TomTom saves new ground with its own action camera – Update – Beurs.nl

                         Wednesday, April 29, 2015 18:45 (Update of previously published message ‘TomTom Action Camera shares footage by shaking’ to add more information and commentary CEO)

AMSTERDAM (Dow Jones) – TomTom NV ( TOM2.AE) comes with its own action camera, which the Amsterdam navigation specialist after the introduction of GPS sports watches again wants to tap a new source of income.
“We do this not only because it is a growing market, but also because we think we can do it better, “says Peter-Frans Pauwels, co-founder of TomTom, Wednesday during the product presentation in Amsterdam.
The action camera is called the TomTom Bandit and the first with a built-in media server, which allows the videos to for example, can be sent a smartphone. Which can then quickly assemble and share images via social media such as Facebook.
“Installation is difficult and time consuming. Most do it therefore only once. We wanted to change fundamentally,” said Pauwels.
Through height and velocity, g-force sensors and a heart rate monitor, the camera via algorithms which are the exciting moments that the maker does not have to look up. The camera can also take a decision whether to make an example. “We have the assembly time reduced from hours to minutes,” said Pauwels.
Although it is a market that TomTom does not know and action cameras have no apparent ties to the navigation which the company has grown, the board did the Amsterdam company does not have to think long. “It was pretty simple. There were a couple of guys with an idea and we felt fantastic so we have put them to work,” said Chief Executive Harold Goddijn told Dow Jones Newswires.
“We know a lot of software and production of consumer and brand and distribution. And it’s not directly related to navigation we really like, “he continues. “It’s a big market and we think he also continues to grow. We’re trying to get a foot in the door.”
TomTom will particularly need to compete with the American GoPro (GPRO), the largest player on the market

for action cameras. “It is quite a challenge to get right in between, but I think we have a good product.”
Important in this competition is that the Bandit is not inferior in quality video, continues the CEO. Therefore firmly invested in good lenses and video chips. “But we are competing mainly on the unique elements and that’s where we solve a usage problem. Editing and sharing videos where the campaign is aimed at.”
Sales targets or market share are still not the greatest interest, it is important for Goddijn to see how customers appreciate the camera. “If we know that it is good, we can go faster.”
Action Cameras are so new to TomTom, but the sales are comparable to those of the navigation tables: online and through mass retail. The Bandit is available from May to EUR429 via the TomTom website and selected retailers. First in Europe and then in the US and Asia.
When the product is accretive to earnings Goddijn can not say. “It can be very hard with consumer products, we are now going to look,” said the CEO asked.
TomTom suffered in recent years with sharply declining revenues from individual navigation boxes by competition from free navigation on smartphones. For 2015 the company expects, however, for the first time in years of growth, primarily due to the continued growth of the actitiviteiten in the field of fleet management and increasing sales of GPS sport watches.
With the introduction of action cameras as possible new growth engine TomTom Nevertheless, too much on his fork, finds Goddijn. Telematics has its own board and budget and the same for the consumer division. “So I’m not as afraid of,” he concludes

By Ben Zwirs.; Dow Jones Newswires; + 31-20-5715200; ben.zwirs@wsj.com

(END) Dow Jones Newswires
April 29, 2015 12:45 ET (16:45 GMT)