This chapter begins by presenting the Location Stack, a framework created by Jeffrey Hightower, which offers an overview of an exemplary localization system with all its elements and interrelations, similar to the seven‐layer ISO/OSI model used in the field of communication systems. It introduces the first application area of positioning and thereby the formal definitions of a location‐based service (LBS), which is basically considered as the intersection of new information and communication technologies (NICTs), the Internet and geographic information systems (GISs). The chapter illustrates the "LBS ecosystem", which is an efficient parallel taken from biology, to show the many actors rotating around this business; in particular, these actors will be split into operational and non‐operational actors. It then presents taxonomies of LBSs, which are divided into the service model, application, market segment and content. The chapter focuses on the second of these classes and explains some application categories within LBSs.