Cost of GPS Handsets Will Drop by 2010


Most handsets with integrated GPS are smartphones or high-end feature phones, with wholesale prices in the range of $250 to $500.

Better, cheaper chipsets will allow the prices to drop within the next two years.

Feb. 07, 2008 — by .(JavaScript must be enabled to view this email address)

It’s sort of a tease, but if you wait two more years, you can probably get your mitts on a cheap GPS handset.

Sure there are deals to dig out now, but ABI Research says that come 2010, the base price of handsets with integrated GPS will cost under $200. The drop will be due to the better chipsets at a lower cost.

“Recent industry developments, such as the announcement by CSR and Samsung of lower costs for GPS modules for mobile devices, will ensure that prices for GPS-enabled handsets quickly come down,” says ABI Research industry analyst Shailendra Pandey.

ABI also says that the market for such handsets will continue to grow, with more than 600 million units shipping by 2012.

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