Why would turn-by-turn navigation need updated firmware?

There were various reports today that Apple is testing their 2.1 firmware for the iPhone, and one major feature will be improved GPS tools. In particular, items such as direction and speed tracking are reported to be in there. While I can see their usefulness, why are they necessary? If you get a mere two points from a GPS, you can very easily determine speed and heading, and theoretically could have a full-featured turn-by-turn system using that info.

I’ll admit I’m not an expert on GPS, but that’s how it looks to me. Am I missing something here?

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