TomTom NV, Europe’s largest maker of portable navigation devices said Tuesday it will provide maps for Apple Inc.’s newly announced mapping service.
“TomTom has signed a global agreement with Apple for maps and related information,” the satnav firm said in a canned statement, though naturally it’s not interested in giving any further details at all.
“The deal is a boost for TomTom because of the huge installed base of Apple product users and because of the brand and all that it stands for itself: innovation, ease of use and quality,” Martijn den Drijver, an Amsterdam-based analyst at SNS Securities, wrote in a note to investors.
Apple announced Monday at its World Wide Developers Conference that an upcoming version of its iOS operating system features a maps app with Apple-designed cartography, turn-by-turn navigation, and interactive 3-D views, placing the company in competition with Google’s Maps product.
Apple had said that its new mapping application provides real-time traffic information and suggests alternative timesaving routes. It’s connected to local-search information, including Yelp ratings, reviews and deals.
Europe’s largest manufacturer of navigation devices saw its share price jump by at least 10 percent yesterday following the announcement — after watching profit margins slump in the first quarter of 2012.
TomTom has performed poorly in comparison to larger competitor Garmin Ltd, and in April reported a €1.5 million first quarter loss, with sales down 12 percent to €233 million.
Inautonews has contacted Apple for more information and will update this report when we learn more.