GPS personal trackers

	The GT30 from Shenzhen Kosmos Technology Co. Ltd integrates a SiRFstarIII chip and Simcom 300/340 GSM/GPRS module.

Nascent line focuses on niche applications. Trends gear toward converged data logging and tracking functions.

China’s young GPS tracker manufacturing industry is riding on the back of a bullish GPS market. Its strong growth potential is backed by maturing GPS technology and declining chip cost, which speed up new product development and spawn new technologies and applications.

There are 40 to 50 suppliers of GPS trackers in China, including trading companies. Only about 20 of these companies are actively engaged in the development and production of GPS trackers. The currently small supplier population makes the line less competitive than the popular GPS market, makers say, and helps attract new players to the fray.

The small supply yields both car and personal trackers. Many suppliers also make GPS receivers, car alarms, parking sensors and car MP3 players. China makers hardly provide GPS data loggers, although there are several suppliers offering GPS trackers with data logging function. According to these makers, the combined function of tracking and data logging may be the next product development trend in the future.

Available GPS trackers from China are designed mainly to track the elderly, the handicapped, children and pets. Some sales and logistics companies also use personal trackers to monitor and manage their staff and vehicles. Although vehicle tracking is still a niche application, makers are optimistic that it will gain strong momentum in the next few years. Makers expect that the increasing number of vehicles, particularly those with basic GPS capabilities, will drive growth in the car GPS tracker market.

The bulk of mainland China’s output is exported to Western Europe. North America, which requires more advanced GPS products, remains the bulwark of Taiwan makers. In addition to the technology threshold, many companies, in particular small players, are reluctant to penetrate the North America market because of the additional fees required to secure FCC certification.

GPS trackers from China support triband GSM 900MHz, 1800MHz and 1900MHz or quadband GSM 850MHz, 900MHz, 1800MHz and 1900MHz. Models in standard rectangular boxes as well as novelty designs are available, the last including wristwatch-type units.
Standard features include SOS emergency button, speed dial and SMS. Some GPS trackers include built-in microphones and speakers. Several units also support GPRS.

Most GPS trackers provide realtime tracking and interference-free tracking. Some models’ SOS function allows the unit to send out additional location information to facilitate immediate rescue or other necessary action. These trackers can report position information under preset frequency and work on interval-based power-saving mode. The trackers’ system can be set through SMS and the monitor can control the on/off function.

China makers are also offering AVL trackers equipped with anti-theft alarm, which sends alert to users through SMS or GPRS. Many of these products also feature over-speed alarm, geofencing and low-battery indicator.

Several suppliers, such as Shenzhen Joint Technology Co. Ltd, offer car GPS tracking monitor systems. Shenzhen Joint Technology, which works with car manufacturers, supplies car GPS trackers that can combine cameras, temperature sensors and arithmometers. These products can be integrated into an AVL system.

	The I-AVL03 from Ipopman Technology Ltd has a built-in lithium battery. It supports realtime vehicle tracking via a PC map.

Makers’ product development efforts are geared toward adding more features and developing smaller or compact designs. To improve product performance, more China suppliers are enhancing the stability and sensitivity of their GPS trackers. Some of the new releases integrate geofencing, data logging and assisted-GPS (A-GPS).

A-GPS is usually supported in high-end units. A-GPS technology provides an enhanced GPS performance when retrieving GPS signals from tall buildings, or when signals are blocked by concrete constructions, bad weather or tree shade. The ‘assistance server’ helps calculate the precise position using GPS satellites and cellular phone base stations to pinpoint locations with an accuracy of up to 10m under optimum conditions. The other advantages of using A-GPS include indoor positioning, fast positioning time and low power consumption. Trackers with A-GPS are priced at about $200 each.

There are currently very few suppliers of GPS trackers with A-GPS in China. One challenge that has kept companies from actively pursuing this segment is the need for such products to be able to support more than one network. Some makers say that A-GPS works better with CDMA than with GSM, especially in terms of power consumption. The majority of GPS trackers with A-GPS are shipped overseas. Most products can be used in administrative departments, police and judiciary systems.

In the area of product design, most companies see miniaturization exerting a strong influence on makers’ product development roadmaps. Many suppliers will also be investing in innovative designs in a bid to differentiate their products from the rest of the competition.

One roadblock for makers taking the miniaturization route is the higher level of R&D capability required in order to integrate smaller GPS modules, antennas and batteries. These components also cost higher, thereby increasing these makers’ manufacturing outlay.

