mobile content

Mobile content flops of 2008 revealed

Phil Goldstein — Wed, 19 Nov 2008 11:28:48 -0500

With Thanksgiving just around the bend, and thoughts of turkey beginning to drift through the air, FierceMobileContent compiled its list of the Mobile Content Turkeys of 2008--the industry's biggest flops, including mobile TV and some dumb iPhone applications. Special report

The mobile content landscape undergoes rapid change

Phil Goldstein — Wed, 29 Oct 2008 10:56:57 -0400

The mobile content landscape is changing rapidly, as application stores, improved web browsers and more widgets on phones change the entire business structure of the mobile content ecosystem, Mark Lowenstein writes. Commentary

Valista enables off-deck content for U.S. Cellular

Jason Ankeny — Wed, 02 Apr 2008 19:36:20 -0400

Digital commerce software and managed services provider Valista announced its Operator Payment Service will enable off-deck premium content transactions for U.S. Cellular. According to Valista, the service connects U.S. Cellular with both external aggregators and content providers, promising the carrier's subscribers will enjoy expanded access to mobile content and active participation in interactive services like text voting. The Operator Payments Service will also provide support for post-purchase operations like refunds and credits, allowing for end-to-end visibility of transactions and increasing the percentage of successful purchases while reducing service costs via authentication and authorization, subscription license and refund management and automated contract mediation.

Netbiscuits integrates SMS campaign tool

Mike Dolan — Tue, 01 Apr 2008 17:44:43 -0400

Mobile content transcoding software provider Dynetic Solutions announced the integration of customizable SMS services into its Netbiscuits mobile Internet development platform. According to Dynetic, the new short-message campaigning tool provides its own short code, enabling content publishers, marketing and advertising agencies, application developers and service providers to combine SMS services with their mobile web efforts to deliver SMS alerts, SMS newsletters and text-based content sharing services. Dynetic also announced further enhancements to the Netbiscuits platform, including the addition of new North American and Asian mobile handsets to its global device detection database.

The Netbiscuits platform enables applications ranging from mobile advertising landing pages to user-generated content community services--Dynetic targets Netbiscuits to partners like Internet auction giant eBay, which employs the platform to enable SMS bidding alerts and related mobile tools for buyers and sellers. "Our focus in on content adaptation and delivery," said Dynetic Solutions CEO Michael NeidhÃƒÂ¶fer in an interview with FierceMobileContent. "The emphasis is on how to create the optimal user experience on a phone--the market is full of companies that say they can transcode the web to mobile, but it's a new medium, with a smaller screen and different navigation, so you need to build an experience you think your customers will use."--Jason

ALSO NOTED: Content vs. carriers; Smartphone Summit photo essay; and much more...

Tue, 01 Apr 2008 07:59:50 -0400

> Nokia: Comes with Music deals are close. Article

> What Knowles knows about mobile content. Article

> Content squared off against carriers at Mobile Entertainment Live! yesterday. Article

> The Smartphone Summit at CTIA: a photo essay. Article

And Finally... T-Mobile's parent company is threatening gadget blog Engadget Mobile over its use of the color magenta in its logo. Apparently it's not an April's Fools joke. Article

ALSO NOTED: AT&T refunds over ringtones; Sprint still talking to Clearwire; and much more...

Mon, 03 Mar 2008 06:59:50 -0500

> AT&T agrees to reimburse subscribers for ringtones that ended up not being as "free" as advertised. Article

> AT&T teams up with Silicon Valley and Hollywood to start a seed fund for mobile content companies. Article

> Hesse: Sprint still talking to Clearwire. Article

And Finally... Just because it's one step ahead of LTE in terms of time-to-market, doesn't mean mobile WiMAX is going to be a success. Article

When will the tide turn for mobile content?

