Current and Potential Economic Benefits of GPS

1
Current and Potential Economic Benefits of GPS

• Joseph H. BogosianDeputy Assistant Secretary
  for Transportation and MachineryInternational
  Trade AdministrationU.S. Department of Commerce
• December 2003

2
Why the Commerce Department?

• Primary mission promote commercial market growth
  and trade
• Largest constituency of GPS users
• National Continuously Operating Reference System
  (CORS)
• Radio spectrum authority

3
Interagency GPS Executive Board
Defense
Transportation
State
Commerce
Agriculture
Interior
NASA
Joint Chiefs of Staff
4
U.S. Policy Promotes Global Market Growth

• Free signals
• Open documentation
• No licensing fees
• Standardization
• Selective Availability ended
• Modernization

5
Commerce Department Roles in Fostering GPS Market
Growth

• Promote U.S. GPS policy
• Prevent/eliminate trade barriers
• Publish market statistics
• Keep track of industry
• Promote opportunities for market development
• Represent industry within USG

6
Commercial Applications Dominate the GPS Market
2000 Revenues from GPS Equipment Sales Source
DOC, 1998
7
Worldwide GPS Hardware Sales Exceed 9 Billion
Per Year
(Projected)
Billions
Source DOC, 2001
8
GPS Sales by Geographic Region
 1998 
Japan
U.S.
47
32
 2003 
U.S.
Japan
Europe
30
44
Asia
18
Other
2
1
Europe
Asia
Other
23
2
1
Revenues from Buyers in Different Regions Source
DOC, 1998
9
Current Uses of GPS Technology

• Transportation
• Automotive
• Rail
• Maritime
• Aviation
• Space
• Industry
• Agriculture
• Construction
• E-Commerce/Finance
• Electric Power
• Engineering
• Fishing
• Forestry
• Manufacturing
• Mining
• Oil Gas
• Telecommunications
• Geography

• Recreation
• Consumer Electronics
• Hiking/Geocaching
• Boating/Fishing
• Sports
• Tourism
• Science Environment
• Weather Forecasting
• Pollution Monitoring
• Ecology Wilderness Conservation
• Toxic Waste/Oil Spill Cleanup
• Animal Behavior
• Disease Control
• Geological Change Monitoring
• Archaeology
• Time Transfer
• Military
• Force Deployment
• Logistical Support

10
New Commercial Applications Are Developed Every
Day

• Open pit mining
• Child safety
• Automatic snowplow guidance
• Spacecraft control
• Power grid management

11
Huge Potential Exists in the Market for Value
Added Services

• Software development
• Embedded applications
• Localized GIS databases
• Internet integration
• Wireless markets
• Location-Based Services

12
GPS Modernization DOC Roles

• Helped collect and advocate civilian user needs
  for the future GPS service
• Early proponent of three civil signals
• Participated in the design and frequency
  selection for the two new civil signals
• Led studies and analyses demonstrating the
  economic benefits of GPS modernization
• Endorsed high-level recommendations to the White
  House to deactivate SA and accelerate
  implementation of civilian capabilities
• Participated in Congressional outreach

13
Cooperation with EuropeCommercial Issues at
Stake

• Compatibility/Interoperability
• Nondiscrimination
• Access to Galileo signal specifications
• Access to markets

14
United States GPS Policy

• Our goals are to
• Encourage private sector investment in and use
  of U.S. GPS technologies and services.

15
For Further Information

• IGEB Executive SecretariatU.S. Department of
  Commerce
• www.igeb.govExecSec_at_igeb.gov(202) 482-5809