Rhys Blakely
GPS plays a staring role in Microsoft’s "Home of the Future", the company’s showcase of forthcoming gadgets at its Redmond headquarters. Among other things, Microsoft plans to use GPS phones to channel localised adverts to consumers
Powered by such products, the number of GPS chips in mobiles is expected to increase by 45 per cent a year up to 2011, to about 200 million. CSR plans to get in on the game by big price cuts.
Using technology from Sweden's NordNav and Cambridge Positioning Systems, it reckons it can make add GPS to its Bluetooth chips for $1 – compared with a cost of between $5 and $10 for existing separate GPS chips. CSR's move to diversify will be welcomed – news that one client had delayed an order knocked more than a quarter off the group's market value in September.
Investors will be wary, however, that squeezing prices remains the main aim for chipmakers.
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