GPS: The Mobile Way Ahead

Mobile phones are today seen as the third screen, and unlike the earlier
screens of television and computer, the third screen has been impacting users in
myriad ways. Today, mobile phones are a converged device-they enable computing,
show directions, help surf the net, and are also used for calls and text
messages. And of the many functionalities of a mobile phone a major application
is gaining ground is the use of GPS. Today mobile phones are competing with the
dedicated GPS devices, and being relatively cheaper than a dedicated GPS gadget,
pose huge potential.

According to industry estimates, India is now the third largest smart phone
market in Asia Pacific, after Japan and China, with quarterly shipments
exceeding one million units for the first time in Q4 2007. And with an expected
19 mn more smart phones expected to ship over the next three years, India seems
to be a ripe market for navigation applications and location-based services.
GPS-enabled smart phones are available at affordable prices today, bringing them
within reach of a large number of consumers and there seems to be significant
potential for certain navigation and location-based services, particularly among
younger, tech-savvy, middle class consumers.

GPS on a cell phone is poised to be the next big wave in mobility. According
to ABI Research, the GPS-enabled handset market is expected to generate over
$100 bn in revenue by 2012. With mobile phones becoming an integral part of
every life, consumers are looking at more and more functionality in devices. The
main advantage of GPS on a mobile is having mapping, routing, and navigation
besides regular handset features like SMS, camera, email, etc. The future of
navigation devices is virtually unlimited.

One vendor who is aggressively targeting this space in India is Nokia.
Devinder Kishore, director, marketing, Nokia India says, "We are seeing that
consumers are requesting for location-based applications such as mapping,
routing and navigation to be essential platforms in mobile devices going
forward. Nokia's strategy in this space is to offer world-leading maps and
location applications as an integrated or supplementary solution to Nokia device
users. From Nokia's stable we are looking at bringing rich location-based
experiences to Nokia devices."

For vendors, Nokia maps and navigation will become a standard feature in all
Nokia N series and Nokia E series devices, and in a wide range of other Nokia
mobile phones. In addition, Nokia will also introduce a number of GPS-enabled
mobile devices that will offer enhanced maps and navigation experience. By
combining a mobile device with a personal navigation device, Nokia has lowered
the cost of entry for people to discover and explore maps and navigation. In
this space, Nokia has one of the most comprehensive product portfolios from
dedicated navigation products to extensive smart devices, covering different
segments of consumers. Players like Nokia have a clear lead in this space.

The GPS-based mobile phone market though is not big enough in its current
stage, is expected to grow at an aggressive pace, and like Bluetooth, will
become a standard feature three years down the line.

Shrikanth G

shrikanthg@cybermedia.co.in