Droid vs. GPS makers

The new Google-powered smartphone, Droid, does everything an in-car navigation system does. Is it curtains for Garmin and TomTom?

Droid, the new Verizon "app phone" that uses Google technology, has been talked up in the media as a rival to iPhone. But, with its Google Maps-based "turn-by-turn" navigation feature, the Droid offers a much more potent threat to specialized GPS device makers like Garmin and TomTom. (Share prices for both companies plunged last week when the feature was announced.) Is the GPS industry doomed by Droid?

Say goodbye to Garmin and TomTom: It's time to "start digging a grave" for the two companies, says Hiawatha Bray in the Boston Globe. The Droid's navigation system is its "most remarkable feature," and "matches up well against any of the standalone GPS units." The thing that destroys any chance for the current players to compete? It's free.

Subscribe to The Week

Escape your echo chamber. Get the facts behind the news, plus analysis from multiple perspectives.

SUBSCRIBE & SAVE
https://cdn.mos.cms.futurecdn.net/flexiimages/jacafc5zvs1692883516.jpg

Sign up for The Week's Free Newsletters

From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.

From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.

Sign up