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Mobile World Congress 2010
T-Mobile Talks Up Free LBS, but Premium GPS Navigation
Event Summary
February 16, 2010 – T-Mobile International announces the extension of its ‘Local’ LBS service within web’n’walk to the Netherlands and other European markets (as yet unspecified) in 2010. The service uses location awareness to provision users with maps and directions, as well as local reviews and points of interest. The ‘Local’ service also interacts with a turn-by-turn GPS navigation app, together with voice guidance and live traffic updates. The GPS navigation app is currently available on 50 handset models and soon to be rollout to most new GPS phones. The GPS navigation app will be priced as a monthly subscription, whereas the wider ‘Local’ service will be a free value-added element of web’n’walk.
Analytical Summary
• Current Perspective: Neutral on T-Mobile´s LBS announcement at MWC, which represents a complicated pricing and positioning strategy for navigation, with free maps and directions positioned alongside a premium GPS navigation service which for many users may represent a needless service duplication. As a competitive response to the recent ‘free’ service disruptions of Google and Nokia, this is complex and unconvincing.
• Vendor Importance: Moderate to T-Mobile because it has already rolled out location-based services in Germany and the UK, giving it a head-start on some rivals, notably Telefonica O2 and 3. The addition of a location-aware proposition also lays the groundwork for services such as personalised, location-based advertising and location-aware social networking.
• Market Impact: Low on the European mobile data services segment, as T-Mobile has already launched the new ‘Local’ feature of its web’n’walk portal across its three key markets in western Europe, and this announcement merely serves to flag up a near-term launch in Netherlands and other T-Mobile territories. All European service providers are challenged to find a new, value-added angle for navigation with LBS against the backdrop of ‘free’ services from Google on Android and Nokia.
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Current Perspective
Competitive Positives and Concerns
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