Introduction: Navigating the Competitive Landscape of Location as a Service
The Location as a Service (LaaS) sector is experiencing unprecedented momentum, accelerated by the technological revolution, a changing regulatory framework, and the increasing demand for mobility solutions. In this landscape, the main players are the Original Equipment Manufactures (OEMs) that use the Internet of Things (IoT) to optimize their products, the IT integrators that focus on data interoperability, and the operators of communication networks that optimize interconnections. Artificial intelligence (AI) start-ups are also emerging as major disruptors, deploying AI-based data analytics and automation to deliver a more individualized customer experience. Biometrics and green data are also gaining ground as differentiators. Future opportunities will be particularly strong in smart cities, where the strategic use of location-based services can have a major impact on operational efficiency and the customer experience. Against this backdrop, managers must keep a close eye on the emerging trends to ensure that they continue to be able to maintain their competitive edge.
Competitive Positioning
Full-Suite Integrators
Comprehensive solution providers offering end-to-end location services.
| Vendor | Competitive Edge | Solution Focus | Regional Focus |
|---|
| Google |
Robust mapping and analytics capabilities |
Location intelligence and mapping |
Global |
| Microsoft |
Integration with Azure cloud services |
Cloud-based location services |
Global |
| IBM |
Strong analytics and AI integration |
Data-driven location solutions |
Global |
| SAP |
Enterprise resource planning integration |
Business process location services |
Global |
| Salesforce |
CRM integration with location data |
Customer engagement and location |
Global |
Specialized Technology Vendors
Niche players focusing on specific location technologies and applications.
| Vendor | Competitive Edge | Solution Focus | Regional Focus |
|---|
| HERE Technologies |
High-quality mapping data and APIs |
Mapping and location data services |
Global |
| Foursquare |
Expertise in location-based marketing |
Location analytics and marketing |
North America, Europe |
| Mapbox |
Customizable mapping solutions |
Mapping and geolocation services |
Global |
| TomTom |
Real-time traffic and navigation data |
Navigation and traffic solutions |
Global |
| Esri |
Leader in GIS technology |
Geospatial analysis and mapping |
Global |
Infrastructure & Equipment Providers
Companies providing the hardware and infrastructure for location services.
| Vendor | Competitive Edge | Solution Focus | Regional Focus |
|---|
| Zebra Technologies |
Innovative tracking and scanning solutions |
Asset tracking and management |
Global |
| AT&T |
Extensive telecommunications network |
Connectivity for location services |
North America |
| Amazon |
Cloud infrastructure with location services |
Cloud-based location solutions |
Global |
| Apple |
Integration with iOS ecosystem |
Consumer location services |
Global |
Emerging Players & Regional Champions
- Mapbox (USA): Offers customizable mapping and location data services, recently partnered with Snap Inc. to enhance AR experiences, challenging established players like Google Maps with its flexible API and developer-friendly tools.
- Here (Netherlands): Specializes in geo-information and map services. Recently won a contract with a major automobile manufacturer for navigation in cars. Complements map services with real-time data and analytics.
- The first is a company called Locatify, based in Iceland. Its business is location-based services for museums and tourist sites. It has recently launched a project with a national park in Iceland. It offers a unique, specialized solution that enriches the visitor experience. It competes with the big players by focusing on specific cases.
- Geospin (Germany) specializes in location intelligence for urban planning and logistics. Recently, it worked with the local government to optimize public transport routes. It complements the big vendors by offering regionally adapted solutions.
- Zebra Technologies, Inc. (US): Provides location-based services integrated with IoT solutions for retail and supply-chain applications. Recently, it has branched out into indoor location, challenging traditional location services with a combination of hardware and software.
Regional Trends: By 2023, LTS is expected to increase significantly in many regions, especially in Europe and North America, mainly due to the growing demand for real-time data and analysis. Companies are specializing in vertical solutions for industries such as retail, tourism and city planning, which enables them to compete successfully against established vendors. The integration of IoT and AR into LTS is a key trend, which increases the value of LTS.
Collaborations & M&A Movements
- Here and Microsoft have entered into a partnership to integrate Here’s location-based data with Microsoft Azure. The aim is to enhance the geospatial capabilities of Azure and to strengthen their positions in the cloud services market.
- Uber acquired the location intelligence startup, Geometric Intelligence, to bolster its mapping capabilities and improve ride-hailing efficiency, thereby increasing its market share in the Location as a Service sector.
- TomTom and Esri announced a collaboration to combine TomTom's mapping data with Esri's GIS technology, enhancing location-based services for urban planning and smart city initiatives.
Competitive Summary Table
| Capability | Leading Players | Remarks |
|---|
| Biometric Self-Boarding |
Clear, SITA |
At several airports, Clear has implemented biometric boarding, which has facilitated the flow of passengers and reduced waiting times. SITA’s Smart Path solution has been introduced at several international airports and has demonstrated its effectiveness in streamlining boarding. |
| AI-Powered Ops Mgmt |
IBM, Amadeus |
IBM's Watson AI is utilized for predictive analytics in airport operations, improving efficiency. Amadeus offers AI-driven solutions that optimize resource allocation, evidenced by successful deployments in major European airports. |
| Border Control |
Gemalto, NEC |
Gemalto's border control solutions are widely adopted in Europe, providing seamless identity verification. NEC's biometric systems are implemented in various Asian countries, enhancing security and processing speed at borders. |
| Sustainability |
Siemens, Honeywell |
Energy-efficient airport solutions are what Siemens focuses on. Case studies have been prepared for a number of airports. Honeywell's green airport initiative includes smart building technology that optimizes energy consumption and contributes to greener airport operations. |
| Passenger Experience |
Travelers' Choice, Airports Council International (ACI) |
Travelers' Choice leverages data analytics to enhance passenger experience through personalized services. ACI's initiatives focus on improving overall airport experience, with successful programs implemented in North America and Europe. |
Conclusion: Navigating the Location as a Service Landscape
In 2023 the Location as a Service (LaaS) market will be characterized by intense competition and a large degree of fragmentation. The market is being contested by both traditional and new entrants. Local trends indicate an increased demand for localized solutions, which will prompt vendors to adapt their offerings to meet local requirements. In doing so, they are making use of their existing infrastructural advantages. New entrants, however, are developing new, advanced offerings based on innovations such as automation, artificial intelligence, and sustainable development. As the market evolves, the ability to offer flexible, scalable solutions will be a decisive factor in market leadership. Strategic agility will not only improve a vendor’s competitive position but also help them to meet the growing demand for sustainable, efficient location-based services.
