Mobile Video > $3.5 Billion in 2008, Says MultiMedia Intelligence

Consumers are demanding more personalization and entertainment content on their
mobile phones, driving mobile video revenue to exceed $3.5 billion in 2008,
according to recent research by MultiMedia Intelligence. By 2012, the mobile
video and mobile TV market will exceed $15 billion, including direct pay and
advertising.

Mobile video, which relies on the mobile operator's 3G
network for delivery, has the advantage of an established network, making it the
stronger of the two categories in today's market. However, mobile TV
infrastructure deployments and mobile TV handsets are rolling out aggressively,
making mobile TV the dominant category in 2012.

 "The mobile phone is inherently an inferior entertainment
platform compared to other media devices like TVs," according to Frank Dickson,
Chief Research Officer for MultiMedia Intelligence. "However, the mobile handset
is inherently a superior portable communications platform. It allows for TV
advertising outside the home as well as enabling new forms of advertising,
including "call to action" advertising. Call to action leverages the handset's built in return channel to deliver advertising
beyond the capabilities of the living room TV experience."

MultiMedia Intelligence also found that:

  • Mobile
    TV ARPUs are much higher in
    North America and
    Europe than Asia due
    to the lack of free-to-air alternatives.
  • Total
    Mobile TV and Video advertising revenue, including "Call to
    Action" advertising, will exceed $1 billion by 2012
  • With
    the combination of a large wireless subscriber base and free-to-air
    alternatives,
    Asia has
    the vast majority of mobile TV subscribers. By 2012,
    Asia
    will have two thirds of all mobile TV subscribers

The research, "Mobile TV and Video: Premium Content and
Advertising Elevate the Phone Away From Just Voice," provides revenue, ARPU and
subscriber forecasts for mobile TV and mobile video services. Forecasts
include:

  • Basic
    Multimedia Handsets Annual Worldwide Shipments
  • Mobile
    Video Subscribers, ARPU and Revenue by Geography
  • Mobile
    TV Market Subscribers, ARPU and Revenue by Geography
  • Mobile
    TV and
    Mobile
    Video Revenue Share for Content Providers and Operators
  • Mobile
    TV and
    Mobile
    Video Advertising Revenue
  • Call
    to Action Revenue by Region
  • Agency
    Share of
    Mobile
    Video and
    Mobile TV

For more information, visit www.MultiMediaIntelligence.com