1) Location aggregation services allow developers to access location data from more phones, including non-smartphones. This addresses a larger market and increases revenue potential for applications. 2) Privacy and obtaining user consent remains a challenge for location services. Services are providing more controls and transparency around how location data is accessed and used. 3) As carriers open their location APIs, the potential market for location-based services continues to expand beyond just smartphones. Aggregation services allow developers to target this broader market.

1. Location Aggregation:
Powerful Location Tools for
ALL phones
Joel Grossman
joelg@wavemarket.com
Twitter: @kivieg
April, 2010

2. Location Timeline
2000-2004: FCC Mandate in US… Dark Ages
2000-2004 2004-5: CDMA carriers launch Navigation
2005 2005: carriers launch other services – Family Locator, etc.
2005-2008: due to privacy issues, complex on-boarding
processes, few application launched. CDMA still dominates
2006
market
– 2 white label applications – Navi and Family Locator – very successful
commercial applications
2007
2008

3. V1 of Family Locator
2005: Downloadable applications required to
access location, bill for application, and view
location…

4. Challenges
Porting is expensive. Tough to add features.
Total Addressable Market is limited to
supported phones
Required user to download software to
device
Developer had to complete a Carrier deal
Nevertheless, service was “successful”

5. V2: add web interface and
network-
network-based locates
Zero
installation
Zero porting
Address 100%
of the market
Still need a
carrier deal…

6. Family Finder Subscribers
Very quickly, daily subscriber adds quintupled.
Over 3 months, subscriber base grew
exponentially
Lessons:
– Bigger Addressable
Market = More $$$
• Porting is Expensive
– Requiring a download
is “expensive”
– Ubiquity matters

7. Location Timeline
2000-2004: FCC Mandate in US… Dark Ages
2000-2004 2004-5: CDMA carriers launch Navigation
2005 2005: carriers launch other services – Family Locator etc.
2005-2008: due to privacy issues, complex on-boarding
processes, few application launched. CDMA still dominates
2006
market
– 2 white label applications – Navi and Family Locator – very successful
commercial applications
2007
Mid-2008: iPhone launches App Store
Late 2008: Location launched on AT&T – first GSM to
2008
market

8. Dichotomy of LBS
Operator-branded Navigation and
Family Locator
• Generated ~$500M of revenue for US
Carriers in 2009
Open location applications on smart
phones
• Millions of downloads
• iPhone, Blackberry, Android, WinMo
• Creativity of Developer Community
Shines

9. Report on App Stores
The average price of location applications:
Blackberry storefront: $13.60
Apple's App Store: $3.60
Google's Android Marketplace: 84 cents
Apple’s App Store boasts the largest number of location-based apps
(more than 2,300):
75% are premium services
67% of BlackBerry LBS apps are paid
80% of Android LBS apps are free
Most popular iPhone LBS categories:
Travel Apps (31% of all iPhone apps) and Navigation (27%)
Most popular Android LBS categories:
Travel Apps (20 %), social networking (19%), utilities (14%)
Most popular LBS categories in BlackBerry App World:
Travel Apps (35%), navigation (21%), utilities (19%) and social networking
(17%)
Source: Skyhook Wireless, 2009

10. Location Timeline: Aggregation
2000-2004: FCC Mandate in US… Dark Ages
2000-2004
2005 2004-5: CDMA carriers launch Navigation
2005: carriers launch other services – Family Locator etc.
2005-2008: due to privacy issues, complex on-boarding
2006
processes, few application launched. CDMA still dominates
market
– 2 white label applications – Navi and Family Locator – very successful
2007 commercial applications
Mid-2008: iPhone launches App Store
2008
Late 2008: Location launched on AT&T – first GSM to
market
Late 2009: Sprint opens up location through aggregation
2009
partnership
2010: AT&T and T-Mobile open up location through
2010 aggregation partnership

11. LBS Apps – Is Current Market
Limiting?
600 Billion SMS / year in US ask “where are
you?”
~100% of phones support SMS
But only ~15% of phones provide open access to
location API*
285M total phones, ~43M LBS smartphones
Only supports traditional downloadable
applications
Two weeks ago, an article on LBS Advertising,
Thomas Hallauer from The Where Business, noted
that targeting a location just on smart phones “too
little space is left for a campaign to be worth
running”
*Source: Comscore, August, 2009

12. Current Unaddressed Markets
for location
Platforms
SMS
Services & Web
Mobile Web
platforms craving
Voice
ubiquitous server-
side location Verticals
Social Networking /
Peer to Peer
Enterprise
Advertising

13. Who Cares?
Addressable market is MUCH bigger
– In US, Veriplace can locate 150M+ phones with
ZERO install
Yield is much higher
– Network-based locate can use GPS if available,
automatically falls back to triangulation / Cell ID
Web services API targets new verticals
Network effect businesses need to address
the entire market!

