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Digital Navigation Device Market Maturing

The worldwide shipment growth of personal navigation devices (PNDs) was higher than anticipated last year, with shipments reaching 30.7 million in 2007, up from 13.3 million in 2006, according to the latest market study by In-Stat.

The main drivers for this growth were price declines, efficient volume availability through the retail channels during the holiday season, enhanced functionality, and stronger consumer demand for navigation overall.

"However, the PND market faces strong competition from both mobile phone handset navigation and embedded automotive navigation systems," says Stephanie Ethier, In-Stat analyst. "In particular, vendors in handset navigation are starting to offer a number of value-added services, such as pedestrian navigation, offline navigation, and searches for local points of interest."

Their research covers the worldwide market for personal navigation devices. It offers a revised PND forecast that takes into account market developments that occurred in the second half of 2007 and in the first half of 2008. It also provides a regional breakout for PND shipments. Competitive threats such as in-car navigation and GPS-enabled handsets are discussed.

In-Stat's market study found the following:

- Worldwide unit shipments of PNDs are expected to grow from 30.7 million units in 2007 to 68 million units in 2012.

- PND manufacturers are integrating advanced functionality in PNDs in order to improve the price or performance value.

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