Telenav has revealed that they have purchased German startup Skobbler in a deal which is reported to be worth $24 million.
The $24 million purchase price is made up of $4.6 million in common stock and $19.2 million in cash. Skobbler has released various mobile maps apps which use OpenStreetMap data, and has also licensed its technology to third parties.
Integration of OpenStreetMap into Scout
Telenav has also been using OpenStreetMap, and it now plans to further integrate the service into its free Scout navigation app, and expand its app to international markets. This strategic move is expected to enhance the functionality and reach of Scout, making it a more robust competitor in the global navigation app market.
“What we’re doing is taking Scout international basically with this acquisition. We’re rolling OSM into it and we’re taking that to be an international product offering,” Telenav’s director of traffic and navigation services, Ryan Peterson, told TechCrunch. This integration is anticipated to bring a more localized and accurate mapping experience to users worldwide, leveraging the community-driven data of OpenStreetMap.
OpenStreetMap as a Competitor
OpenStreetMap is seen as a possible competitor to Google Maps. Apple currently uses OpenStreetMap data for its Apple Maps apps on the iPhone and iPad. The open-source nature of OpenStreetMap allows for continuous updates and improvements from a global community of contributors, which can lead to more accurate and up-to-date maps compared to proprietary systems.
The acquisition of Skobbler by Telenav is a significant step in the navigation and mapping industry. Skobbler’s expertise in utilizing OpenStreetMap data has already been proven through its various mobile apps, which have been well-received in the market. By bringing Skobbler’s technology and experience under its umbrella, Telenav is positioning itself to offer a more competitive and comprehensive navigation solution.
Moreover, the move to integrate OpenStreetMap into Scout aligns with a broader trend of companies seeking alternatives to Google Maps. With increasing concerns over data privacy and the desire for more customizable mapping solutions, OpenStreetMap provides a viable alternative that is both flexible and community-driven.
In addition to enhancing the Scout app, Telenav’s acquisition of Skobbler could lead to new opportunities for licensing OpenStreetMap-based technology to other companies. This could open up new revenue streams and partnerships, further solidifying Telenav’s position in the market.
Overall, the acquisition of Skobbler by Telenav for $24 million marks a significant development in the navigation app industry. By leveraging Skobbler’s expertise and the power of OpenStreetMap, Telenav is poised to expand its reach and offer a more competitive product in the global market.
Source TechCrunch
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