With ARPU under fire, and traditional LBS revenues fighting a losing battle to smartphone applications, carriers are finally waking up to new $300+ million opportunities around network-based location information.
Senior analyst Patrick Connolly commented, “We see a range of new Location Information Services (LIS) emerging around insurance, banking, analytics, M2M/MRM, advertising, hospitality and IVR supported by always-on, cloud-based location across all device types. Additionally, the US, EMEA, Latin American, and Asian carriers are showing strong signs of adoption in 2013, working with a mixture of local and international partners. The recent launch of Telefonica’s Dynamic Insights is a great recent example of how this market is changing.”
ABI Research’s latest report, “Carrier Location Information Services 2.0” identifies how carriers can leverage their strong client relationships, location data, geofencing, and analytics to support LIS, moving beyond traditional LBS services such as navigation and fleet management.
Looking specifically at the advertising opportunity, there have already been very successful proximity based campaigns at carriers like AT&T, O2, Orange, and Tata Indicom. Longer term, targeted proximity advertising will facilitate carriers in moving into the much more lucrative retail indoor location market.
Practice director Dominique Bonte added, “Companies like Loc-Aid, Placecast, Location Labs, LocationSmart, and intersec, have helped to create this opportunity, with a host of others looking to expand the market in 2013. This also presents a great opportunity for LBS Platform providers like Ericsson, TCS, and Alcatel-Lucent.”
These findings are part of ABI Research’s Location Based Services Research Service which includes additional Research Reports, Market Data, and Insights.
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