The Global Positioning The Global Positioning SystemSystem

A Worldwide Information UtilityA Worldwide Information Utility

The Global Positioning The Global Positioning SystemSystem

A Worldwide Information UtilityA Worldwide Information Utility

November/December 2000November/December 2000

OverviewOverview

• PolicyPolicy• Applications & MarketsApplications & Markets• AugmentationsAugmentations• Sustainment & ModernizationSustainment & Modernization• International CooperationInternational Cooperation

PolicyPolicyPolicyPolicy

GPS is a Dual-Use SystemGPS is a Dual-Use System

• Cold War spinoffCold War spinoff– Developed in 1970s-1980s to support Allied Developed in 1970s-1980s to support Allied

forcesforces– Prominent in Gulf War, KosovoProminent in Gulf War, Kosovo– After KAL-007, civilians gained free access After KAL-007, civilians gained free access

to Standard Positioning Serviceto Standard Positioning Service

• Commercial use now dwarfs military Commercial use now dwarfs military useuse

• GPS policy is managed at a national GPS policy is managed at a national level by the Interagency GPS Executive level by the Interagency GPS Executive Board (IGEB)Board (IGEB)

Agriculture

Commerce State

Interior

NASA

Justice

Joint Chiefs of Staff

Defense Transportation

Interagency GPS Executive BoardInteragency GPS Executive Board

United States GPS PolicyUnited States GPS Policy

• Presidential Decision Directive signed Presidential Decision Directive signed in 1996, endorsed by Congress in 1998in 1996, endorsed by Congress in 1998

• GPS Standard Positioning Service to GPS Standard Positioning Service to remain free of direct user feesremain free of direct user fees

• U.S. to promote acceptance and use of U.S. to promote acceptance and use of GPS as a world standardGPS as a world standard

• Selective Availability -- ended May 2000Selective Availability -- ended May 2000• IGEB to manage GPS as a national assetIGEB to manage GPS as a national asset

United States GPS Policy, United States GPS Policy, cont’d.cont’d.

• Encourage private sector investment Encourage private sector investment in/use of GPS technologies and servicesin/use of GPS technologies and services

• Promote safety and efficiency in Promote safety and efficiency in transportation and other fieldstransportation and other fields

• Promote international cooperation in Promote international cooperation in using GPS for peaceful purposesusing GPS for peaceful purposes

• Advance scientific and technical Advance scientific and technical capabilitiescapabilities

• Strengthen and maintain national Strengthen and maintain national securitysecurity

Applications & MarketsApplications & MarketsApplications & MarketsApplications & Markets

Worldwide Sales of GPS Goods Worldwide Sales of GPS Goods & Services Will Reach $16B by & Services Will Reach $16B by

20032003

Worldwide GPS Revenues Worldwide GPS Revenues By Market SegmentBy Market Segment

Car NavigationCar Navigation

• On-board navigationOn-board navigation• Fleet managementFleet management• Roadside assistanceRoadside assistance• Stolen vehicle Stolen vehicle

recoveryrecovery• Enhanced servicesEnhanced services• Mass market Mass market

dominated by Japandominated by Japan• Dataquest: Unit sales Dataquest: Unit sales

of chips for car of chips for car navigation to reach navigation to reach 11.3M in 200111.3M in 2001

• $4.7B sales by 2003$4.7B sales by 2003

Consumer/RecreationalConsumer/Recreational

• Portable receivers Portable receivers for fishermen, for fishermen, hunters, hikers, hunters, hikers, cyclists, etc.cyclists, etc.

• Recreational Recreational facilities -- golf facilities -- golf courses, ski resortscourses, ski resorts

• Integration of GPS Integration of GPS into cellular phonesinto cellular phones– E-911 requirementE-911 requirement

• $3.8B market by $3.8B market by 20032003

Surveying/Mapping/GISSurveying/Mapping/GIS

• Sub-centimeter accuracySub-centimeter accuracy• 100%-300% savings in 100%-300% savings in

time, cost, & labortime, cost, & labor– Control survey point: Control survey point:

$10,000 in 1986; $250 in $10,000 in 1986; $250 in 19971997

• Rural electrificationRural electrification• Telecom tower Telecom tower

placementplacement• PipelinesPipelines• Oil, gas, and mineral Oil, gas, and mineral

explorationexploration• Flood plain mappingFlood plain mapping• $3.12B market by 2003$3.12B market by 2003Electricidade de Portugal Electricidade de Portugal

