Daimler Trucks steps up its focus on connectivity with stake in Zonar Systems

Daimler Trucks is stepping up its activities in the area of connectivity services. It has acquired a share in Zonar Systems Inc in North America, a leading developer and supplier of logistics, telematics and connectivity solutions.

The minority interest is realised via Daimler Trucks North America (DTNA), which owns the Freightliner, Western Star and Thomas Built Buses brands. Together, DTNA and Zonar will bring customised applications for North American customers.

With this long-term partnership, DTNA and Zonar are pursuing a shared vision: optimal transport logistics through intelligent connectivity. Zonar will continue to operate independently. Martin Daum, president and CEO of Daimler Trucks North America, will get a seat on the supervisory board of the company in order to keep a close dialogue between the manufacturer DTNA and the technology partner Zonar.

“Telematics and connectivity are revolutionising commercial vehicle operation with enormous opportunities for OEMs – especially for us as the leader of this business. That is exactly why we made connectivity a dedicated part of our strategy,” said Dr. Wolfgang Bernhard, member of the Board of Management of Daimler AG, responsible for Daimler Trucks and Buses.

“We consistently implement this strategy – and today we have reached an important milestone. Our investment in Zonar will help us to put connected services on the road with even greater speed and variety. We are partnering with a pioneer in this field,” Dr. Bernhard added.

Martin Daum, President and CEO of Daimler Trucks North America, added: “DTNA will benefit in this strategic partnership from Zonar's experience and short time-to-market cycles. This combination of the technological leadership of DTNA and the innovative systems of Zonar will pay dividends for our customers in all markets.”

Daum noted further: “In future, we will advance the products of DTNA and Zonar jointly. Our immediate focus is on the customer benefit and on further improving economic efficiency and safety – to the benefit of all road users.”

“This is a relationship in which the whole is greater than the sum of its parts,” said Brett Brinton, CEO of Zonar. “The drivers and fleet managers will all benefit from combining the big data analytics and rapid technology development Zonar offers with the depth of knowledge, precision and expertise in vehicle engineering DTNA brings. It is an honour to be selected as a technology partner to the world's best vehicle manufacturer,” Brinton added.

The Next Step

The two companies have maintained a partnership for the last five years that began with the market launch of the ‘Virtual Technician’ remote diagnostics system and continued with the development of the all-round solution ‘Detroit Connect’.

The Virtual Technician as part of Detroit Connect sends a technical snapshot of the engine’s status to the Detroit Customer Service Center when warning lights come on in order to analyze the data, to identify the problem and sends out an e-mail with advice on what actions should be taken. With the Virtual Technician, downtime due to servicing can be reduced and thus maintenance costs can be lowered. Repair costs decline by as much as 20% and vehicle-operating time increases by 6%.

In coordination with the Virtual Technician, Detroit Connect enables a Visibility Fleet Software using a GPS satellite network to determine the exact location, the speed, and the fuel consumption of a truck or an entire fleet from any internet-enabled device, for example an on-board tablet.

Detroit Connect is the first telematics solution in the U.S. and Canada which can determine the reason for error messages during the drive. Installed in more than 150,000 vehicles, Detroit Connect has already traveled millions of kilometres.