Tuesday, February 06, 2007

Mobile Content Revenues on the Increase (again!)

SMS and multimedia messaging services will account for more than half of total revenues for worldwide mobile operators in 2011, a research firm has forecast.

Based on the latest research, SMS and MMS will represent more than 50% of the total revenues for operators from 2010.

Mobile access to the Internet will be the driver for the explosive growth expected in this market. The research company Informa Telecoms & Media, has predicted the market for content will be $150 billion by 2011.

In 2006 revenues for SMS etc was $60 and $67.4 in 2007.

Content management systems, such as Ping Corp's immedia24 will help drive the increase.

In particular, revenues from music, TV, games, gambling, adult content, together, would more than double - from $18.8 billion made in 2006 to $38 billion over the next five years.

The returns from this huge growth would be shared by new players – content providers, publishers and associated technology and service providers, which would become part of the industry over time. User-generated content and user communities, expected to eventually become common features on the mobile space, would also account for $13.2 billion over the period, the report said.

Music would continue to be a major revenue earner in the mobile entertainment market but its role would be diminished by growing demand for mobile TV and video services. Informa estimates music, which last year enjoyed a 40 percent share of this market, would decline to 36 percent in 2011.

A large part of this growth can be credited to the arrival of broadband mobile services and technologies like the High Speed Downlink Packet Access (HSDPA) which allow users to enjoy surfing and watching online videos while on the move. The download speed and streaming experience made possible by these technologies are comparable to those seen on desktop PCs and notebooks.

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