There's a few things here.

The bull case around EV adoption is mainly about the pressure it puts on governments to introduce a Road User Charge (RUC). That is, in EROAD's markets of NZ, North America and Australia, there's an extra tax on petrol where the intended use for the raised revenue is to pay for maintaining roads. EVs don't use petrol, so as they're more widely adopted, governments are expected to seek alternatives in filling the revenue gap. ERD is very strong in regulatory telematics, especially in the area of RUC, so this is seen as a tailwind.

There's another issue of OEM truck manufacturers building in telematics solutions into new vehicles and the risk this could pose. This is a legitimate concern, though I wanted to seperate it from the EV discussion because it's a risk that is posed by all new vehicles whether ICE or EV.

My main counter to this is that EROAD specialises in enterprise customers with fleets of 100s and 1000s of vehicles. These fleets are generally mixed with different models, brands, types and ages - it's going to be very rare to see a fleet of solely Tesla Semis and CyberTrucks. A regulatory solution will need to be something interoperable between the different vehicles in the fleet. EROAD solutions also do a lot more than just recording distances on public and private roads - so unless the truck manufacturers are motivated to solve for them, they're unlikely to be competing in the same segment.

I'm also led to believe that EROAD have been talking with truck manufacturers about putting their software into the truck's dash. So that could potentially be another way forward also.