More cost effective for mobile phone manufacturers

Jan 16, 2007 14:37 GMT  ·  By

British microchip designer CSR, has recently acquired two GPS specialists, Cambridge Positioning Systems and NordNav Technologies and the last time we heard of them, they were planning to provide software-based GPS with a cost as low as $1, for mobile phones. Now the Bluetooth expert has announced that, after the acquisition of the two companies, it will make an all-in-one GPS and Bluetooth chip for mobile devices.

According to CSR, not only will the super-sensitive technology used in the chip be far more effective than the traditional GPS, but they also plan to offer the all-in-one chip for a pretty low price, only an extra $1 per chip compared to the $5-$10 manufacturers were already paying for a standalone GPS chip.

Therefore, the costs for manufacturers are reduced, compared to what they would spend in order to include two separate chips, and CSR's new development is also said to drain less power, proving to be convenient for consumers as well.

Another aspect that will make the chip very popular with manufacturers is the fact that the chip can work indoors and in 'deep urban areas'. All this is due to the loading of software for the two technologies onto a separate chip and making the processor do all the work.

Apparently, several mobile phone manufacturers have already expressed interest, and because this enables them to include GPS in devices for a lower price, more mobile phones with GPS might be released in the future. CSR expects to launch its first all-in-one product during the first half of the year and start making money from it starting next year.