Tue, 19 Feb 2008 07:00:00 -0500

Last week at Mobile World Congress in Barcelona I was hoping to hear some positive news in the mobile content space. Unfortunately I was sorely disappointed.Ã‚Â

Instead I heard a lot more of the same complaints that have been plaguing the mobile content space for the past year. Growth is flat and mobile operators are still demanding a big chunk of the revenue share making it impossible for many mobile content firms to stay afloat. The direct-to-consumer model--once thought to be so promising--is not the moneymaker that many firms thought it would be because marketing to consumers is no easy task particularly if you don't already have brand awareness. Porting applications to devices is still costly and cumbersome but a necessity if you want to work with any of the tier 1 mobile operators.

In all, I heard a lot of frustration in the voices of the mobile content executives. What was once such a promising and exciting segment of the wireless business has turned into an arena full of dissatisfaction and disappointment.

But there are a few signs of hope on the horizon. Many are excited by the prospect of open networks in the U.S. and are hopeful that Verizon Wireless' pledge to open its network to any device and application in late 2008 will be a boon for the mobile content industry.

Others are hopeful that developments like Nokia's Ovi mobile Internet platform and Sony Ericsson's PlayNow platform will help drive more consumer adoption of mobile content and allow for more entrants into the mobile content space that until now has been very tightly controlled by the operators.

I certainly hope that between now and CTIA Wireless 2008 (April 1-3) there are some positive developments in mobile entertainment that will get us out of this gloomy place.Ã‚Â There are two developments that I've been anxiously waiting for and have yet to see come to fruition:

1. AT&T's much-heralded launch of MediaFLO's mobile TV service. It was originally supposed to launch at the beginning of the year. Rumors then swirled that it would launch earlier this month but that never happened.

2. Verizon Wireless' launch of Real Networks' Rhapsody America's music service. Last August Real Networks announced it would merge its Rhapsody music service with MTV's Urge music service and it would be distributed by Verizon Wireless.Ã‚Â It was expected to debut in early 2008. When asked about the status, Real Networks defers all questions to Verizon Wireless and so far Verizon hasn't responded to my inquiries. -Sue

Live from MWC: Open systems, LTE and more

Mon, 11 Feb 2008 06:59:59 -0500

Live from MWC: Open systems, LTE and the mobile Web

After a day spent scurrying between press conferences and briefings, I picked up some common themes which I expect to hear more about as the Mobile World Congress progresses. Here's a rundown:

Ericsson and Nokia Siemens Networks both touted their LTE solutions and talked about how their next-generation network technology would revolutionize the mobile Web. Telstra CEO Sol Trujillo touted his company's success in Australia where Telstra's HSPA network from Ericsson is generating $100-plus ARPUs and data usage is surging.
Imaging handsets now have 5-megapixel cameras and music phones come equipped with FM-transistors.
Nokia's purchase of Trolltech means a future with open operating systems that allow developers to develop applications cross-platform. I expect to hear more of this cross-platform capability from others.
In the post-iPhone era, handset makers are working overtime on making the user interface simple and intuitive. As Nokia's Olli Pekka-Kallasvuo said during this morning's press conference, "As the technology inside the devices becomes more complex, people are demanding more simplicity."

Stay tuned to FierceWireless, FierceMobileContent and the FierceWireless:Europe for all our coverage from the Mobile World Congress. -Sue

ALSO NOTED: Nokia launches N-Gage; Mozes buys Hurricane; and much more...

Tue, 05 Feb 2008 06:59:50 -0500

> Sprint's Treo 755P gets new firmware. Article

> Nokia N95 8GB now in copper. Article

> Nokia finally releases N-Gage. Article

> Amobee, Funambol team on ad-funded email. Article

> Mozes acquiring Hurricane Interactive. Article

> Thumbplay debuts DIY mobile content sales toolkit. Article

And Finally... A plan to limit children's access to public WiFi has stalled in Utah. Article

