With the imminent launch of its 3G iPhone, Apple has a window of
opportunity to have a significant impact on the mobile TV market,
according to the latest report from Analysys Mason, the premier advisers
on telecoms, IT and digital media.
There is considerable speculation about what next to expect from Apple's
iPhone ahead of CEO Steve Jobs' keynote at the annual Worldwide
Developers Conference (WWDC) in San Francisco on Monday.
"The iPhone could become the mobile video
delivery device of choice for many consumers, by providing a compelling
mobile TV and video proposition before mobile broadcasting networks,
such as DVB-H become widely available", says
Mark Heath, co-author of the new Analysys Mason report iPhone Shows
the Way for Mobile TV.
Many operators are offering mobile TV services, using 3G streaming, but
these are constrained by lack of coverage, relatively poor quality of
service and 3G capacity limitations (as 3G networks may only support
relatively low penetrations of mobile TV users).
Market research shows that many iPhone owners have accessed TV and video
content, with greater frequency than subscribers using other types of
mobile handsets. With added 3G capability, the iPhone will bring the
following highly attractive attributes to the mobile TV market.
-
Video-friendly specifications, including high-quality widescreen
display, substantial internal memory and low battery consumption. -
Access to a rapidly increasing range of TV and video content provided
by Apple or specifically optimised for the iPhone. By May 2008, the
iTunes Store had a catalogue of 600 TV programmes and over 1500 films
and, by April 2008, Apple iTunes had sold 125 million TV programmes. -
The ability to support multiple methods of delivering TV and video
content, including sideloading, indoor WLAN and high-speed 3G cellular
data access. Sideloading and indoor WLAN minimises the amount of TV
and video traffic that needs to be carried on 3G networks, allowing 3G
operators to support high rates of mobile TV penetration.
While iPhone take-up has been relatively modest, with cumulative sales
of about 5.4 million units by the end of March 2008, this is due to Apple's
initial strategies of constraining worldwide availability and launching
exclusively with a single operator in each market. As Apple moves away
from these restrictive distribution strategies, there could be
substantial growth in the number of iPhones sold.
"If the iPhone is able to achieve significant
worldwide market share, it will be well-positioned to have a significant
impact on the way mobile subscribers purchase and watch mobile TV and
video content," adds Dr Alastair Brydon,
co-author of the report.
The report iPhone Shows the Way for Mobile TV is available online
at http://store.analysys.com,
priced at GBP1700 (approximately EUR2165) plus VAT.