tracking units are used to manage mixed fleets (with vehicles from different brands) and to equip vehicles that lack native telematics systems. Specialized hardware manufacturers produce these devices.

Radio-frequency identification (RFID) uses electromagnetic fields to automatically identify and track tags attached to objects. An RFID system consists of a tiny radio transponder called a tag, a radio receiver, and a transmitter. When triggered by an electromagnetic interrogation pulse from a nearby RFID reader device, the tag transmits digital data, usually an identifying inventory number, back to the reader. This number can be used to track inventory goods.

Passive tags are powered by energy from the RFID reader's interrogating radio waves. Active tags are powered by a battery and thus can be read at a greater range from the RFID reader, up to hundreds of meters.

Vehicle location data is the big data collection of vehicle locations, including automatic vehicle location data, a core feature of any vehicle tracking system. This usually includes times and often photographs as well, a practice known as video telematics. The process of collecting this data from remote assets via telemetry is a core component of telematics, often managed by a telematic control unit. Its application in the commercial sector forms the basis of fleet digitalization and is central to any fleet telematics system.

Common methods of data collection include automatic number plate recognition from cameras, such as a Dashcam, and radio-frequency identification (RFID) from transponders. In commercial contexts, a dedicated GPS tracking unit is often used for this purpose, forming part of a wider tracking system. Databases of this information are maintained by both government and private entities. For businesses, this data is essential for fleet management tasks like Track and trace, enabling vehicle repossession, and consumer profiling through methods like Driver scoring. Government databases have been subjected to legal orders for location data, and access may be granted in both criminal and civil cases.

Asset tracking is a specific application of telematics using a tracking system to monitor the location and status of physical assets. It involves using location data to know where an asset is, where it has been, and when it is expected to arrive at its destination. While the underlying technology is the same as automatic vehicle location technology used for a vehicle tracking system or in fleet management, asset tracking typically refers to the monitoring of non-vehicular assets, such as shipping containers, tools, medical equipment, and high-value inventory.

Video telematics is a technology that combines video cameras with telematics data, such as GPS location and sensor readings, to provide a real-time, contextual view of assets and personnel as part of a tracking or automatic vehicle location solution. According to industry analysis, the adoption of video telematics has been the "hottest industry trend over the past five years" and "hasn't slowed down," with primary uptake coming from fleets adding video capabilities to their existing systems. While used in fleet digitalization for managing vehicle fleets through fleet management, its principles are also applied to enhance the safety of lone workers through body-worn cameras.

The technology evolved from earlier, non-connected in-vehicle video recorders (Mobile DVRs) which only stored footage locally. By connecting cameras to a central cloud-based platform and synchronizing video with telemetry data, video telematics provides verifiable visual context to operational events.