Verizon Wireless adds 2M customers

Mon, 28 Jan 2008 06:59:58 -0500

Verizon Wireless reported a strong fourth quarter 2007 with 2 million net customer additions, bringing its total subscriber base to 65.7 million. Of those, 63.7 million are retail customers. On the revenue front, Verizon Wireless fourth quarter revenue was $11.4 billion, a 13.3 percent increase year over year.Ã‚Â Here's a breakdown of other key metrics:

Churn: Verizon has 1.2 percent total churn, down from 1.27 percent churn in third quarter 2007. The carrier had just 0.94 percent retail post-paid churn, down from 0.96 percent postpaid churn in third quarter. Ã‚Â

ARPU:Ã‚Â Retail ARPU was $51.49, up 1.4 percent over third quarter.Ã‚Â Ã‚Â Ã‚Â

Data:Ã‚Â Total data revenue for fourth quarter was $2.1 billion. Data ARPU was $11.06, up from $10.59 in third quarter. The company had 47.2 million retail data customers in December, which is 74 percent of the retail customer base.Ã‚Â In addition, the company says that more than half of its customer base, 35 million, have a broadband-capable device.Ã‚Â Ã‚Â

Content: During fourth quarter Verizon customers sent or received nearly 45 billion text messages and 927 million picture/video messages. Customers also completed 30 million music and video downloads.Ã‚Â

During this morning's earnings call, analysts questioned the firm about what impact the current economic slowdown is having on the operator. Verizon executives said that they have not seen a change in sales expectations but they are monitoring the situation carefully. -Sue

For more on Verizon's Q4:
- check out our complete wireless, wireline, mobile content and telcoTV coverage
- also read Verizon's press release

Sony Ericsson CEO admits "weak" U.S. presence

Thu, 17 Jan 2008 06:59:58 -0500

Sony Ericsson's new CEO Hideki "Dick" Komiyama admitted to the Wall Street Journal that the handset maker's position in the U.S. is weak and that he intends to step up efforts here.Ã‚Â

Komiyama, who previously was chairman of Sony Electronics and joined Sony Ericsson in November, said that he plans to strengthen the company's relationships with North American operators and increase distribution, supply chain and marketing. He also says Sony Ericsson will increase its portfolio of phones by adding more high-speed phones and clamshell-shaped devices, both of which appeal to the North American subscriber.

For more on Sony Ericsson:
- see this WSJ article. (sub. req.)

Related stories:
Sony Ericsson: 9% market share, profit down 17%. Article
Sony Ericsson unveils its vision for convergence of mobile content and services. ReleaseÃ‚Â
Sony Ericsson planning Windows Mobile smart phone? Article

T-Mobile USA's 3G: Better late than never?

Fri, 11 Jan 2008 06:59:59 -0500

Yesterday T-Mobile USA's CEO Robert Dotson reminded us that the carrier does not have a nationwide 3G network yet and that the carrier will spend an estimated $10.3 billion between 2007 and 2009 for 2G and 3G network deployments.

FierceWireless has been tracking T-Mobile USA's 3G plans for the last few years. In December 2005 the carrier said it planned to build out its 3G network by the end of 2006, but as analysts guessed at the time, the network's deployment was ultimately delayed and did not begin rolling out until 2007. The carrier did not have enough spectrum holdings to support a 3G network rollout, and it needed to wait until after the Advanced Wireless Services (AWS) spectrum auction of 2006 to begin rolling out its 3G network. T-Mobile was the big winner of the auction--with over $4.2 billion worth of spectrum.Ã‚Â

Of course, by the end of 2006, rivals Verizon Wireless, Sprint Nextel and AT&T had been offering advanced data services and marketing the capabilities of their 3G networks, while T-Mobile USA has remained on the sidelines sharpening their 3G strategy.

So far, T-Mobile USA has announced that Nokia and Ericsson are among the vendors that will help build out its 3G network. The carrier also began selling its first 3G phone, Samsung's T639, a quad-band GSM/EDGE and WCDMA 1700 MHz clamshell, in New York City last October. Even as the phone went on sale, however, the WCDMA network was not up and running.

