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Google's Opportunity

Apple is set to release iOS 6 and with it their new Maps application built in a partnership with TomTom. This new Maps application will be replacing the old Google provided application which worked very well but lacked some of the benefits Android users had like turn-by-turn directions. Apple in their continued plan to control the main ecosystem of Apps in iOS has now taken control of the Maps application to improve user experience, but have they? Anil Dash thinks not at all saying

I've been using iOS 6 for a few months, and initially chalked up the problems I'd had to likely bugs that would be worked out as the software matured. Unfortunately, now that we all have access to the release version of iOS 6, it's evident that fundamental mapping features like venue search and directions are significantly worse than in the Google versions.

Meanwhile Jim Dalrymple in his review said

I really should mention Maps, Apple’s new turn-by-turn direction app on the iPhone. I love it. I used in Cupertino and I used it at home — it worked equally well in both places.

Stark contrast but overall the general consensus is that it is not as good as Google Maps. We will find out just how bad when it ships to the masses.

Opportunity

I am sure Google plans to release a Maps application for iOS that closely resembles the one available on Android now that they are no longer the default map provider. I also expect they will release this as a free app with banner advertisements to generate revenue. This will be the first incarnation of maps to have any kind of direct advertisement. Android Maps don’t and neither does the browser version. If they want to maintain this experience of no banner ads in Maps knowing previously they made some money from Apple for using their Maps data in iOS, the solution is simple.

Google should charge $0.99 for their Maps application when they release it. 

This would be almost the same as collecting a subsidy for each iPhone that downloads the app from Apple and still allow them to provide a stellar non-advertisement based map application for iOS until Apple gets their offering right. Yes they would still give 30% to Apple for each sale but I’m sure they previously helped Apple get a larger percent from hardware by helping iOS have a stellar Maps application. 

If Google wants to be seen as a premium Map application compared to the Apple version, keeping ugly banner ads out of the application will be a good way to go along with providing stellar directions, turn-by-turn navigation, and especially transit directions. 

Competition

Another thought is Google could decide that if there was no way to make a stellar Maps application in iOS, that they could use it as a competitive factor for Android going forward. 

Want better Maps, location and transit directions then make the switch to Android.

Already they are making updates to the Android Map app just as Apple prepares to launch theirs in iOS6

It will be interesting to see what happens next in the Maps space