Navigon have announced their intention to withdraw from the US satnav market, citing the “difficult economic environment” and “aggressive pricing”. Despite describing the exit as potentially temporary, Navigon CEO Egon Minar did confirm that the company’s Chicago office has seen a “significant number” of job losses; those that remain on will operate as a skeleton support staff “to fulfill all obligations to our existing PND customers in terms of map update[s], etc.”
Navigon’s North American push will now focus on software solutions, predominantly aimed at getting their PND app loaded on cellphones and smartphones. The company already has a deal with T-Mobile Germany, and is looking to extend that to the carrier’s North American arm.
Discount pricing during the aggressive Christmas period has been tipped as the biggest reason for Navigon’s demise in the US. Budget PNDs were joined by brand-name models in a race to the bottom line, and the company’s premium range – such as the 7200T, a feature-packed unit which we reviewed last November – failed to find buyers with an MRSP of $449.