Group uses GPS to survey Group uses GPS to survey the border of the Alqueva the border of the Alqueva

damdam

Tracking/Machine ControlTracking/Machine Control

• Package/cargo Package/cargo deliverydelivery

• Fleet and asset Fleet and asset managementmanagement

• Theft recoveryTheft recovery• Public safety and Public safety and

servicesservices• Farming, mining, and Farming, mining, and

construction construction equipmentequipment

• DGPS/RTK required for DGPS/RTK required for many applicationsmany applications

• $3B market by 2003$3B market by 2003GRUPISA (Madrid)

FGC (Barcelona)FGC (Barcelona)

Public ServicesPublic Services

• City planningCity planning• Transportation Transportation

infrastructureinfrastructure– Road Billing Network Road Billing Network

(ROBIN)(ROBIN)– SnowplowsSnowplows

• Emergency responseEmergency response– Law enforcementLaw enforcement– Fire fightingFire fighting– Search and rescueSearch and rescue– ParamedicsParamedics– Disaster reliefDisaster relief

AviationAviation

• GPS approved for GPS approved for en-route navigationen-route navigation

• More efficient flight More efficient flight routing leads to fuel routing leads to fuel savingssavings

• Better tracking of Better tracking of aircraft enhances aircraft enhances safetysafety

• Closer spacing of Closer spacing of planes increases planes increases airspace capacityairspace capacity

• $710M market by $710M market by 20032003

Maritime NavigationMaritime Navigation

• GPS-based vessel tracking GPS-based vessel tracking and traffic management and traffic management maximizes effectiveness of maximizes effectiveness of waterwayswaterways

• Improved safety increases Improved safety increases maritime commercemaritime commerce

• Maritime DGPS service for Maritime DGPS service for enhanced accuracy and enhanced accuracy and safety available in 34 safety available in 34 countriescountries

• $210M market by 2003$210M market by 2003

Original Equipment Original Equipment ManufacturersManufacturers

• ChipsetsChipsets• Electronic boardsElectronic boards• Antennas, componentsAntennas, components• Standalone receiversStandalone receivers• $690M market by 2003$690M market by 2003

MilitaryMilitary

• GPS is a recognized GPS is a recognized NATO standardNATO standard

• GPS is required on GPS is required on all U.S. military all U.S. military systemssystems

• Precision munitions Precision munitions widely used during widely used during Gulf War, KosovoGulf War, Kosovo

TimingTiming

• GPS offers an inexpensive GPS offers an inexpensive alternative to costly, high alternative to costly, high maintenance timing equipmentmaintenance timing equipment

• Telecommunications network Telecommunications network synchronization & managementsynchronization & management– Phones, pagers, wireless systemsPhones, pagers, wireless systems

– LANs, WANs, InternetLANs, WANs, Internet

• Financial transactionsFinancial transactions

• Electrical power grid Electrical power grid management & fault locationmanagement & fault location

• Digital signatures for e-Digital signatures for e-commercecommerce

• Some estimate the timing Some estimate the timing market at $40-100Mmarket at $40-100M

Scientific ResearchScientific Research

• Monitoring Monitoring geological changegeological change– Glaciers, tectonic Glaciers, tectonic

plates, earthquakes, plates, earthquakes, volcanoesvolcanoes

• Wildlife behaviorWildlife behavior• Atmospheric Atmospheric

modelingmodeling– Water vapor contentWater vapor content

• Oceanic studiesOceanic studies– Tidal patternsTidal patterns– Surface mappingSurface mapping

• Time transferTime transfer

Environmental ManagementEnvironmental Management

• ForestryForestry• Wetlands Wetlands

managementmanagement• Natural resource Natural resource

managementmanagement• Fisheries boundary Fisheries boundary

enforcementenforcement• Endangered species Endangered species

and habitat and habitat preservationpreservation

• Hazardous material Hazardous material cleanupcleanup– Oil spills, toxic wasteOil spills, toxic waste

Emerging GPS ApplicationsEmerging GPS Applications

• Entrepreneurs and scientific Entrepreneurs and scientific researchers invent new applications researchers invent new applications almost every dayalmost every day

• Higher precision is necessary for many Higher precision is necessary for many cutting-edge applicationscutting-edge applications– Differential GPS (DGPS)Differential GPS (DGPS)– Relative DGPSRelative DGPS– Carrier phase positioningCarrier phase positioning– Real-Time Kinematic (RTK)Real-Time Kinematic (RTK)– Post-processingPost-processing

Precision AgriculturePrecision Agriculture

• Maximize use of resourcesMaximize use of resources– Optimized plowing of crop rowsOptimized plowing of crop rows– Tailored applications of seeds, Tailored applications of seeds,

fertilizer, water, pesticidesfertilizer, water, pesticides– Improved management of land, Improved management of land,

machinery, personnel, timemachinery, personnel, time– Greater crop yieldsGreater crop yields– Net benefit: $5-14 per acreNet benefit: $5-14 per acre

