26 June 2007

Handset Navigation Threaten Personal Navigation Devices

The handset navigation market is set to threaten the personal navigation device market, according to a report.

For approximately US$10 per month, handset navigation offers similar, if not superior, functionality to Personal Navigation Devices (PNDs), explained market research company In-Stat in a report dubbed “Personal Navigation Devices: Worldwide Shipment Growth to Slow as Handset Navigation Arrives”

2007 is shaping up to be the year that mapping and navigation applications truly arrive on mobile handsets, In-Stat said. “With a clear, targeted business strategy that focuses on capturing potential PND buyers, wireless service providers have an opportunity to capture market share from PND manufacturers,” explained Stephanie Ethier, an analyst for In-Stat.

The market for PNDs will reach 56 million units worldwide by 2011, up from 14 million in 2006, forecasts In-Stat. Market drivers include falling price points, enhanced features, stronger consumer awareness of PNDs, and increased marketing and promotion by leading PND manufacturers.