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GPS Phone Market to See Further Growth

GPS smartphone shipments are expected to grow rapidly in the current year, boosted by widespread consumers’ acceptance of navigation devices and increased availability of mapping applications, found Strategy Analytics.

According to the latest study from the research company Strategy Analytics, the global shipments of smartphones equipped with GPS chips, which use orbiting satellite to pinpoint a phone user’s location, will reach a strong growth for the rest of the year. It is expected that the worldwide sales will increase 34% from 57 million units in 2008 to 77 million units in 2009. Among those smartphone makers, Nokia, the world’s handset leader, Apple, the maker of iPhone, and Research In Motion, the maker of BlackBerry, all belong to this high-growth segment and will continue to expand despite of the tough economic situation at the moment.

One of the reasons behind the wide GPS adoption in smartphones is that consumers are accepting more portable in-vehicle navigation devices, developed by companies like TomTom and Garmin in Europe and the United States. Another driving force is the increasing presence of mapping applications coming from cell phone makers, such as Nokia Maps, Apple Google Maps and BlackBerry Maps.

Apart from the fact that the GPS smartphones are experiencing a rapid growth, the survey reveals that there is a tremendous increase on other cell phones to equip with the GPS technology. A research released by Berg Insight in April reported that, the global shipments of GPS phones have reached 78.0 million units last year, and will boom to a total of 770 million units by 2014. Meanwhile, Nokia, as the world’s largest manufacturer of GPS-capable devices, predicted that half of its phone models sell this year will be equipped with GPS chips, and is planning to apply the GPS technology in other lower-end handsets in a wider extent.

Accompanied by advancements in this technology, it seems that the GPS capability will not only be the standard feature in high-end smartphones, but also be included in the mid-range handset models in the near future.

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