2010 Location Based Services Market Map FirstPartner

Customers

Distribution

Pre-loading of maps and navigation software has become

standard on smart phones and increasingly common on

feature phones.

On-line and o�-line retail is the traditional distribution

channel for PNDs, handsets and on board maps distributed

via memory cards.

Now o�ered by all leading smart phone vendors and an

increasing number of Mobile Network Operators, application

stores are the major channel for independent mobile

navigation and LBS applications.

The Internet is the most widely used consumer channel

for mapping, navigation, location aware social

networking and other LBS services.

Faced with declining demand and downward price pressure,

PND manufacturers are increasingly o�ering connected

devices supporting premium value added services o�ered

through subscription or hardware bundles.

Premium navigation services are being o�ered by Mobile

Network Operators to stimulate ARPU. Threatened by the

launch of free services by Google and Nokia the model may

move to inclusion in premium tari� bundles.

Handset RetailMobile Application StoresInternetPND VendorsMobile Network Operators

Nokia Samsung RIM

Ovi MapsRoute 66BlackBerry Maps

Vodafone OrangeVerizon

Find&GoOrange MapsVZ Navigator

TomTom Navigon Garmin

Via MichelinTomTomGoogle

AppleAndroidNokia

App StoreMarketOvi

Carphone WarehouseCarrefourMedia Markt

TomTom Via MichelinTomTomGoogle

Navigon Garmin

Industry Bodies

and Legistlation International Association for the Wireless Communication Industry

Federal Communications Commission

Ministry of Internal Affairsand Communications

Mobile

Fixed and Mobile

Accuracy Tailored for indoorOutdoor

Cell ID Cell ID++

WiMAXTriangulation

E-OTD GPS/ A-GPS E A-GPS

StandaloneGPS

BlueTooth

WLANTriangulation

Location information TechnologyCell ID

Cell ID++

E-OTD

GPS

AGPS

Wix Triangulation

Standalone GPS

Bluetooth

WLAN Triangulation

E A-GPS

Network based, recognises location by nearest cell

Akin to Cell ID, smaller cell radius for greater accuracy

Network based, triangulation calculated by receivers

Handset based, uses relative satellite information

Hybrid, uses both GPS and network information

Not widely used, similar in nature to E-OTD

GPS operation within a single purpose

Recognises location by movement through cells

Not widely used, similar in nature to E-OTD

Combining GPS, Network and Galileo satellite info.

Cell ID Network based, recognises location by nearest cell

Cell ID++ Akin to Cell ID, smaller cell radius for greater accuracy

E-OTD Network based, triangulation calculated by receivers

GPS Handset based, uses relative satellite information

AGPS Hybrid, uses both GPS and network information

Wix Triangulation Not widely used, similar in nature to E-OTD

Standalone GPS GPS operation within a single purpose

Bluetooth Recognises location by movement through cells

WLAN Triangulation Not widely used, similar in nature to E-OTD

E A-GPS Combining GPS, Network and Galileo satellite info.

Network based, recognises location by nearest cell

Akin to Cell ID, smaller cell radius for greater accuracyAkin to Cell ID, smaller cell radius for greater accuracy

Network based, triangulation calculated by receivers

Handset based, uses relative satellite information

Hybrid, uses both GPS and network information

Not widely used, similar in nature to E-OTD

GPS operation within a single purpose

Recognises location by movement through cells

Not widely used, similar in nature to E-OTD

Combining GPS, Network and Galileo satellite info.

International TelecomsUnion

European Commission(USA) Federal Trade Commission

Mobile

Socialisers

Regular

Explorers

Cautious

TravellersCommuters

The typical mobile socialiser

wants to know the current

location of their friends, with

recommendations and

guidance to attractions such

as restaurants, clubs and

events.

Regular explorers want to

combine navigation with

access to reviews and

recommendations, points of

interest and local search to

gain information on the new

location

The cautious traveller

wants the security of

knowing where they are

going through access to

route navigation and

current information.

Commuters are time

limited and as such

want rapid access to

accurate transport

information, including

tra!c information and

public transport data.

JapanUSA European Union USA USA International

National Regulations

By country

Self Regulation

By company

The map includes information compiled from various reputable sources and other

methods like structured interviews and surveys, conference material and

information available in the public domain. As data and information sources are

outside our control, FirstPartner make no representation as to its accuracy or

completeness. All responsibility for any interpretation or actions based on this

map lies solely with the reader. Copyright 2010

Introduction

Prepared by

Welcome to the FirstPartner Location Based Services (LBS) Market Map providing an overview of the LBS solution market and ecosystem players.

