eMarketer: US and European mobile subscribers who use maps and other navigation aids on their handsets will total more than 43 million in 2012, according to Berg Insight.That is up from four million users in 2007 and represents a 60.8% compound annual growth rate.
“Record shipments of personal navigation devices in Europe and the US have introduced the benefits of GPS for motorists,” said André Malm, a telecoms analyst at Berg Insight, in a statement.
“Now the major players in the mobile industry are in hot pursuit of delivering the same experience for pedestrians, commuters and travelers on the handset display,” he said.
Revenue from mapping subscriptions and advertisements is expected to reach €512 million by 2012 from €96 million in 2007, a CAGR of 39.8%.
Mr. Malm said that ad-supported mapping services will be required to stay competitive.
“Maps are already available free of charge from a host of sources on the Internet,” he said. “Soon navigation will reach that stage, too, pulling away the very foundation for premium-rate mobile propositions.”