Windows Phone Thoughts: Positioning becomes commodity

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Wednesday, September 25, 2002

Positioning becomes commodity

Posted by Andy Sjostrom in "HARDWARE" @ 03:10 AM

http://www.businessweek.com/technology/cnet/stories/959085.htm

Motorola has presented a new global position system (GPS) chip for use in mobile devices. According to the company the chip is so small and cheap that it is practically possible to use it in consumer-electronics. I find this news very, very interesting. "The chip will give users of such devices the ability to tap into the satellite system and pinpoint their geographic location."

From the article: "All of a sudden, starting 10 or 15 years ago, every electronics device had a clock," said Tim McCarthy, business director for GPS at Motorola's Automotive Group's Telematics Division. "I see position awareness going down that same path. It's just a question of how long it takes. If it's an electronics device that moves around, there's some benefit to being able to determine your location," McCarthy said. ... The Instant GPS chip measures only 49 square millimeters, or less than half the area of a Pentium 4 chip. It will sell for roughly $10 in volume quantities, allowing device makers to add GPS for about a quarter of the cost of the current multiple chipsets, which cost about $40, McCarthy said."

I find this news very, very interesting. Currently we have two options to implement the location factor into mobile solutions: bulky and expensive GPS receivers or expensive and proprietary carrier technology and (not so precise) networks. My conclusions:
• Once this new chip finds it way into cell phones and PDAs, the GPS hardware and software market will change radically.
• Carriers lose yet another aspect of their networks that can generate revenue. Instead, they are heading towards becoming bit pipes.
• More location based services running on the Internet (mobile as well as fixed) will be developed and used.
• Expect to see GPS enabled devices, cars, toys, and so on and so on.
• "GPS" term as common as "32 MB RAM, 206 MHz, 240x320" in future Pocket PC specs

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