Let's talk about military purposes first. We all know that GPS is developed in America. This is a system based on 24 satellites placed in orbit by the U.S. government to obtain geographical location information and accurate Coordinated Universal Time.
In other words, people all over the world are using GPS because the US government allows it. If GPS blocks the military navigation systems of other countries for national military purposes, how can we fight? Therefore, China insists on developing Beidou navigation in order not to be controlled by others in the future.
Let's talk about market factors first. Although there is no need to pay subscription fee or installation fee to use GPS, the system is operated by the US government, and its accuracy and maintenance are also fully responsible by the US government. However, the chip manufacturer of GPS has actually paid the license fee when manufacturing the chip. This cost is very low, but the volume is large and the profit will be great. China has developed Beidou navigation, which has not only positioning function, but also short message communication function. In the future, the development of Internet of Things will require higher and higher navigation accuracy, and the demand will be even greater. Think of it as a market of hundreds of billions.