The major LBS market sector dynamics are shown below:

• Nokia continues to build its capability to deliver its “social location” vision through the purchases of Navteq, Gate5, Bit-side, Dopplr and, most recently in April 2010, geographic intelligence company MetaCarta. • More acquisitions are expected as other handset vendors seek to compete with Nokia and independent navigation providers struggle to compete with free o�erings.

USA network deployment of positioning information capabilities has been driven by FCC regulation requiring operators to be able to provide subscribers’ location data for safety applications (E-911 directive).

• Di�erent location determination technologies have been required to meet the indoor location "x requirements.User privacy requirements are fragmented: • Informed opt-in consent for LBS services required by both Japan (Personal Data Protection Law 2003) and EU (Article 9 of EU directive 2002/58/EC)

• USA currently self regulatory by CTIA (Consumer Code) and some state level

regulations opt-in legislation. FCC has not currently provided clear guidance.

GPS-integrated Mobile Devices: PND, PMP, Mobile Handset & PDA

GPS-Integrated Mobile Devices

2007 2008 2009 2010 2011 2012

800

600

400

200

0

Mill

ion

s o

f U

nit

s

Source: 2008 Park Associates

Annual Shipments Global Forecast (2007-20012)

find us at www.firstpartner.net email us at hello@firstpartner.net

Disclaimer

Regulation

Acquisitions and Consolidation

Platform Trends

Market TrendsLeading current trends include:

• The increasing range and volume of location enhanced mobile applications,

• Growing consumer usage of mobile mapping and navigation services. - 21.1

Million consumers in the "ve largest European markets (Britain, France,

Germany, Spain and Italy) used their phones for navigation in Feb 2010 – a

68% year on year increase (comScore)

• The challenge to established PND brands by mobile handset and platform

vendors

• The continued focus by start-ups, Mobile Network Operators, handset

vendors and established Social Networking services on location based social

media.

Market drivers include the rapid rise in the penetration of GPS equipped smart

phones and feature phones, the proliferation of mobile apps that are able to

access GPS and LBS functionality and consumer adoption of those apps.

Business models for services are as yet unproven and, with the exception of

specialist and managed applications, are unlikely to be based purely on a

location or navigation value proposition. Google and Nokia’s decision to o�er

turn-by-turn navigation free of charge challenges premium pricing models for

mobile navigation and the established PND vendors. Vodafone has closed

newly acquired Way"nder in response.

Vendors and service providers need to prove brand and service value to

consumers and develop innovative pricing models.

FirstPartner

Business

Need solutions to deliver

e!ciency and optimal

costs. Tracking of

employees and assets to

achieve safety & security

compliance.

Government

& Public Sector

Administrations can use

LBS for location

dependent tolling, tra!c

management,

emergency response and

other civil measurement

applications.

Defining LocationDigital Maps

Satellite and aerial digital images add

richness to consumer mapping and

navigation services and are essential for

many commercial applications.

European Automotive Digital Innovation Studio

European Union

Digital Imaging

Richard Warren | Tim Ellis | Tom Heritage

MNO Infastructure and Applications

Acatel LucentEricssonTCSNokia Siemens Networks

Radiant TechnologiesRedkneeOpenwaveQualcomm

Solutions deployed by Mobile Network Operators to determine location from the network,

deliver against E911 requirements and deliver commercial location based services.

rwarren@�rstpartner.nettellis@�rstpartner.nettheritage@�rstpartner.net+44 (0)870 874 8700

Richard WarrenTim Ellis

Tom Heritagewww.�rstpartner.net

Platforms

GPS Chipsets• Atheros• Broadcom• CSR/SIRF

• eRide• In"neon• Mediatek

• Qualcomm• SiGe• Texas Instruments

• U-blox

Voice Technologies

Software HousesMobile Navigation Technology Providers

Applications

ApelloEnGIS TechnologiesNavigonRoute 66TCS (Networks in Motion)TelmapTomTom

Andes B.V.IndraMaporamaNexus Geogra"csOnPoint Caribbean

Route PlanningEnterprise SolutionsEnterprise MappingCustom GISSecurity, GIS and Mapping

MapITLOGIBALLVisioGlobeWaveMarketNovasysSpimeMetaCarta

Map CreationEnterprise Solutions3D UI EngineNavigation EngineMapping, GIS & LBSNavigationGeographic Search

Vendors o�ering Navigation products

to Mobile Network Operators,

Handset Vendors and Directly to

Consumers.

Software development and

consulting for custom mapping,

tracking, geographical information

and location based services.

Provide technology solutions which

simplify development of o�erings

such as turn-by-turn voice

navigation, location tracking, and

advertising enabled services.

Mapping APIs

& Mashups

PNDs

Location Finding

Location directories and APIs form the basis of many LBS services.

