Telephia (now renamed to Nielsen Mobile) has issued a report indicating the strength of the location based services market. I have to assume the following figures are for the US only: Around 13 million people downloaded a mobile application to their handset in the second quarter, generating $118 million in revenue. Of that revenue, LBS represented 51 percent. It should be noted that’s not 51 percent of the downloads, since the LBS applications tend to be 2-3 times more expensive than other applications, so it has a lower penetration in the market. The average LBS download cost $9.23, compared to Personal Organization Tools ($5.41), Music ($4.99), Sports ($4.58), Maps/Directions ($3.95), Weather ($3.82) and Wallpapers/Pictures ($3.29). I note that “games” isn’t on the list. (release)
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