Despite the challenges, some makers have already released compact and novelty designs such as GPS tracker watches. Shenzhen Xexun Technology Co. Ltd and Chongging Miracle Corp. supply GPS tracker watches suitable for outdoor activities such as hiking, biking and mountain climbing. The models are equipped with SiRF modules. Some models are water-resistant, and can track and log movements. These units can also support time automatic correction and smart power-saving mode.

	Shenzhen Joint Technology has released the GP5000, a GPS tracker that monitors realtime fuel consumption.

The majority of GPS trackers from China are built around the SiRFstarIII chipset, which makers say meets their desired performance accuracy and stability. Some suppliers also use GPS/GSM chips or modules from uNav, u-blox, SIMCom and MTK for their GPS trackers.

China makers can directly source GPS modules from hundreds of local suppliers of GPS modules or solutions. Most modules from these suppliers adopt SiRF chipsets with different solution designs. According to makers, location accuracy and power consumption are dependent on the GPS modules.

Makers with strong R&D capability purchase chipsets and design their own PCBs. Some suppliers directly source GPS modules from suppliers to cut production and time to market. Others source GPS chips and GPS modules separately.

China-made GPS trackers are priced from $100 to $140 each. Advanced models list between $150 and $200 per unit.

Makers expect that as the market for entry-level models expands, the price competition will tighten to push down prices. Another factor that will affect prices is the ongoing global financial crisis.

Makers project prices of older models will drop in the next six months. Prices of new releases are expected to be relatively stable during the same period.

Low-end GPS trackers are quoted from $100 to $120. Most of these models adopt SiRFstarIII and SIMCom GSM/GPRS module. Low-end trackers support GSM 900MHz, 1800MHz and 1900MHz and have more than 15m accuracy. These allow tracking through SMS, GSM and GPRS. The devices are applied in tracking the elderly, children and pets, as well as vehicles.

Midrange models are available for $130 to $180. In addition to basic functions, these units feature 10m position accuracy, geofencing and low-battery alert.

High-end GPS trackers support about 5m position accuracy and A-GPS. The models can be designed as GPS tracker watches. These are priced at $200 per unit.

Most makers of GPS trackers in China are based in Guangdong province. Smaller concentrations of suppliers can be found in Shanghai, and Fujian and Zhejiang provinces.

Guangdong currently accounts for about 90 percent of China’s output of GPS trackers, thereby making the province the region’s largest production base for this line. Guangdong is home to 20 of China’s suppliers of GPS trackers. Most of these companies are located in Shenzhen.

Aside from Guangdong, a few makers are scattered around the Yangtze River Delta. There are at least two suppliers of GPS trackers in Fujian province. These companies, which also provide AVL systems, focus more on the domestic market. Their AVL systems are used in company logistics and vehicle management in large enterprises. The products are usually used for buses and taxis.

Some makers are also based in Shanghai and Zhejiang, which have strong car GPS industries. The two areas are also home to trading companies sourcing GPS trackers from Guangdong and distributing the products domestically.

Taiwan’s GPS tracker industry is booming alongside the growing GPS market. More than 100 makers are currently offering GPS trackers in Taiwan, including major players such as Systems & Technology Corp. (S&T) and NCSNavi Technology Inc., which provide both hardware and software GIS.

GPS trackers from Taiwan are designed for personal and automotive applications. The product range covers telematics-based navigators, personal navigation devices (PNDs), personal trackers, AVLs, data loggers and photo locators.

Products for automotive application currently rule the supply market, although personal trackers are also rising in supply. Personal tracking capabilities integrated into PNDs, data loggers and even GPS phones are helping spur interest in personal trackers. Photo trackers are also gaining traction.

Meanwhile, niche products are breaching the supply market. Garmin, NCSNavi and Asus have released Edge 705, Sports Tracker and R300, respectively. These are designed for use in bicycles.

Besides expanding applications, declining chip cost is another factor that is boosting Taiwan’s GPS tracker market. According to the Topology Research Institute (TRI), the cost of GPS chips had gone down from $10 in 2007 to $8 per unit in 2008. The main suppliers of GPS chips to Taiwan makers are SiRF, Broadcom and CSR. Most GPS tracker makers use SiRF chips. Other suppliers use chipsets from Atmel, u-Nav, u-blox, MTK and Centrality.

Taiwan’s GPS trackers are sold worldwide. More than 80 percent of the products are shipped to Europe and North America. Africa, Central and South America, the Middle East and Southeast Asia are seen as promising regions for exports.