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| Wednesday, 23 April 2008 | |
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New research predicts growing revenues from mobile entertainment services.
Forecasts just published by Analysys Research suggest that revenues from the US market for mobile media and entertainment (MME) services will more than double within five years, reaching US$6.6bn in 2012 compared to US$3.1bn last year. The figures, contained in ‘Mobile Media and Entertainment in the US: forecasts 2007-2012’, do not include the related messaging, browsing and data charges, and apply to content revenues alone. The report predicts that most of this revenue growth will occur after 2010 as the technologies involved in delivering and accessing MME improve and demand for such services begins to grow more rapidly and mature. "Operators, content providers and device manufacturers will have to work together to increase subscriber awareness of MME offerings and to ensure straightforward pricing, and simpler purchase and delivery processes", according to Alexandra Rehak, co-author of the report. Among the key drivers identified in the report are: • improved mobile Web browsing platforms for more user-friendly access to content; • wider availability of content, driven in part by increased availability of 3G, 3.5G and MediaFLO; • improved user experience removing inhibitors to take-up and use; • simplified and more attractive pricing of MME content. While MME is clearly a rich new opportunity for producers and owners of content, it also represents a lucrative source of revenue for network operators. One key factor will be how these two camps agree to divide the spoils while bringing prices down to levels that the market can afford. Jim Chalmers |
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