Market research firm In-Stat today released a new report, “GPS Chips in Mobile Devices”, which indicates that sales of mobile devices with integrated GPS are expected to grow from 180 million units in 2007 to 720 million units in 2011.

According to In-Stat, the two largest mobile device market segments for GPS chips are cellular handsets and personal navigation devices (PNDs); the most promising portable CE categories include ultra mobile devices (UMDs), handheld games, portable media players, and digital cameras. In-Stat also expects the cellular handset market, especially the WCDMA space, to be a major battleground for GPS chipset vendors.

“Although there are external GPS receivers available for mobile PCs, PDAs, smartphones, digital cameras, handheld games, and other portable CE devices, volumes for these applications have been limited,” says Gemma Tedesco, In-Stat analyst. “Integration of GPS within these products will allow for more widespread use of GPS, and will spur much greater GPS chipset shipment volumes.”