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Free GPS apps threaten Navigon

Tessa Reed
By Tessa Reed, Journalist
Johannesburg, 07 Sept 2011

Navigon AG will release a free updated version of its navigation app for iPhone in SA within the next two months.

However, Navigon faces tough competition with Google Maps Navigation included for free on all Android devices, says an analyst.

Steven Ambrose, MD of Strategy Worx, says while the update is free, the original application comes at a cost, and is competing with the likes of Google Maps Navigation, which is offered for free, as well as cheaper applications from TomTom, Nokia Maps and Garmap.

Navigon says the Navigon for iPhone SA app sells for a one-time fee of $79.99, and users of the current iPhone app can upgrade for free.

The app comes with new features such as MyMaps and FreshMaps. The company says the MyMaps function allows users to pick which maps they wish to download onto their devices. Users are able to instantly download additional maps at a later stage. Maps for SA, Botswana, Lesotho, Swaziland and Namibia are available. FreshMaps gives users access to quarterly map updates for a once-off fee.

According to the company, it has apps for Android, iOS and Windows Phone 7, but in SA it only offers the iOS version. Navigon says it will monitor the market and evaluate releasing the application on additional platforms.

However, Ambrose says, from a developer point of view, the Apple App Store is more organised and profitable.

The Apple platform is also not fragmented, he explains. Furthermore, while Apple is a niche market in SA, and is not growing as fast as the Android platform, Apple users account for more app downloads and usage than other platform users.

The pricing for the quarterly updates has not been finalised, but will be revealed when the update becomes available.

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