This document summarizes a presentation on new entrepreneurial opportunities in mobile location business and technologies. The presentation discusses how location data is becoming integrated into more devices and applications beyond just location-based services. It outlines several emerging location technologies and services that could see growth, such as social location-based networking and indoor navigation. The presentation also notes the major "silos" being built by companies like Google, Apple, Microsoft and Nokia in mobile location and advises startups to find ways to fill gaps between

1. Mobile Business:
New entrepreneurial
opportunities around location
HEC Web & HEC Entrepreneurs
Frederic Bruneteau - Association HEC - Paris - 13th September 2010

2. Introduction
We just published the most comprehensive study ever written
on the location business and technologies
• 230 pages of analysis about positioning
technologies and their impact on the location
industry, built on
- Interviews with over 100 executives from all
sides of the industry, from Admob to Yahoo!,
- 6 months of desk research and primary
research, notably an online survey,
• An in-depth investigation of the current value
chain and expected changes
• A detailed market model so as to combine
strategic and technology analysis with hard
figures
• Free version (115 pages) can be downloaded on
www.ptolemus.com/study
3

3. What to know about location?
Is location just built on buzz?
3

4. What to know about location?
Location is coming to all mobile phones
GPS-enabled mobile phones sold in Europe WiFi-enabled mobile phones sold in Europe
200 200
GPS-enabled smartphones WiFi-enabled smartphones
GPS-enabled low-end & feature phones WiFi-enabled basic and feature phones
150 150
100 100
50 50
0 0
2006 2007 2008 2009 2010 2011 2012 2013 2014
2006 2007 2008 2009 2010 2011 2012 2013 2014
Source: PTOLEMUS 17

5. What to know about location?
Location and connectivity are also penetrating all devices
Connected
High Layering
Die-cutting
machine train
machine Airplane
Elevator Tractor
Connected car Connected
truck
Server
Parking
metre
Laptop
Fridge Air conditioning
system
Local device Smartphone
Fixed
intelligence phone
Connected
copier
WiFi
Cash router
register Connected PND
Oven
Traffic light Connected
photoframe Connected
vending
Washer machine
Lawn mower Connected
Connected watch
videocamera
Low Hairdryer
Connected plug
Toaster
Low Total solution intelligence High
Source: PTOLEMUS 4

6. What to know about location?
Location goes beyond location-centric applications
What you see / hear
6

7. What to know about location?
Location goes beyond location-centric applications
What you see / hear
The silent revolution
7

8. What to know about location?
A smart use of location can be a key ingredient
• Indoor navigation
to build a great product unlocked
• A sense of direction!
• Universal coverage
• High accuracy
outside cities
Gyro
• Almost universal
coverage
Compass Compass
• Fix in less than 1
second
• Indoor location
possible
GPS GPS GPS
Cellular tower Cellular tower Cellular tower Cellular tower
triangulation triangulation triangulation triangulation
(Google) (Google) (Google) (Google)
Skyhook's WiFi Skyhook's WiFi Skyhook's WiFi Skyhook's WiFi Skyhook's WiFi
positioning positioning positioning positioning positioning
system system system system system
Source: PTOLEMUS 20

9. What to know about location?
Location-based social networking will take off
• Not thanks to Foursquare and At least 6 clear use cases
Gowalla!
• Not even thanks to Google
Latitude. Navigate to
Share place
• Despite a sure backlash against friend
impact on privacy
• But thanks to existing,
mainstream networks such as Find friends Find Friend's
Facebook, Twitter, LinkedIn, nearby place
Viadeo, Mobiluck, Gypsii, etc.
• They have more users,
users' (relative) trust
Nearby friend Locate
• Location is a add-on, not the core alert friends
value proposition of a social
network
9

