My experience this morning was that it did indeed start out like that, but that it improved over the course of five minutes. Even at its worst it allowed navigation within a small village. My guess is that when the gps fix is imprecise (big circle if you use Google Maps) it errs on the side of assuming you're further back than you are, but as it refines the fix it gets more accurate. After five minutes it was showing me passing side streets at exactly the same time that I actually was.