Geolocation APIs and services determine the current location of the

requestor often from a combination of sources including on board

GPS, MNO generated cell id, Aggregators, or proprietary databases

comprising cell id , WiFi and/or IP addess and mapping information.

Location SharingLocation brokering databases/APIs allow

users to share their location with 3rd

parties and other services

SpecialistsOpen SourceCommercial MapsDigital Mapping, POI and Geodata suppliers

increasingly deliver live LBS content to

independent application developers via service

delivery platform APIs. New service opportunities

are created along with a rich ecosystem of 3rd

party develpers exploting their sector speci"c

expertise.

OviGoogle

CloudMade

Consumer / Leisure• Sony • Garmin• Lowrance• Polar

• Satmap

Tablets

Mobile Handsets

• Garmin• Satmap• Sony

• Lowrance• Polar

• Navigon• Netropia• Navman• Biota Group

• Apple • HTC• LGGoogle

• Nokia• RIM• Samsung• SonyEricsson

• TomTom • Garmin• Magellan• Mio

• Satmap• Apple iPad

Whilst growth in PND shipments is forecast to slow, GPS equipped mobile handset shipments are taking increasing market share.Handset Navigation:

• Berg Insight has estimated 2009 sales of GPS-enabled GSM/WCDMA to be 150 million units (15% attachment rate) and forecasts total GPS enabled handset sales to reach 960 million (60% of all sales) by 2014. • GfK reports almost 66% of navigation devices in the EU are phone based with 33% being PNDsPersonal Navigation Devices (PND):

• The European PND market has matured quickest. Out of an estimated 40 million units sold in 2008, the European market accounts for approximately 45%, America 41% and Asia/ Paci"c 13%. However sales volume in the 5 major European markets declined by12.4% in 2009 (from 10.87 to 9.52 million units) and average selling prices also fell 14.6%. (Source GfK) • ABI Research forecasts that PND shipments will stagnate at 48M units by 2015 with the largest growth in Asian markets.In Dash Navigation:

• 12% of new cars will ship with embedded telematics by 2010 with safety and security features such as emergency calling (eCall) and breakdown assistance (bCall) as the most popular LBS applications (ABI Research). • Fully integrated co branded TomTom navigation solutions are being deployed by Renault and Fiat.

ContentDynamic ContentStatic Content

Directory listings, PoI information and

specialist geo referenced data utilised

by third party consumer and business

applications

Fee based or advertising funded

information which gets updated

frequently

Business listingsCommunity facilitiesEntertainment locationsDemographicsSocial indicatorsLocal governmentand business data

Fuel PricesWeatherEvent InformationTra!c informationRestaurant ratingsBooking information

Services

Navigation Advertising & MarketingEntertainment & LeisureSocial Networking

Latitude

Navigation is evolving from dedicated in car

and leisure devices to encompass a range of

driving, pedestrian and public transport

applications for mobile phones.

Ads are targeted based on a consumer’s

location (through geofencing). This may be

combined with other demographic,

preference and contextual information.

Games, event guides, sports and leisure apps

integrate location awareness, geotagging

and Social Networking features to deliver

compelling experiences.

Location awareness combined with mobility allows

users to track friends and share location orientated

content and experiences. Specialist services

integrate with Facebook and Twitter which will also

o�er location awareness on mobile in 2010.

TomTom Nav N Go Presselite

ApelloMapQuestNIM

POI & Recommendations

Often combining local information with

social networking, and increasingly enhanced

with augmented reality, services o�er rich

local information and member

recommedations.

GoogleLoopt Gypsii

GeomiumHummba

Spoonfed MediaOrbsterLocr

SpoonfedGPS Mission

MobgeoAlcatel Lucent/1020 PlacecastNavteq

Telematics & Tracking

Applications Including vehicle tracking and

control , road pricing, workforce management,

and asset management delivered via

specialist devices, inbuilt vehicle systems and

mobile handsets.

People Tracking

Consumer and business applications

combining geofencing with "panic alerts"

include child, vulnerable person and lone

worker tracking.

FourSquareRummbleYelp

Local Search

Local search is a dynamic service using live

database directories to search attractions,

with the enhancement of results

automatically being "ltered based upon the

user’s physical location.

ActiveGuruMultiplied MediaMobile Commerce

VicinityPoynt

Family FinderProtect

Family FinderProtect

WaveMarketReliance SecurityBuddi

TomTomCombain Mobile ABTrimble

WORK

Travel

Travel guides, travel information and

planning advice available through mobile

apps and the internet.

Lonely PlanetDopplr Wcities

Monetisation

Subscription

Service Bundling

Advertising

Pay By Use

Upgrades

Regular automated payments taken for access

to premium services, notably turn by turn

navigation.

The premium product is usually distributed

free of charge, with charges being made per

use.

Users actively agree to purchase

enhancements or updated content such as

maps.