10. What to know about location?
Mind the gap... between your company and the 4 "silos"
The four location silos
Network
infra. Nokia Siemens
supl.google.com supl.nokia.com
A-GPS
WPS Google Maps Navteq
OS Android Symbian
iPhone OS Windows Phone
+ Maemo + Moblin
Browser Safari Chrome / Webkit Novarra Internet Explorer
Device iPhone Nokia
Map Google Maps
PlaceBase OVI map + Navteq Bing
LBA
iAd (Quattro Wireless) AdMob Navteq Microsoft Advertising
App store
App Store Android Marketplace OVI Store Windows MarketPlace
10

11. How to succeed in mobile location
Numerous European startups have succeeded in the last 20 years
Success
Early stage Confirmed Mature
Source: PTOLEMUS 11

12. How to succeed in mobile location
And certain European start-ups were acquired
Source: PTOLEMUS 12

13. How to succeed in mobile location
Where are the next waves?
New location technologies & services in Europe, based on Gartner's Hype Cycle
Technology Peak of
trigger Disilusionment Enlightenment Maturity
expectations
Source: PTOLEMUS 13

14. How to succeed in mobile location
Where are the next waves?
New location technologies & services in Europe, based on Gartner's Hype Cycle
RUC Location-based services
New LBS technologies & services, based on
Gartner's Hype Cycle
Social POIs RUC
Location-
based
LBSN content
Tracking
E112 Navigation
LBA bCall
SVR eCall
Car-sharing
Mobile
tracking PAYD
Connected
Eco-driving navigation
Parking
Technology Peak of
trigger Disilusionment Enlightenment Maturity
expectations
Source: PTOLEMUS 14

15. How to succeed in mobile location
Where are the next waves?
New location technologies & services in Europe, based on Gartner's Hype Cycle
RUC Location-based services
New LBS technologies & services, based on
Gartner's Hype Cycle
AR WPS Underlying location technologies
Social POIs RUC
Pedestrian
maps Location-
based
LBSN content
3D maps
Tracking
Crowd- E112 Navigation
LBA sourced content bCall
New LBS technologies & services, based on Gartner's Hype Cycle
SVR GPS
Car-sharing MEMS eCall
Mobile
tracking PAYD Glonass
Connected
Eco-driving Indoor navigation
location WPS
Parking Location Hybrid
data Galileo location
management IP location
Location-
triggered Cell-ID
decisions
Technology Peak of
trigger Disilusionment Enlightenment Maturity
expectations
Source: PTOLEMUS 15

16. How to succeed in mobile location
Where are the next waves?
New location technologies & services in Europe, based on Gartner's Hype Cycle
RUC Location-based services
New LBS technologies & services, based on
Gartner's Hype Cycle
AR WPS Underlying location technologies
Social POIs RUC
Pedestrian
maps Location-
based
LBSN content
3D maps
Tracking
Crowd- E112 Navigation
LBA sourced content bCall
New LBS technologies & services, based on Gartner's Hype Cycle
SVR GPS
Car-sharing MEMS eCall
Mobile
tracking PAYD Glonass
Connected
Eco-driving Indoor navigation
location WPS
Parking Location Hybrid
data Galileo location
management IP location
Location-
triggered Cell-ID
decisions
Technology Peak of
trigger Disilusionment Enlightenment Maturity
expectations
Source: PTOLEMUS 16

17. Conclusion
Location is becoming mainstream
• You will increasingly need to
understand location to understand
mobile & vice-versa
• Innovation will come from new
hardware, software, services and
business models:
- Mix the ingredients to obtain a good
recipe
- Start & finish with the end-user's
problem
• This is a global business, with 4 leaders
(Nokia, Google, Apple and Microsoft)
building vertically integrated "silos"
• However, there is a plenty of room for
entrepreneurs bringing new propositions
23

18. Strategies for Mobile Companies
Brussels - Paris - London
contact@ptolemus.com
www.ptolemus.com
Frederic Bruneteau
Managing Director
fbruneteau@ptolemus.com
Twitter: @PTOLEMUS