Location-Based Services (LBS) are applications that leverage a user’s current physical location to providean enhanced service or experience. The support for this technical capability in mobile devices represents agreat opportunity for application developers to create compelling services that are widely used and highlyvalued. Location information can be used for a variety of purposes — from providing directions to thenearest restaurant to monitoring the locations of snow-plowing vehicles — and the wide-open nature ofthe market means there is plenty of room for entrepreneurial innovation.Although there has been talk of LBS in the mobile domain for some time, it is only recently that supporthas been widespread enough to truly capitalize on this opportunity. Growth in LBS is largely a result ofgovernment mandates that have required mobile operators to provide location information foremergency services (such as the Enhanced 911 [E911] rules in the United States and E112 initiative inEurope, as well as 3G licensing terms), and the introduction of attractive map and navigation applications.Additionally, mobile devices — and the Nokia Developer Platforms in particular — are offering key APIsand features to accelerate innovation.
Market Outlook
Location based services and products are a 10 billion Euro market today, with double-digit projectedgrowth potential by 2008. Nokia’s view is that location-aware applications are about to take-off due tothe availability of LBS on mass-market mobile devices. Thanks to growth barriers being overcome bychanging markets, technologies, government regulations, and growing awareness among consumers.
LBS-Enabling Technologies
LBS are powered by several different methods for acquiring user location data:
- Cell ID — Predominantly used on GSM networks, this system identifies the cell site to which a user iscurrently connected, mapping it to coordinates for an estimate of the user’s location. 3G networks usesmaller cell sizes, so positioning information from these networks offers greater precision. Cell IDworks even when the user is indoors (and cannot use satellite-based GPS).
- Global Positioning System (GPS) — GPS uses a network of 24 satellites to triangulate a receiver’sposition and provide latitude and longitude coordinates. Such positioning can be implemented eithervia GPS accessories, or as an integrated solution in a mobile device. Although GPS provides excellentposition accuracy, position fixes require lines of sight to the satellites. GPS is integrated in some CDMAnetworks.
- Assisted GPS (A-GPS) — This solution is rapidly becoming more common because of its ability toprovide location information indoors and in other harsh environments such as urban canyons andareas with heavy tree cover. A-GPS also offers faster positioning — the time it takes initially to fix auser’s position — than does standard GPS, but it is sometimes less accurate.
Application Oppotunities
Applications that use LBS are limited only by developers’ imagination, but there are some categorieswhere needs and opportunities have been clearly identified:
- Mapping, navigation, and directions applications are the obvious targets for LBS, but developers whocombine this capability with directory services and other offerings will be the long-term winners.
- Workforce-tracking and management applications may end up being the most lucrative applicationsbecause they will help enterprises optimize utilization of their people, supplies, and capitalequipment in the field. Industry segments include security, delivery, and service businesses.
- Entertainment and gaming applications can take the baton from the pioneering geo-cacheenthusiasts and create interactive gaming experiences and services that complement sporting events,concerts, and more.
- “Finder” applications can apply users’ locations to helping them locate anything from the closestrestroom to friends in a crowd.
- Location-enhanced imaging applications can label captured multimedia with information about thelocation where the user recorded the file.
- Weather applications can provide local forecasts and warnings about inclement weather.
- Location-based reminder applications can prompt users when they reach particular locations,displaying, for example, a shopping list when a user gets close to a certain store.
Several different billing models are available, depending on the positioning method and the operator.Some positioning methods (such as GPS) are free of charge, and others are available for request- orsubscription-based fees.
[Referenced : Capitalizing On The Location-Based Services Oppotunity, FORUM NOKIA]