Advertisers subsidise the cost of a service or

product in exchange for brand exposure.

O�ering Location Based Services along side

another service (such as mobile calls) with

joint billing.

The focus of this LBS Market Map is the ecosystem around

consumer LBS devices, applications and services.

The following business models are being deployed but are challenged by

free o�erings.

• SVOX• AT&T• Cepstral

• NeoSpeech• Nuance

• Atheros • eRide • Qualcomm • U-blox• Broadcom • In"neon • SiGe• CSR/SIRF • Mediatek • Texas Instruments

Polaris WirelessAndrewTruposition

Radiant TechnologiesRedkneeOpenwaveQualcomm

Polaris WirelessAndrewTruposition

• SonyEricsson• Samsung• RIM• Nokia

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MNO Infastructure and ApplicationsFirstP

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Solutions deployed by Mobile Network Operators to determine location from the network, Solutions deployed by Mobile Network Operators to determine location from the network,

iver against E911 requirements and deliver commercial location based services.iver against E911 requirements and deliver commercial location based services.FirstP

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WaveMarketNovasysSpimeMetaCarta

Map Creationerprise SolutionsEnterprise Solutionserprise Solutions

3D UI Engine3D UI EngineNavigation EngineNavigation EngineMapping, GIS & LBS, GIS & LBSNavigationGeographic SearchGeographic Search

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Mapping APIs

& Mashups

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Geolocation APIs and services determine the current location of the Geolocation APIs and services determine the current location of the

requestor often from a combination of sources including on board requestor often from a combination of sources including on board

ated cell id, Aggregators, or proprietary databases ated cell id, Aggregators, or proprietary databases

comprising cell id , WiFi and/or IP addess and mapping information. comprising cell id , WiFi and/or IP addess and mapping information.

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Location Sharing

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Location brokering databases/APIs allow Location brokering databases/APIs allow

users to share their location with 3rd o share their location with 3rd

parties and other servicesparties and other services

Digital Mapping, POI and Geodata suppliers ital Mapping, POI and Geodata suppliers

increasingly deliver live LBS content to increasingly deliver live LBS content to

independent applicindependent applic

delivery platform APIs. New service opportunities delivery platform APIs. New service opportunities

are created along with a rich ecosystem of 3rd are created along with a rich ecosystem of 3rd

par

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artnerOn-line and o�-line retail is the traditional distribution ine and o�-line retail is the traditional

channel for PNDs, handsets and on board maps distributed channel for PNDs, handsets and on board maps distributed

via memory cards.via memor

Now o�ered by all leading smart phone vendors and an

obile Network Operators, application

stores are the major channel for independent mobile

navigation and LBS applications.

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AndroidNokia

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App StoreMarketOvi

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Carphone WarehouseCarphone WarehouseCarrefourMedia MarktMedia Markt

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achieve safety & security

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Government

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ContentDynamic ContentStatic Content

ectory listings, PoI information and

specialist geo referenced data utilised

by third party consumer and business

ications

Fee based or advertising funded

information which gets updated

frequently

Fuel PricesFuel PricesWeatherWeatherEvent InformationTra!c informationRestaurant ratingsBooking information

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Business listingsBusiness listings

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Community facilitiesCommunity facilities

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Entertainment locationsEntertainment locations

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DemographicsDemographics

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Social indicatorsSocial indicators

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Local governmentLocal governmentand business dataand business data

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Advertising & MarketingEntertainment & Leisure

Ads are targeted based on a consumer’s Ads are targeted based on a consumer’s

location (through geofencing). This may be location (through geofencing). This may be

combined with other demographic, combined with other demographic,

preference and contextual information. preference and contextual information.

Games, event guides, sports and leisure apps Games, event guides, sports and leisure apps

integrate location awareness, geotagging integrate location awareness, geotagging

and Social Networking features to deliver ocial Networking features to deliver

compelling experiences. compelling experiences.

Location awareness combined with mobility allows

ack friends and share location orientated ack friends and share location orientated

content and experiences. Specialist services content and experiences. Specialist services

integrate with Facebook and Twitter which will also integrate with Facebook and Twitter which will also

o�er location awareness on mobile in 2010.o�er location awareness on mobile in 2010.

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GoogleLoopt Gypsii

GeomiumGeomiumHummba

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Spoonfed MediaOrbsterLocr

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SpoonfedSpoonfed

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GPS Missionission

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Radiant TechnologiesRadiant TechnologiesFirstP

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Polaris WirelessFirstP

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AndrewFirstP

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TrupositionFirstP

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Digital Map Data is critical for navigation and some location based services. The consumer market is dominated by NAVTQ (Nokia) and TeleAtlas

(TomTom). Smaller suppliers serve specialist and niche markets.