Mobile Digital Commerce Services for Premium Content Reached $1.1 Billion in 2007; the Market Set to Reach $1.9 Billion by 2012

SCOTTSDALE, Ariz.--(BUSINESS WIRE)--The market for mobile digital commerce services grew to $1.1 billion in 2007, according to recent research by MultiMedia Intelligence (http://www.MultiMediaIntelligence.com). Digital commerce service providers process the financial transactions that monetize premium content from music, video and gaming companies over the mobile operator’s network.

By 2012, the market for mobile digital commerce services will grow to $1.9 billion. Although digital commerce service providers' percentage share of the premium content market will decline, growth in new premium content categories will grow the overall market. Video will drive the majority of new growth.

“Leading digital commerce services companies are turning the art of mobile content sales into a science,” according to Frank Dickson, Chief Research Officer with MultiMedia Intelligence. “However, there is a long way to go. Competitive differentiation relies on robust, transparent and instantaneous reporting; better transaction validation; and better automation.”

MultiMedia Intelligence’s new research also found:

• “Revenue leakage” is still an industry-wide problem across all geographic locations, especially in the off-deck space. Companies such as Bango and OpenMarket, a division of Amdocs, have come up with innovative ways to attack the problem.
• Digital commerce services companies are highly regionalized, with digital commerce companies heavily entrenched within the regional operators. Valista’s recent win with US Cellular may foretell a softening of geographic boundaries.

The research, “Mobile Content Platforms: Mobile 2.0 and Advertising Join the Party,” covers software platforms that deliver and monetize content to mobile handsets. For more information, please go to http://www.MultiMediaIntelligence.com/ or contact Ann Howe at 617-547-3641 or by email at Ann@MultiMediaIntelligence.com.

About MultiMedia Intelligence

MultiMedia Intelligence provides actionable intelligence on the markets and technologies for delivering IP video to the Nth screen. With a broad "ecosystem-based" perspective that moves beyond the classic “three screens” of TVs, mobile handsets and computers, we identify the opportunities in enabling and monetizing digital media on a multi-platform, multi-network basis.