I forgot that I used to post to this board. As I was reviewing old posts, I saw this one from "armi."
From 2010, armi had some good questions.
Is there still a market for Garmin?
Apparently so. There must be a steady market for their navigation systems. It appears to be a going concern with reasonably good margins. They have had steady dividends since 2011, with a yield of about 4%.
Google Finance - GRMN Annual Data
If automakers create a GPS system, Garmin becomes redundant in their cars. (?)
Unless you want to take your Garmin receiver from car to car. In-dash systems run $2,000 or more and are not cheap to upgrade with new maps. A full-featured Garmin receiver is less than $150 and can upload new maps for free -- at least the one that I have used.
What's stopping a company to enter the GPS market?
Nothing but money. Trimble could have pursued this consumer electronics market, but with all their expertise, they must not have liked the margins.
Why are Garmin's GPSs commanding a premium price?
I don't think they were ever at a "premium" compared to in-dash systems. I could be wrong here.
Apple iPhones can have GPS's installed. What's so special about Garmin?
One problem for mobile phones is that they will require over-the-air data to produce map images. When the signal is weak or lost, the navigation function can fail. This won't happen with a Garmin receiver that holds the map database in the unit. Also, the GPS chip in a Garmin receiver doesn't need to compete with other components of a mobile phone.
I also think that there are mobile apps which are NOT tightly coupled with the GPS receiver hardware. Many apps must go through the OEM's API, which came limit the capabilities of the app.
.I'm VERY pessimistic about Garmin from my first view. Hopefully someone can clear this up for me.
Well, that's my take. Sorry that I'm seven years late. |