14. Veriplace High Level Image
End User
Developer
Veriplace
• Privacy and Security
• Location Aggregation
• Expose to developer
via a single RESTful API
• Monetization

15. 1200+
1200+ Developers By App Category
Mobile Banking / Compliance / DRM
Payments 2.4%
2.7% Small App Devs
AVL / Fleet Tracking (Facebook,
3.1% MySpace, SFDC,
etc)
Gaming 22.4%
3.9%
Security
5.1%
Government /
Municipalities
7.1%
Enterprise
Credit Risk Mgmt / 19.6%
Fraud Prevention
10.6%
Advertising /
Content
Couponing
Localization /
11.0%
Search
12.2%
© 2000-2010 WaveMarket, Inc. Proprietary and Confidential. Do not distribute outside of your organization.

17. TweetMyCity
Instant Tweets
about your
new city or
neighborhood

18. Facebook Widget

19. Open Wins
1,500+ developer accounts registered on
http://Developer.Veriplace.com/ already…
– Open Source SDKs
– Submission -> launch in 1 week
– Currently running Developer Contest with cash
prizes: ../contest/
No such thing as a “competitor”
– On-boarding other aggregators

20. What about Smart Phones?
Smart Phone APIs today offer merely the
first generation of location functionality…
– Smart Phone APIs are still in their infancy
Geofences, Range Search, Analytics, and
more…
– Veriplace tools in private Beta today offer tools
for geofencing, range search, and analytics
• Android, Blackberry, Windows Mobile, iPhone 4.0
• Patent-pending technology to offer BOTH very low
battery drain and high temporal accuracy

21. Moving, locating more
frequently
Left room for run at 9:30
Not moving, locating
every ~30 min

23. Virtual Fencing and Messaging Controls
Send targeted messages (e.g.
promotions/coupons) to opted-in users
– when they enter or exit pre-defined market
geo-zones
– At a specified time, but only to users within
a geographic area
Marketer has options to vary how
messages are delivered to end users
based on campaign restrictions or end
user preferences
• Time of Day
• Frequency
• Blackouts
© 2000-2010 WaveMarket, Inc. Proprietary and Confidential. Do not distribute outside of your organization.

24. Close the Loop: “Physical Clickthrough”
Clickthrough”
Track marketing campaign
conversions through several methods
– detect change in direction of end user
movement towards location of offer (upon
delivery of message)
– detect if and how long end user dwells at
target location (after delivery of message)
– incentives for end user to “check in” at
offer location
– patented indoor based location solution
© 2000-2010 WaveMarket, Inc. Proprietary and Confidential. Do not distribute outside of your organization.

25. Privacy Management Settings for
Location Data
Philosophy: provide users CONTROL,
TRANSPARENCY, and NOTIFICATIONS
Who can locate me Frequency
– Application – Can always use my location
– Other people – Just this time
Accuracy – Can be located no more that 1x /
– Exact location – GPS, as precise day
– Neighborhood/Zip code – Cell ID (500M) Notifications
– City – New York City – Notify on every locate
History – Periodic reminders
– Full reporting
– Notification when app request
– Data is erased immediately after permission
session is complete
– Notification when any change is
– Data is kept for 1 day
made to my privacy settings
– Data is kept for 1 week, month etc.
– Notification to parent
– Data can be kept for anonymous
analytics Timing
– Specify hours, days of week, etc.

26. User Experience: Privacy
Settings
Veriplace allows the user to change preferences including
accuracy, frequency and off-limits times.
Instantly applied to all future location requests

27. User Experience: My Location History
Users have complete control of their locations; they are allowed to
view and clear history through a computer or mobile phone any time.
Users know who has located them and when their locations are
obtained.

28. Conclusions
Pervasive location has still not arrived but is
getting closer
– Carriers now have tools to monetize it securely
Yesterday:
– Smart Phones -> Basic Location
– Feature Phones -> Nothing
Today:
– Smart Phones -> Powerful Location Features
– Feature Phones -> Basic Location
Privacy is a complex issue for location
aggregation

29. Questions?
Joel Grossman
VP Mktg & Prod Mgmt
WaveMarket, Inc
JoelG@wavemarket.com
Twitter: @kivieg
http://Developer.Veriplace.com
@veriplace
../contest