GPS Chip Market Driven by Integration into Mobile Devices

Over the next few years, the GPS chipset market will be driven by integration into mobile devices, including personal navigation devices (PNDs), cellular handsets, mobile PCs, and a variety of portable consumer electronics (CE) devices, reports In-Stat. The most promising portable CE categories include ultra mobile devices (UMDs), handheld games, portable media players, and digital cameras, the high-tech market research firm says.

“Although there are external GPS receivers available for mobile PCs, PDAs, smartphones, digital cameras, handheld games, and other portable CE devices, volumes for these applications have been limited,” says Gemma Tedesco, In-Stat analyst. “Integration of GPS within these products will allow for more widespread use of GPS, and will spur much greater GPS chipset shipment volumes.”

Recent research by In-Stat found the following:

* Currently, the two largest mobile device market segments for GPS chips are cellular handsets and personal navigation devices (PNDs). 
* Sales of mobile devices with integrated GPS are expected to grow from 180 million units in 2007 to 720 million units in 2011.
* The cellular handset market, especially the WCDMA space, will be a major battleground for GPS chipset vendors.