Location-based services (LBS), such as those helping consumers find the
nearest ATM, will not pay-off, says a new study released today.
Market research firm BWCS Ltd. says
location-based services will generate just $3.7 billion by 2006.
The report advises operators to concentrate
on personal safety, security and transport services. Report co-author
Peter Kingsland said the current crop of LBS "focus on the technology
rather than the design of popular applications." Kingsland called the
user interface for most LBS clunky and cumbersome.
Key factors preventing location-based
services from becoming a money maker are: delayed 3G deployment, lack of
technology standards and roaming, privacy concerns and antipathy to mobile
advertising.
The report is entitled "About Mobile
Location Based Services: Where's The Revenue?"
