Dutch navigation device maker TomTom unveiled a traffic information service on Monday, promising drivers coverage of more roads and more frequent updates on traffic jams than existing systems.
The service, called High Definition Traffic, will initially be available only in the Netherlands on a new 400 euro ($580) navigation device, but TomTom said it planned to extend the service to other countries and existing TomTom devices next year.
The new device, dubbed “TomTom One XL HD Traffic” and due in stores this month, comes with a one-year subscription to the service. After the first year, users can extend the subscription for 10 euros per month, including data charges for transmitting the information via the built-in wireless modem.
Many navigation devices already receive traffic information broadcast alongside FM radio. TomTom said its service will cover at least 10 times more roads, including all Dutch motorways and most secondary roads, which would enable smarter rerouting or at least a more accurate estimate of the amount of time a user is stuck in a traffic jam.
The service, launched in cooperation with mobile-phone operator Vodafone, uses data gathered by anonymously tracking the movement of mobile phones through the Vodafone network to detect traffic jams.
The wireless modem built into the new device receives data over the mobile-phone network, and TomTom Chief Operating Officer Alexander Ribbink said that while TomTom is focused on traffic information for now, this opens the possibility of providing other data services in the future.
The service is a piece in the puzzle for TomTom, European market leader for navigation devices, as it seeks to move beyond just selling hardware.
TomTom is also in a contest with U.S. market leader Garmin over who will acquire control of digital-map maker Tele Atlas. It last week raised its bid for Tele Atlas by 41 percent to 2.9 billion euros.
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