Apple Buys Placebase; a Google Break Imminent?

Just how important is mapping when it comes to Apple (News - Alert) and Google? Apparently, it is important enough for Apple to purchase Placebase, an online mapping company. The important element here is that the purchase was made rather quietly. Perhaps Apple didn’t wish to upset Google (News - Alert) in the process.

Before this acquisition, Apple depended upon Google, specifically its Google Maps, for its iPhone (News - Alert) operating system. Now, such an arrangement certainly didn’t drive Google’s success, but can the search giant afford a split from a powerhouse like Apple and its hyper-successful iPhone?

It may take more speculation to find out as no one in this circle of business is really talking about the specifics. In fact, the news of the acquisition was not made in a press release, but instead in an unofficial tweak on Twitter.

Brian X. Chen of Wired reported on Thursday that former Placebase CEO, Jaron Waldman is now part of the Geo Team at Apple. This new position announcement is according to Waldman’s LinkedIn profile. There appears to be no mention of the description of his duties or the role of the Geo Team itself.

As the tech industry continues guessing, one of the biggest questions asked is: why would Apple make this purchase? Chen highlights the most obvious answer – to buy the maps. The current Maps app within iPhone does pull geographic data from the Google (News - Alert) Maps service, but the app itself is coded by Apple. Still – the partnership is good for Google.

With its own mapping technology, Apple may no longer need to reply on Google as it could incorporate its own mapping technologies. Apple could also take advantage of the opportunity to innovate around mapping and add features it currently lacks.

“As Apple and Google’s interests diverge, expect Apple to find ways to rely less and less on Google services,” said Michael Gartenberg, a tech strategist at Interpret, in Wired. “It’s happening already.”

As quickly as technology moves, the full integration of new acquisitions does not. It could be some time before the market understands exactly what Apple has in store for this new division.

Apple has been enjoying comfortable success in the global market as it easily delivered beyond expectations with the iPhone. New speculation for a service platform has industry analysts paying close attention.

This acquisition could signal Apple’s intentions to take mobile search to a whole new level. As it stands, the mobility options available do not meet mobility options demand. Perhaps Apple hopes to change that in an effort to continue to drive dominance.