TomTom's two-way HD Traffic GPS unit clears the FCC

[Thanks, Rich]
Posts with tag tomtom



Despite issuing an early statement of objection, the EC has come around to see the merits of a TomTom / Tele Atlas deal. In fact, the two companies have received "unconditional clearance" from the European Commission for the proposed acquisition. The US already approved the deal in October. Thing is, shareholders better get a move on since the bidding-war-boosted $4.2 billion offer (plus another $300 million thanks to the weakass dollar) made in November is set to expire on May 30th. Although it could be extended. Of course, Garmin made a move for Tele Atlas early on with a $3.3 billion bid of its own. Nevertheless, with TomTom profits heading downward and Garmin's own, hotly anticipated Nuvifone on the horizon, maybe Garmin will be laughing last after all.
The war for the low end of the GPS market promises to be a bloody one, and it looks like TomTom's suffered the first major injury: quarterly profits at the device maker dropped 83 percent from last year, and the company says it's due to competitive price cuts. TomTom made a net profit of just €7.3M ($11.4M) this quarter compared to €44M ($66.2M) in the year-ago quarter, results which led the company to lower its outlook for the entire year. The company actually sold 50 percent more devices than it did a year ago, but as PND prices steadily fall, it looks like TomTom will have to figure out a new way to pad those margins and refill its piggy bank if that $4.2B all-cash Tele Atlas deal goes through.
Reuters is reporting that the European Commission, apparently having completed is inquiry into the $4.2b acquisition offer TomTom made Tele Atlas last year, is issuing a "statement of objections." It's not a flat-out rejection / do not pass go / do not collect $200, but now TomTom supposedly has until May 5th to work on resolving the issues the EU's presented before it can get the thumbs up to make its big buy.
Sure, those Mr. T / Dennis Hopper navtones were pretty humorous for a trip around the block or two, but seriously, how many times can you stand to hear "fool!" on a trip from Tuscaloosa to Fargo? That being said, we're not confident we'd want to listen to ourselves for that long, but for the folks who feel otherwise, YourPND is out to make your dreams a reality. Though the website wasn't created in our native tongue, it appears that TomTom owners (Garmin, Mio, etc. coming soon) simply record a select number of phrases to the site, after which they can cough up €7 ($10) and download the results on to their navigator. Sounds like the perfect gift for someone who just loathes hearing you talk, don'tcha think?






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