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Axel
Fuchs, a Managing Partner from consulting firm Cogenia
Partners suggests that online connectivity will stimulate
local search and real-time traffic updates, but that “ appropriate
segments of the map will stay inside the vehicle”.
This
model of ‘hybrid navigation' has stimulated handset manufacturer
Nokia to not only place a hefty bid for map provider Navteq,
but also deploy a wide array of location based services marking
a substantial cornerstone in Nokia's internet services strategy.
Nokia's
Hilppa Horneman details that “ location and
context information is a key component for Nokia's Internet
services including search and navigation, photos and videos
as well as presence and communities.”
Horneman
adds that location information will help to build the next
phase in web2.0 with context sensitive services. But how can
this next phase of web2.0 navigation solutions be delivered
without a connected device? In short – it can't.
Dominique
Bonte, Principal Analyst at ABI Research proposes
that “ultimately all CE devices, including navigation
systems, will become connected and access web-based services.”
When
asked how this might affect future business models, Bonte
adds that “monthly service fees have not yet been well established.
End users typically want to avoid paying recurring fees while
advertising-funded models are only now being tested,” demonstrating
the need for better executed flexible business models.
Will
consumers be willing to pay for LBS services such as friend
finder, location based search and tracking features? Even
if privacy issues are addressed, speculation still mounts
as to whether LBS features and applications will compel the
consumer to part with their cash.
Placing
bets on whether consumers will pay for LBS functionality is
not the prime motivation for wireless carriers. Being best
positioned to profit from rising data usage and demands for
wireless connectivity, wireless carriers are actively promoting
innovative developments of off-board navigation and LBS applications.
Highlighting
the growing demand for off-board services, Steve Myers,
Mobile Business and GPS Solutions, at Sprint comments that
“LBS/GPS is at table stakes right now.”
The
ease of use proposition of the iPhone encourages better integration
of multiple functionalities for portable devices connecting
to the web. Myers suggests that seamless integration of voicemail
with email offers a sleeker service and primarily an improved
user experience.
Taking
a more consumer centric approach to the future of navigation
and LBS leads us to conclude that devices will loose their
industry debate significance as more questions arise of how
to provide better equipped off-board services.
Bryan
Mistele, CEO of Inrix rightly notes that “ ultimately,
it will always boil down to the user experience – and connectivity
and service choices will take as prominent a role as the device
itself.”
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