Every one saw it coming, Nokia; India’s No 1 most trusted brand company across products has announced its free navigation and maps for ever, a significant announcement much to the heart burn of Samsung’s, LG’s and all others. Nokia’s quest for a differentiator in highly competitive mobile space, analysts believe, has driven this $8.1 Billion costly take over of NAVTEQ, the global mapping company, more so that the takeover happened just before the global financial crisis.
Nokia tried different things in monetizing this costly buy out of NAVTEQ, branding blitzkrieg in 2008 saw Nokia coming strongly in India on mobile GPS navigation, the catch however was subscription though, a nicely done commercial summarizes the offer.
Nokia tried different things in monetizing this costly buy out of NAVTEQ, branding blitzkrieg in 2008 saw Nokia coming strongly in India on mobile GPS navigation, the catch however was subscription though, a nicely done commercial summarizes the offer.
However consumers did not take the bait. To my mind it appears that they were not happy on the map content and coverage offered at that point of time more ever the constant reminder of available FREE maps and location services of Google has deterred mass adoption of Nokia maps.
2009 though, saw huge improvement in content and coverage of NAVTEQ a.k.a Nokia maps, now this FREE thing from Nokia will definitely have takers. Map making industry feels that this final salvo from Nokia will still reduce the perceived value of a digital map. Interestingly to note that, among all the content creations, accurate and fresh digital map content making is considered to be a costly and laborious endeavor. This toiling in creation of maps explains the existence of high entry barrier for map content creating companies to enter and thrive. This is the reason that we have is only two companies, NAVTEQ and TeleAtlas who can truly claim to be the world wide mapping companies. Google will surely join this club shortly though.
I suppose Nokia will not keep quite and leave it here, its huge success in Nokia OVI application platform will drive innovative LBS apps, some with tight integration with operators thereby putting in place a fully working LBS ecosystem which every one is talking about. Nokia’s renewed aggressiveness is palpable as it lost significant market share to other mobile OEM’s during 2009. Nokia product philosophy to put GPS chip in its every phone in coming years is also seen as a grandiose plan to have stranglehold in all things related to LBS.
Google is also quite aggressive, doing its own things on maps & LBS apps etc, every one acknowledges that, by far Goggle has the best content and coverage on India, most interesting to note is that Google has unassailable lead over NAVTEQ or TeleAtlas, considered to be the global leaders in mapmaking.
To my mind it appears that Nokia & Google will be driving all this map and LBS things in near future. Both have very strong R&D teams in India working on things on what matters in India. Both have the muscle and the willingness to invest on creating fresher map content and supply it FREE to consumers. Off course FREE here is Oxymoron, both have several tricks up their sleeve to monetize in multitude of ways.
Its would be interesting to see what the other mobile OEM’s will do in India, logically they have to go run to Map providers in India like SatNav, Map My India or Tele Atlas to offer a matching value, which can put severe pressure on their already diminishing top lines, or they may just ignore this FREE Navigation option and search for another differentiator.
Finally, for a consumer it’s a very good VAS, and also for the LBS industry where the awareness will grow for sure and soon the market forces will follow.
2009 though, saw huge improvement in content and coverage of NAVTEQ a.k.a Nokia maps, now this FREE thing from Nokia will definitely have takers. Map making industry feels that this final salvo from Nokia will still reduce the perceived value of a digital map. Interestingly to note that, among all the content creations, accurate and fresh digital map content making is considered to be a costly and laborious endeavor. This toiling in creation of maps explains the existence of high entry barrier for map content creating companies to enter and thrive. This is the reason that we have is only two companies, NAVTEQ and TeleAtlas who can truly claim to be the world wide mapping companies. Google will surely join this club shortly though.
I suppose Nokia will not keep quite and leave it here, its huge success in Nokia OVI application platform will drive innovative LBS apps, some with tight integration with operators thereby putting in place a fully working LBS ecosystem which every one is talking about. Nokia’s renewed aggressiveness is palpable as it lost significant market share to other mobile OEM’s during 2009. Nokia product philosophy to put GPS chip in its every phone in coming years is also seen as a grandiose plan to have stranglehold in all things related to LBS.
Google is also quite aggressive, doing its own things on maps & LBS apps etc, every one acknowledges that, by far Goggle has the best content and coverage on India, most interesting to note is that Google has unassailable lead over NAVTEQ or TeleAtlas, considered to be the global leaders in mapmaking.
To my mind it appears that Nokia & Google will be driving all this map and LBS things in near future. Both have very strong R&D teams in India working on things on what matters in India. Both have the muscle and the willingness to invest on creating fresher map content and supply it FREE to consumers. Off course FREE here is Oxymoron, both have several tricks up their sleeve to monetize in multitude of ways.
Its would be interesting to see what the other mobile OEM’s will do in India, logically they have to go run to Map providers in India like SatNav, Map My India or Tele Atlas to offer a matching value, which can put severe pressure on their already diminishing top lines, or they may just ignore this FREE Navigation option and search for another differentiator.
Finally, for a consumer it’s a very good VAS, and also for the LBS industry where the awareness will grow for sure and soon the market forces will follow.
