location based services
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IMS Research believes that these three markets will grow strongly in the following years, with the population of GPS-enabled devices jumping from below the half a million mark in 2006 to 80 million units shipped in 2010, with penetration rates in some of these markets much higher than in cellular. That is the conclusion of the IMS report "The Worldwide Market for GNSS/GPS-enabled Portable Devices."
"PNDs have raised consumer awareness for the capabilities of GPS, which is giving rise to the integration of GPS in other markets," said Matia Grossi, IMS researcher and author of the report. "We will begin to see consumers with digital cameras, personal media players (PMPs) and laptops that have GPS."
Until last year, penetration rates in each of these three markets have been extremely low, mainly because GPS was limited to expensive external devices and professional customers, which are less price-sensitive, according to the market research firm. IMS Research expects each of the three segments to begin launching devices with integrated GPS capabilities in the second half of 2007.
The sharp decrease in the cost of GPS receivers, and the availability of powerful processors and large screens in PMPs and laptops are all drivers in the growing use of GPS in these two markets, IMS concluded. As for digital cameras, it will be the social networking aspect of geotagging photographs, incorporating location data into digital photos' metadata, that will drive GPS applications in that market.
"It is unlikely that customers will use their digital cameras to navigate but they are most likely to use them for some form of social networking applications," Grossi said. "Consumers have increasingly large online (and offline) picture libraries and location will be an important segmentation factor."
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