Nobody doubts that China is the biggest potential telematics market. When there was only 7% growth rate in the rest of the world, China’s automobile growth rate was about 35%; in 2006, 7.29 million cars were produced, and the total registered number of private cars increased to 23.2 million from 7.73 million. China became the second largest vehicle market in 2007, trailing the United States. After a long-term frozen period, China’s navigation market bloomed in 2007 as GPS products increasingly become well-known to consumers. To solve the heavy traffic situation, the Chinese government built a real-time traffic information system available in Beijing for the 2008 Olympic Games. Insurance companies have started to cooperate with telematics providers such as Tobe and OnStar to offer telematics insurance solutions and reduce operational costs. It looks like it is just the right time to launch telematics services in China.