Over the past year, watching traditional GPS and navigation vendors launch iPhone car kits and cases with integrated GPS-receivers has been intriguing. TomTom launched car kits for iPhone ($100) and iPod touch ($80) in 2009. Magellan’s Premium GPS Car Kit for iPhone and iPod touch is now available for $130. Magellan recently also released its ToughCase ($180), turning iPhones and iPods into rugged outdoor GPS navigation handhelds. What are the benefits for the users? Which problem is being solved here? And what is the overall underlying strategy?