Verizon Wireless and Loopt, a cellphone service that allows users to visually share their location information with others, on Friday announced that Loopt's service will be available to Verizon's subscribers carrying certain types of phones.
It is the third phone service deal for Mountain View California-based Loopt. The VC-backed firm signed similar deals with Boost Mobile and Sprint Nextel. Loopt also has a location-aware mobile advertising deal with CBS. (see CBS, Ad Infuse Loopt target Mobile Ads)
The service, which will be available next month, allows friends to find each other via on-screen maps that employ GPS to chart their locations. They can also send messages and photos that pertain to their location.
The service, which is offered on a strict permission basis, is targeted primarily at the youth market but has sparked some concern among adults and analysts.
"People put a lot of information out there with less concern about privacy and potential danger than certainly I would have," said David Chamberlain, an analyst with In-Stat. "Revealing your location information has all kinds of safety ramifications."
Mr. Chamberlain cites the possibility of a young woman forgetting to delete an ex-boyfriend or casual acquaintance from her friends list and opening herself up to possible danger.
Loopt users can turn their location-sharing off at any time either altogether or on an individual friend basis. The company said it works with organizations such as the Family Online Safety Institute to bolster security.
"Location is a sensitive thing and if people do not feel secure they would not use our service, so security has been a priority for us from the start," said Sam Altman, CEO of Loopt. "Users can go off the map any time they want."
The service, which will cost Verizon subscribers $3.99 per month is marketed almost exclusively to the youth market, but analysts see potential applications related to parents and certain kinds of small businesses.
"I can see this as a way for parents to keep track of their teenagers if they are out late at night or out in an unfamiliar place," said Joe Nordgaard, director of wireless consulting firm Spectral Advantage.
He also sees possibilities for small businesses that dispatch delivery people, taxi drivers, election campaign workers or any business where location tracking is critical.
"We have heard of people using our application for all kinds of reasons like keeping track of parents with Alzheimer's but our bread and butter is the community we have chosen," Mr. Altman said.
Perhaps the choice may also have a lot to do with the carriers positioning a relatively inexpensive service as a youth oriented technology, leaving room to sell more expensive applications as adult-oriented or business services.