Intel to Shut Down Telmap

Intel to Shut Down Telmap
Following rumors last week (see our previous report), Intel Israel has announced on Sunday the shut down of mobile navigation software provider Telmap.

Reported by Israeli newspaper Globes, Intel Israel said, "Intel is prioritizing its business activities. As a result, Intel has decided to close Telmap and to quit the navigation solutions for private consumers and White Label business."

A local source in Israel confirmed to GPS Business News that most Telmap employees have been made redundant. A few have been transfered to Intel Israel to work on a project unrelated to GPS navigation.

Intel had acquired Telmap in September 2011. Although the value of the deal was not disclosed at the time, the amount of the acquisition was reported to be $120 million.

Intel strategy behind this acquisition questioned
At the time of the acquisition industry experts and media - including GPS Business News - did not really understand the strategy behind this deal.

“This move is a step towards expanding our mobile software services capabilities as Intel continues to grow in the area of software and services“ said Peter Biddle, the general manager of Intel AppUp (the consumer software portal of Intel), the day when the company was bought.

“Location is key for AppUp“, added Oren Nissim, the CEO of Telmap in a phone interview at the time (read here).

It comes in light today that this strategy did not work out as expected.

Monday, July 29th 2013

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