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SvenOnTech has just learned that start-up GPS maker, Dash Navigation, will announce major changes today. Reports are that two-thirds of its work force, including founder and CEO, Paul Lego, will be issued pink slips. Further, former COO and newly named CEO Rob Currie has said that the Dash Express until will be discontinued as the company realigns itself and focuses on business-to-business sales.

“It’s clear that consumers love the benefits of connected navigation – from up-to-the minute traffic information to live search – as it helps them save time every day,” said Rob Currie, new CEO of Dash Navigation. “Given the current economic environment, we believe that the greatest opportunities lie in integrating our service into the broad array of connected devices on the market.”

SvenOnTech reviewed the Dash Express last summer and with an overall high rating, just could not get past the high hardware price of the unit coupled with the subscription fee. With larger companies such as Garmin and TomTom selling its wares at a one-time price to customers from Wal-mart to Amazon.com, Dash obviously had a difficult time selling its “pay a lot now…and then keep paying” model. SvenOnTech recommended in the review that hardware prices should be slashed or the subscription fee brought down significantly. Unfortunately for Dash, it did not make these changes and now the fate of the company may be doomed.

According to sources, Dash has enough capitol to make it through 2009. All current Dash users will continue to receive service and updates at least until the end of next year. Like the failed subscription-based DVD competitor, DIVX, of mid-nineties, Dash users may have a useless piece of hardware by 2010 if Dash is unable to make revenue in the positive side of the Net Income column.

Dash CEO Currie believes with the development of two-way radios in current cars and the explosion of 3G and GPS enabled smartphones, Dash will be able to successfully sale its unique product to many manufactures in the coming year. With the lackluster of well designed and made GPS units in most of todays automobiles, this would be a great opportunity for Dash and for buyers of new cars. This success will also benefit current Dash Express users with continued software updates to their units.


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