Garmin – Asustek Partnership To End

After disappointing sales of its nuvifone, we reported back in September that Garmin was considering its options with its smartphone unit. Now, Reuters is reporting that Asus plans to end its mobile phone agreement with Garmin, thereby paving the way for Garmin to exit the smartphone business altogether.

A company official for Asustek said more details will be available Tuesday. Although the smartphone market is enjoying huge growth, the Garmin Asus partnership hasn't delivered the volumes either company had hoped for.

If you'll recall, the nuvifone was initially met with much anticipation and hype. However, that excitement dwindled as the smartphone faced one delay after another and other offerings such as the iPhone became available.

By exiting the smartphone market, Garmin could improve its earnings and also free up some resources to begin competing in other markets, such as navigational apps for the iPhone and Android platforms. Garmin's rival TomTom currently offers a navigation app for the Apple iPhone.

Via:  Reuters
AKwyn 4 years ago

Well it's surprising. When such a product is delayed into oblivion and is shown to disappoint (especially considering the thousands of iPhone apps there are for navigation and the underwhelmingness of the phone itself) then it makes sense for Garmin to exit the smartphone business.

I'm expecting their smartphone apps to be good though.

IBoudville 4 years ago

After the recent launch of the Android-based Garmin-Asus A10, it is indeed surprising that they are calling off this partnership. I would have thought that they would wait to gauge the results of this latest venture before calling it quits. The early Windows Mobile 6.5 based M10 left much to be desired compared to other phones but this new model seems to be better off by a mile, and with Windows Phone 7 just released perhaps another attempt would be made before they finally decide to throw in the towel. In my opinion it's a little premature to call it quits now.

bob_on_the_cob 4 years ago

I'm not a Garmin fan. They rip you to hard for maps. Getting hit by them and a cell phone company? No thanks. I can totally see why they are not selling.

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