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ABI Sees 2010 Improvement In PND Sales

9/13/2010 09:33:54 AM Eastern

Oyster
Bay, N.Y. - Factory-level sales of portable navigation devices (PNDs) to U.S.
retailers will remain flat at 16.3 million units, but factory-level dollar
volume will fall 9.6 percent to $3.1 billion, according to ABI Research.

The
forecast represents an improvement over 2009, when unit shipments fell 5.2
percent and dollar volume fell 12.2 percent, ABI said.

ABI
analyst Dominque Bonte attributed falling dollar volume on flat unit shipments
to average selling prices that are falling as vendors rush to compete with free
navigation services on Android phones and Nokia phones. "With free
alternatives, price erosion is inevitable despite the fact PND vendors are
trying hard to offer more value and differentiating features," he told TWICE.

 
U.S. PND Shipments

           
    (Unit, Dollars in
millions)
   
  2008   2009   2010  
Units 15.5   16.3 (-5.2%) 16.3 0%
             
Dollars $3,904.5   $3,426.9 (-12.2%) $3,097.2 (-9.6%)
             
Source:  ABI Research, Oyster Bay, N.Y.