Loopt struck a deal with SnapTrack, a subsidiary of Qualcomm, that should dramatically lower costs for CDMA carriers offering location-based services (LBS).

One of the things holding LBS services back has been the cost structure, according to Loopt CEO and co-founder Sam Altman. The cost structure has been out of whack, he said, making it costly for carriers to offer the services. 

But with the new deal with SnapTrack, costs will come down, he explained. Instead of paying several cents every time a location is accessed, the cost will be tenths or hundreths of that. Loopt is using SnapTrack’s QPoint location-based server software to provide social mapping and other advanced location services.

Loopt is combining that with its privacy software and technology to do things like make location available in WAP browsers. It’s licensing it to carriers and other partners so instead of five LBS applications, they can offer hundreds, Altman said.

The idea is Qualcomm will take in less in per-action licensing fees but gain more volume.

Loopt did a similar deal in the GSM world with SiRF, so now it has both the GSM and CDMA sides covered.