Asia Pacific PND Will Eclipse Rest of World Market, Says ABI Research

"2007 was 'the year of the personal navigation device'," says ABI Research principal analyst Dominique Bonte. Handset-based navigation also fared well, and there was a renewed interest in outdoor GPS devices. New form factors emerged. High-profile mergers and acquisitions redrew the landscape of the navigation industry."

2008 and 2009 will see continued success for navigation devices, with 'connected' PNDs becoming more important. Replacement markets will slow the current erosion of device prices as the PND market consolidates. Location Based Services will grow, driven by social networking movements and increasingly supported by advertising. By 2012 Europe, currently the world leader in personal navigation, as well as up-and-coming North America, will both have been eclipsed by the Asia-Pacific region in terms of market size, though regional patterns differ: A-P will favor handsets, while Europe holds fast to PNDs.

Much of the debate in consumer navigation markets revolves around whether or when offboard handsets will seize market share from PNDs. While they will certainly grow in popularity, especially in North America and Asia, ABI Research believes that they will do so only in pedestrian navigation, outdoor recreational use and LBS, while PNDs remain the form factor of choice for automotive navigation.

With a presentation liberally illustrated by charts and diagrams, he discusses the outlook for the future saying, "Winners and losers among consumer navigation vendors will be separated by time to market and agility, innovation, quality, community involvement, the availability of user-generated content, and effective branding."

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