Mobile TV services to generate over USD10 billion in revenues in 2013, claims research
Revenues from Mobile TV services will generate USD1.5 billion in 2008, rising to over USD100 billion in 2012, according to research by Informa Telecoms & Media. At present the revenues are said to be predominantly from subscription fees but this is expected to change over time as the advertising business model starts to gain prominence. Informa believes that by 2013 nearly half of the revenues will come from advertising.
According to Informa, in the next two years, growth is anticipated to be strongest in the pioneering markets of South Korea and Japan before the rest of the world starts to catch up around 2010/2011. Despite isolated success stories in places like Italy and Austria, Europe is not expected to see rapid growth in Mobile TV until 2009. The USA is expected to take even longer as confusion over standards prevents growth. Eventually, concerted momentum behind ATSC-MH is expected to boost the market for mobile TV in North America.
"As the owner of the marketing and billing relationship with subscribers, operators are in the best position to offer mobile TV services", comments Shailendra Pandey, Senior Analyst at Informa Telecoms & Media. "It seems that a good approach for mobile operators will be to start with a free-to-air business model which also involves minimum capital investment. Once user uptake of services starts to grow, operators can then think of developing new revenue models that can be established on top of the free-to-air content platform", adds Pandey.
Most in the industry believed that Mobile TV was going to reach the mass market a lot earlier than has been the case. A number of market and technology barriers have conspired to delay the widespread adoption of mobile TV by consumers and growth in many regions is still fragile.
Research from Informa Telecoms & Media shows that the future of Mobile TV will not be just broadcast or 3G but will be a mix of technologies matched to a mix of audience experiences.
Share this article with others
Post to del.icio.us
Printed from http://www.mobileeurope.co.uk/news_wire/114307/Mobile_TV_services_to_generate_over_USD10_billion_in_revenues_in_2013%2C_claims_research.html
Comment on this article
Skip to comments
We encourage users to analyse, comment on and even challenge Mobile Europe's articles, including the one above - 'Mobile TV services to generate over USD10 billion in revenues in 2013, claims research'
User reviews and comments that include profanity or personal attacks or other inappropriate comments or material will be removed from the site.
Additionally, entries that are unsigned or contain "signatures" by someone other than the actual author will be removed. We will take steps to block users who violate any of our posting standards, terms of use or privacy policies or any other policies governing this site.