Carriers Must Balance Content and Price to Meet Mobile Video Demand

6:40 am on March 31, 2006 | Category: Mobile Devices, Telecom Services

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About 41% of cell phone users are interested in mobile video services, but carriers need to find the right mix of premium content and reasonable price, according to JupiterResearch.

The research firm predicts that the mobile video industry will generate annual revenues of $501 million by 2010, compared to just $62 million last year.

Another survey found that 17% of existing wireless subscribers are interested in watching mobile TV, while 11% are open to the idea of viewing short video clips. So far, however, mobile video acceptance has been low, with only 2% penetration in the US market.

JuniperResearch analysts believe that this presents a huge opportunity, but that carrier swill need to find the right business model to satisfy both demand and price sensitivity.

“The challenge is not interest but rather finding the correct mix of premium content and price points that is lacking in today’s offerings,” said analyst, Julie Ask, in a statement.

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    Published by TeleClick Enterprises
    Edited by Jeremy Maddock