Research firm Berg insight published a report (summary here) last week in which they predict that revenue for LBS services in Europe will hit €622 Million, roughly $793Million USD. The analysis also states that this revenue will equate to 1.8% of the markets non-voice revenue. This is a sizable increase from the estimated €144 million in 2005 revenues. The report claims that 40% of todays revenue comes from LBS applications for business, such as fleet management/tracking.
The report, which I have not read, details some of the growth drivers including improved handset capabilities, and application adoption including navigation. Much like the E911 initiative in the US, EU E112 is requiring that operators be able to provide location information of emergency calls. The report further explains the lack of broad adoption is due to low consumer awareness and lack of LBS marketing by operators.
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