Garmin, TomTom Struggling Amid Competition
With business booming in the GPS sector, one would think that sector’s leaders, Garmin and TomTom, would be booming. However, that’s far from the case.
According to a story in BusinessWeek, the two longtime leaders of the sector are struggling, thanks largely to competition from mobile phone makers, as well as the sluggish overall economy. This has sent the stocks of both companies reeling.
The companies are attempting to strike back, by reducing prices and- in Garmin’s case- launching a phone of its own, the Nuviphone. TomTom, meanwhile, recently won a bidding war against its rival to acquire map supplier TeleAtlas.