There are loads of iPhone or similar device apps that try to do the same job as the race technologies kit. The problem is they are pretty limited in the extreme. Something I was going to develop myself actually by integrating inertial nav and satelite nav sensors and processing (3 axis accelerometer built in to most Apple products these days). The problem is that you can't get true > 1Hz sampling out of cheap off the shelf GPS devices and this makes them pretty much useless for vehicle performance analysis, also makes fusing the inertial results more difficult or rather using the GPS samples to correct for the cumulative error drift in the inertial solution (both position and speed as differential GPS speed very accurate). Inertial measurement is very accurate over short time scales or if you assume a straight line aka 0-60 and 60-0 measurement like in the Gtech pro, very quickly falls apart into a big error if one tries to use it to do something like measure a lap. Luckily I didn't waste to much of my own time and money before I realised that an iPhone app was never going to be anywhere near as good as the race technologies kit (DL-1, videobox etc), but would be competing in the gutter of almost free iPhone apps against a plethora of toys.
Proper lap timers use either the magnetic strip across the track or an IR beacon on the pit wall, they are accurate to 1/100th of a second. Ppl trust the race technologies kit because it has a demonstrated record of being highly accurate and providing results that agree with traditional timing solutions.