• Minimize environmental Minimize environmental impactsimpacts– Localized identification and Localized identification and

treatment of distressed crops treatment of distressed crops reduces chemical usereduces chemical use

– Precise leveling of fields prevents Precise leveling of fields prevents fluid runofffluid runoff

Open Pit MiningOpen Pit Mining

• Enhanced Enhanced management of management of assets, equipmentassets, equipment

• Progress tracked in Progress tracked in real-time, remotelyreal-time, remotely

• Improved machine Improved machine control saves time, control saves time, lowers maintenance lowers maintenance and fuel consumption, and fuel consumption, prevents accidentsprevents accidents

• Rapid surveying for Rapid surveying for drilling blast holesdrilling blast holes

• Smaller, more Smaller, more empowered workforceempowered workforce

Space ApplicationsSpace Applications

• Improved orbit and Improved orbit and attitude control for attitude control for spacecraftspacecraft– International Space StationInternational Space Station– Crew return vehicleCrew return vehicle– PoSat-1 microsatellitePoSat-1 microsatellite

• Advance Land Observing Advance Land Observing Satellite uses GPS to Satellite uses GPS to calibrate high resolution calibrate high resolution radar mapsradar maps

• Satellite formation flyingSatellite formation flying• Space launch range Space launch range

safetysafety

ConstructionConstruction

• Machinery, asset, Machinery, asset, and personnel and personnel managementmanagement

• Rapid surveys for Rapid surveys for laying foundation laying foundation piles, etc.piles, etc.

• Accident preventionAccident prevention

• Remote control of Remote control of machinery possiblemachinery possible– Japanese volcano damJapanese volcano dam

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Europe is a Major Player Europe is a Major Player in the GPS Marketin the GPS Market

• Rapid growth projected, especially in Rapid growth projected, especially in car navigation sectorcar navigation sector

• Many European firms provide GPS Many European firms provide GPS goods and servicesgoods and services– 45 identified by Booz-Allen Hamilton45 identified by Booz-Allen Hamilton

• European governments are European governments are investing in GPS augmentation investing in GPS augmentation and reference systemsand reference systems– Maritime DGPSMaritime DGPS– EGNOSEGNOS– EUREF Permanent NetworkEUREF Permanent Network

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The Market is Wide OpenThe Market is Wide Open

• Civil signals are freely available, right nowCivil signals are freely available, right now• Openly published GPS specifications allow Openly published GPS specifications allow

anyone to build receivers (no licensing anyone to build receivers (no licensing fees)fees)

• Hardware is becoming a commodityHardware is becoming a commodity• Huge potential exists in value-added Huge potential exists in value-added

servicesservices– Software developmentSoftware development– Embedded applicationsEmbedded applications– Localized GIS databasesLocalized GIS databases– Internet integrationInternet integration– Wireless marketsWireless markets

Unit Cost of Receivers Is Unit Cost of Receivers Is Falling At ~30% Per YearFalling At ~30% Per Year

00

$200$200

$400$400

$600$600

$800$800

19911991 19931993 19951995 19971997 19991999

Source: U.S. GPS Industry Council

Projected Relative Market ShareProjected Relative Market Share

AugmentationsAugmentationsAugmentationsAugmentations

Sustainment & Sustainment & ModernizationModernizationSustainment & Sustainment & ModernizationModernization

International CooperationInternational CooperationInternational CooperationInternational Cooperation

International CooperationInternational Cooperation

• Promote acceptance and peaceful use Promote acceptance and peaceful use of GPS and its augmentationsof GPS and its augmentations– International offering of GPS to ICAO and International offering of GPS to ICAO and

IMOIMO• Service Service freefree of direct user charges of direct user charges• Non-proprietary signal standards for civil servicesNon-proprietary signal standards for civil services

– GPS Augmentations -- Worldwide GPS Augmentations -- Worldwide interoperabilityinteroperability• Space-based systems (WAAS, MSAS, EGNOS) for Space-based systems (WAAS, MSAS, EGNOS) for

aviationaviation• Land-based DGPS technology for maritime and Land-based DGPS technology for maritime and

terrestrial uses: already adopted by 35 countriesterrestrial uses: already adopted by 35 countries• Global, non-proprietary standardsGlobal, non-proprietary standards

Principles for CooperationPrinciples for Cooperation

• No direct user feesNo direct user fees for civil and public safety for civil and public safety servicesservices

• Ensure Ensure open marketopen market driven competition for user driven competition for user equipment and applicationsequipment and applications

