I recently came across a new GPS device from Dash called the Dash Express. It is marketed as the first ever Internet connected GPS device. Given that it uses both Wi-Fi and GPRS, users are almost guaranteed to always have access to the Internet and can use the embedded applications such as local Yahoo! search for movie times and restaurants, real-time gas prices, and over-the-air map updates. The last one is great for convenience so that you don't have to connect your device to a PC to get your updates. The other interesting feature is Send2Car, where you can send an address from your PC to the device over-the-air.
But the most intriguing use of the Internet capability is the Dash Driver Network, which uses real-time information from Dash Express users to update traffic conditions. This supplements the historical traffic data and sensors that Dash uses to provide an additional layer of precision to its traffic results.
However, based on initial reviews, the accuracy of the traffic information leaves something to be desired. It seems the traffic information is not as up-to-date as the leading device makers. This is somewhat surprising given its Driver Network provides real life data to the traffic maps. Of course, the Driver Network relies on users having the Dash Express, so given the product was released this past March, it is understandable that not enough users may be available yet to really see the true benefits of this feature.
Another interesting development with this product is the optional $12.99 ($9.99 with 2-year contract) monthly subscription charge to access the Internet driven features (traffic, Yahoo, gas prices). I have long since wondered why GPS makers have not charged a service fee for the GPS navigation. They are continually having to update their maps and are providing software upgrades of map information to users. In the software world, this usually comes with a fee attached, but for some reason GPS makers have not taken advantage of a potential recurring revenue stream from their customers. The primary mainstream value-added offering is XM's NavTraffic, but that hasn't reached mass market yet. I wonder if Dash's additional services like Yahoo! and over-the-air access will help to entice more people to start paying for services.
It is clear from all of this that Dash is changing the landscape of the GPS market, but they still have a little ways to go to get to its destination of a top-notch product. The sub-par traffic accuracy is fixable and may have to do with the low number of users of a newly launched product. The real opportunity is that with the ability to now offer Internet connected devices, Dash should use its first-mover advantage into Internet connectivity to figure out a way to build positive network effects around their service and become a sustainable player in the market. How can Dash make the product more valuable as more people use it? They could have IM type functionality where you find other Dash users by zip code and can press a "Traffic" or "Accident" button when you hit traffic that alerts all other Dash users within a certain radius of your zip code. This way a driver could better plan for traffic in advance of being stuck in traffic. Dash could then layer on voice functionality to allow users to send voice messages via VoIP to other users for "secret" back roads to take. These types of extensions to the current offering would go a long way in convincing people to start paying monthly fees for value-added services and start a new innovation path in the industry for Internet applications in the car.
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