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    December 2000

    Mobile Locations Services Needs to distinguish reality from the hype

    "Mobile Location Services (MLS) are being tipped as one of the new killer applications for mobile devices which will aggressively drive the market for carriers. Location based services - where am I ?, where¹s the nearest? How do I get to?

    These are much more relevant in a mobile rather than a fixed environment. However getting the correct balance between delivering today¹s solutions and investing in tomorrow¹s technologies is central to current and future success", said Richard Bryce, CEO, Mapflow.

    Bryce, who addressed the Mobile Business Forum in Amsterdam said that much could be learnt from the launch of WAP in Europe where carriers over-promised on the service and many early adopters were left disappointed.

    "There is a need to distinguish the reality of what can be delivered from the hype which surrounds any newly emerging service. Carriers need to clearly define the benefits of MLS and educate the end user accordingly. If the functionality of these services is oversold, substantial damage could be done to this newly emerging market, as WAP discovered to its cost", said Mr. Bryce.

    "The applications for MLS are many and exciting. Being on the move and finding out about traffic congestion on specific roads, promotions that may be running in the local area, planning a route from A to B, or simply seeing a map showing where you are is all becoming possible. New market sectors will emerge as information flow, networks and devices become more pervasive" he added. "However it is critical that applications are released in line with the maturity of the market. So it is important that we deliver now simple, value add applications, building on the success of what has been proven by SMS".

    "As in any early stage market there are still obstacles to be overcome. Privacy and security issues have yet to be resolved from both the consumer and operator¹s perspective. New devices have to provide PC rich functionality while at the same time being small, light and easy to carry around. While we are beginning to see progress, we are not there yet. However, there is no doubt that overall, the industry should be very positive about the future of the MLS market", he said. "MLS is currently being driven by the carriers who must be innovative in order to counteract dropping voice margins and recover huge investments in 3G licences. However fixed line internet, portals, cable companies and corporates will all become buyers of location based services in the future".

    Mapflow (www.mapflow.com), part of the IRIS Group which recently announced second round funding of Euro 2.5 million, is set to become a leading player in the provision of location based services. Mapflow develops software products to support the delivery of location based information, with a particular focus on the wireless sector. Using Mapflow¹s LocationAgent technology, internet connected handsets can download very specific content, maps and information relevant to their local position.

    "The early versions of internet connected mobile phones (WAP) have had limited take-up, however, the success of SMS clearly demonstrates the market potential for value added services over mobile devices," said Bryce. "LocationAgent is based around Java and XML, we can support location based services over any internet connected device whether using SMS, WAP or other protocols such as i-mode, the highly successful Japanese technology"

    About the IRIS Group:

    The IRIS Group was founded in 1997 to exploit the commercial applications of spatial data and technology. Based in Dublin Ireland, the IRIS Group employs 35 people and reported revenues in excess of Euro 2 million in the year 2000. The recent appointment of Joe Cunningham, as a non executive director and his experience in APiON and Aldiscon will help drive the company's aggressive European expansion plans.

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