Why do GPS units cost so much?

[bs9999]

I was in Best Buy the other day and noticed that most of their GPS units were selling for $400 or higher...the one unit which i felt had the bare minimums of what should be a GPS unit cost upwards of $849 on sale!! I can buy an iPhone (which has more technology in it, i might add) for less than that price. So what gives, why do GPS units cost so much???

A GPS unit is made up of a low res LCD screen, a frequency tuned receiver to pick up the coordinates beamed down from the geosynced satelites, internal computer memory to store the pre-installed map for the geographic region, and a touch screen display (usually). I would figure adding a $20 receiver unit to the iPhone could make a kick-ass GPS unit for less money...and i would be able to do more on the iPhone.

Can someone explain why GPS units cost so much because i feel it's an industry (like the gas industry) where they have high markups and customers are happy to pay it.

And GPS units have been out for cosumer purchasing for at least far back as 2000 when i had one.

Thanks

[old_old_7]

Made in asia will be 10 times cheaper, at lease.

[hightech]

bs9999,

I agree with what you say. These things are overpriced. In fact, you can get a cell phone with GPS and do this stuff free. Telus has a Navigator feature that works on some phones and offers GPS for $10 a month. $120 a year is not a bad deal.

[rabbit]

Because GPS doesn't require a three year contract and can be used worldwide, unfettered.

[thesk8man]

why does nestle bottled water cost so much? all it is water which is filtered and a plastic bottle? ummm....

[Badman]

i think part of this they make you pay is for the maps and the satellite usage. Look at the cost at some of the map updates alone.

[Kasakato]

I got a GPS for my PDA for $30, there's your GPS hardware. PDAs these days can be found for $50, theres your computer and LCD screen. The maps cost me $450.

[sexpuppet6000]

I can buy an iPhone (which has more technology in it, i might add) for less than that price.

iphone doesn't have gps

[Kwirky]

Save hundreds on personal navigation in this thread: http://www.redflagdeals.com/forums/showthread.php?t=435398 :cheesygri

[ShadowVlican]

Save hundreds on personal navigation in this thread: http://www.redflagdeals.com/forums/showthread.php?t=435398 :cheesygri
lol that's not navigation unless u got someone reading the map to you while u drive (and they need to know all the POI and be able to give alternate directions too ;) )

[rabbit]

i think part of this they make you pay is for the maps and the satellite usage.

Yeah. The CD/DVD isn't expensive, but the software on it is.

[Kasakato]

i think part of this they make you pay is for the maps and the satellite usage. Look at the cost at some of the map updates alone.

The sats are paid for by US tax payers. The US gov funds the program.