Home > Sustainable & Smart Technologies > Indoor Location-based Services (LBS) Market
Indoor Location-Based Services (LBS) Market size is poised to grow with a lucrative CAGR from 2023 to 2032. The growth can be ascribed to the increasing security concerns around suspicious activities in public spaces. These services are based on the location of a mobile user, which is determined by the device's geographical location. LBS applications offer information and services that are highly relevant to the user at a particular location.
Considering the latest trends, LBS and tracking techniques are widely used in vehicle management and logistic tracking. Besides, applications beyond auto navigation and vehicle management have also emerged recently.
The penetration of smartphones and internet services across the globe is expected to accelerate the industry's growth over the coming years. As per credible sources, there were approximately 6.65 billion smartphone users worldwide in 2022. Various emerging economies have recorded a considerable rise in smartphone usage in recent years, which will further enhance the industry landscape.
Based on technology, the WiFi-based indoor location-based services market is slated to accrue substantial proceeds through 2032. Wi-Fi positioning can be applied for indoor navigation and tracking solutions. The accuracy of Wi-Fi for indoor positioning is usually 5-15 meters.
With regard to application, the indoor LBS market is poised to witness notable growth from the retail segment as brick-and-mortar retailers are seeking more ways of offering an enhanced in-store experience to their customers. Location-based services offer incentives for consumers to enter physical retail stores and help streamline their experience while in the store.
Retailers are now incorporating various technologies to help customers navigate the store by providing relevant information. For instance, the advancements in augmented reality (A.R.) driven by major tech companies like Google, Apple, Microsoft, etc., have made indoor navigation possible for various retailers. In September 2022, Apple nabbed three new patents for an AR/VR head-mounted display, a temperature gradient sensor, and a smart ring sensor. These new augmented, and virtual reality sensor patents will be used in iPhones, MacBooks, and wearables.
On the regional front, the indoor location-based service market is estimated to exhibit a significant expansion across North America till 2032, credited to the increasing adoption of maps and location-based services for navigation in the region. Besides, the rising penetration of smartphones coupled with the increasing internet infrastructure development activities is anticipated to support market growth in the future.
On the other hand, Asia Pacific indoor LBS market will gain remarkable momentum during the forecast timeline, due to the elevating product demand. This is attributed to the increasing infrastructure development activities in the commercial sector across the region.
The major players operating in the indoor location-based service (LBS) market include Google LLC, Cisco Systems, Inc., Qualcomm, IBM Corporation, Oracle Corporation, Microsoft Corporation, Apple Inc., Ericsson, TomTom N.V., Zebra Technologies, Ubisense, Foursquare, Pitney Bowes, Baidu, CenTrak, Galigeo, HERE Technologies (owned by Audi, BMW, and Daimler), Teldio, Navigine, infsoft GmbH, and Living Map.
These companies are largely focusing on developing innovative solutions for various end-use sectors to bolster their foothold in the market. For instance, in April 2022, Qualcomm Incorporated completed the acquisition of Arriver™ from SSW Partners. With this move, Qualcomm Technologies plans to enhance its capabilities of delivering open, fully integrated, and competitive Advanced Driver Assistance System (ADAS) solutions to automakers and Tier-1 suppliers at scale.