• Open signal structureOpen signal structure for all civil services to for all civil services to promote equal access for applications promote equal access for applications development and value added servicesdevelopment and value added services

• Protection of the current radionavigation Protection of the current radionavigation spectrum from disruption and interferencespectrum from disruption and interference

• Use of GPS time, geodesy, and signal structure Use of GPS time, geodesy, and signal structure standardsstandards

• Seamless, global Seamless, global interoperabilityinteroperability of future of future systems with GPSsystems with GPS

• Recognition of national and international Recognition of national and international security issues and protecting against misusesecurity issues and protecting against misuse

U.S. - Japan CooperationU.S. - Japan Cooperation

• September 1998: Joint Statement signedSeptember 1998: Joint Statement signed• GPS based augmentationsGPS based augmentations• Largest commercial market share for Largest commercial market share for

products and servicesproducts and services• September 1999: Working Groups met in September 1999: Working Groups met in

Washington, D.C.Washington, D.C.– PolicyPolicy– TransportationTransportation– Commercial & ScientificCommercial & Scientific

• Next plenary session in TokyoNext plenary session in Tokyo

U.S. - Russia ConsultationU.S. - Russia Consultation

• May 19 in Washington, D.C.May 19 in Washington, D.C.• Excellent dialogueExcellent dialogue

– Many common viewsMany common views– Principles of CooperationPrinciples of Cooperation

• Next meeting in Fall 2000 in MoscowNext meeting in Fall 2000 in Moscow

U.S. - E.U. ConsultationsU.S. - E.U. Consultations

• Use of GPS and its augmentations for Use of GPS and its augmentations for commercial products and services commercial products and services incorporating open signal structureincorporating open signal structure

• 1998: U.S. presented draft Framework 1998: U.S. presented draft Framework Agreement based on GPS and its Agreement based on GPS and its augmentationsaugmentations– Consider inclusion of: International Advisory Consider inclusion of: International Advisory

Commission, Intent of Guarantee, Statement of Free Commission, Intent of Guarantee, Statement of Free ServiceService

• 2000: Cooperation concept2000: Cooperation concept– Stage 1: Framework Cooperative Agreement based Stage 1: Framework Cooperative Agreement based

on Principles of Cooperationon Principles of Cooperation– Stage 2: Working groupsStage 2: Working groups– Stage 3: Follow-on agreement to cover Galileo Stage 3: Follow-on agreement to cover Galileo

operations phaseoperations phase

U.S. - E.U. Draft AgreementU.S. - E.U. Draft Agreement

• Presented to the Commission on October 5Presented to the Commission on October 5• Embodies GPS Policy & Principles of Embodies GPS Policy & Principles of

CooperationCooperation– Government provided satellite signals free of user feesGovernment provided satellite signals free of user fees– Interoperability with GPSInteroperability with GPS– Open signals for critical infrastructure and safety-of-Open signals for critical infrastructure and safety-of-

life serviceslife services– Open specifications and markets for civil equipment Open specifications and markets for civil equipment

and servicesand services– Users choose which system or combination best meet Users choose which system or combination best meet

their needstheir needs

• Recognizes efforts of other fora: ICAO, IMO, ITURecognizes efforts of other fora: ICAO, IMO, ITU• Accounts for different levels of system maturityAccounts for different levels of system maturity• Lays foundation for future cooperationLays foundation for future cooperation

U.S. Questions About GalileoU.S. Questions About Galileo

• To be understood:To be understood:– Revenue stream generationRevenue stream generation– Future regulatory actionsFuture regulatory actions– Required use (mandate through standards)Required use (mandate through standards)– Interoperability of free open system with Interoperability of free open system with

fee-based encrypted systemfee-based encrypted system• Safety of life applicationsSafety of life applications

– Prevention of misusePrevention of misuse– Open specifications and standards for equal Open specifications and standards for equal

worldwide market accessworldwide market access– Spectrum useSpectrum use– Security serviceSecurity service

SummarySummary

• GPS is a key component of the global GPS is a key component of the global information infrastructureinformation infrastructure

• U.S. is committed to providing GPS service U.S. is committed to providing GPS service free of direct user fees to users worldwidefree of direct user fees to users worldwide

• Adherence to U.S. principles has led to GPS Adherence to U.S. principles has led to GPS standardization and market growthstandardization and market growth

• GPS modernization is under wayGPS modernization is under way• U.S. is continuing international outreach to U.S. is continuing international outreach to

further understanding of GPS, its further understanding of GPS, its augmentations, and its applicationsaugmentations, and its applications

• U.S. is fostering international dialogue to be U.S. is fostering international dialogue to be responsive to global user needsresponsive to global user needs