Global navigation satellite system end-user devices and systems will generate yearly revenues of $240bn by 2013, research predicts.
However, the implementation of GPS technology in mobile consumer devices such as handsets and digital cameras, and its indoor use, poses some "important challenges", according to ABI Research principal analyst Dominique Bonte.
"GPS technology was designed for outdoor use and specific military applications, and its weak signals and long fix times are not well-suited to indoor environments and mobile devices with low power consumption and always-on requirements," he said.
Bonte explained that "innovative workaround solutions" based on the post-processing of the GPS signal are being developed, as is the use of assisted-GPS technology to provide location and satellite data to connected devices for faster fixes and better coverage.
However, ABI Research warned that, for deep indoor environments, GPS will have to be complemented with alternative positioning technologies such as Wi-Fi, motion sensors or even TV broadcast signals.
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