Research firm Strategy Analytics published last week a new report that forecast the embedded navigation market to quadruple between 2011 and 2019. GPS Business News interviewed with John Canali and Richard Robinson co-writers of the report.
The research firm has a positive forecast for the market, expecting 56 million embedded navigation systems sold annually at the end of the forecast period.
At the regional level they expect Europe and the United States to remain the largest markets for embedded navigation at the end of the forecast period. Even if China has become the largest car market, factory fitted navigation will only be offered on a limited number of cars, partly due to the fact most Chinese will be first time car buyers.
When it comes to changes happening in the market Canali and Robinson believe that tier one suppliers (such as Continental, Denso, Harman, etc.), who originally were the only navigation vendors to OEMs, have been first attacked by the like of Garmin and TomTom and are now likely to suffer from Apple and Google as more and more services are operated in the cloud.
They however believe that Tier one still have an advantage of working in an automotive environment and being able to deliver automotive grade products unlike web giants.
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