Locadio's signal strength-based technology makes it possible to locate objects inside buildings. Requiring no specialized hardware, it adds value to the existing IEEE 802.11 wireless data network. The technique incorporates probabilistic models of motion, walking speed, and building layout, which significantly improve the precision of location detection without increasing calibration effort. Interpolating calibration information from a sparse set of initial calibration nodes decreases the calibration effort by half, without compromising precision.

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Microsoft has filed several patents to protect the front end and back end of this technology, and has currently over 10 issued US patents (and several corresponding patents in other countries as well as over 20 pending patents), some of which are considered to be fundamental regarding any type of wireless-enabled location detection. A list of the patents is available on request.