Hanging back hasn't propelled the carrier out of its fourth place standing among the big carriers in the U.S., but it's also largely kept it out of the over-hyped mobile content business. At the end of 2006, then T-Mobile International's CEO Rene Obermann said that T-Mobile USA was "looking at the area of user generated contentÃ¢â‚¬Â¦ where we could leverage or basically mobilize the trends which we can see on websites such as MySpace, YouTube or others... as well as data management scenarios and consumer mobile email. We want to leverage existing behavior... when it comes to mobile music and TV, I wouldn't consider them big revenue generators."

In 2006, the carrier said it planned to spend $2.7 billion on its 3G deployment over the next few years, while making use of its $4.2 billion worth of spectrum that it won in the AWS auction. Now, Dotson has updated that figure to more than $10 billion for 2G and 3G network deployments. T-Mobile had previously estimated that these upgrades would enable it to capture 18 percent to 20 percent of the U.S. market or increase its 23 million strong subscriber base to between 35 million and 40 million by 2015.

The question remains: Has T-Mobile USA benefited from their late start in 3G? I'd like to hear your thoughts. -Brian

The MVNO love affair is over

Fri, 21 Dec 2007 06:59:55 -0500

Two years ago there was a new acronym in the wireless industry and many analyst reports predicted that it signified the next big thing: mobile virtual network operator, or MVNO. Earlier this year two of the biggest MVNOs in the U.S. crashed and burned: Amp'd Mobile and Disney Mobile. Their demise followed closely on the heels of Mobile ESPN's closing in 2006.

Disney Mobile, which launched in June 2006 using the Sprint network, ultimately discovered that it could not lure as many subscribers as they originally hoped they could from the big carriers' family plans. Innovative mobile content and special services like Disney's family-finder application pushed the industry to support more location-based services, but weren't enough to convince subscribers to join Disney to get their hands on them. The service will remain live through Dec. 31 and Disney has offered to reimburse subscribers who purchased handsets, accessories and content through the company. The fate of Disney Mobile's 120 employees is presently under discussion.

Amp'd had subscriber acquisition problems of its own, but rumors circulated that the real poison pill for this MVNO was its subscribers' inability to pay their bills. Despite having more than $360 million in venture capital financing and 200,000 subscribers, Amp'd had more than $100 million in debt, owing some $33 million to Verizon Wireless for network operations and at least $16.4 million to Motorola for handsets. The embattled MVNO alerted subscribers that it was shutting down its service via text message in mid-July.

Now that Amp'd and Disney shuttered their doors, few are bullish on the MVNO model in the U.S. Well, that is, with the exception of SK Telecom, which keeps investing hundreds of millions of dollars into Helio.

Nokia's just following Apple to the bank

Wed, 12 Dec 2007 06:59:59 -0500

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Nokia's just following Apple to the bank

When a reporter from a German newspaper asked Nokia's CEO Olli-Pekka Kallasvuo whether Nokia would demand a percentage of sales from its carrier partners like Apple does, Kallasvuo more or less said "No, not like Apple does."

"As far as mobile phones are concerned we are sticking with our old business model--that is, we get paid for our devices," Kallasvuo told the newspaper, Frankfurter Allgemeine Sonntagszeitung. "But for providing new services we are seriously considering a shared turnover model."

Nokia has become increasingly bullish when it comes to mobile Internet service offerings: the company just launched a new mobile streaming video service called Medeo. It also recently announced an unlimited mobile music download service called Nokia Comes With Music. The services launched after Nokia announced its new Ovi mobile Internet services platform.

The suggestion that Kallasvuo's "new" strategy for revenue share agreements with carriers is largely thanks to Apple's watershed deals with AT&T, O2 and others is rather far-fetched. Sure, Apple's rumored 30 percent cut of iPhone revenue marked a change in not only how deals between device makers and carriers share revenue, but also in how much the device maker gets. But Nokia is not lock-step behind Apple on this one.

Kallasvuo clearly states that he's not looking to change his existing business model for handset sales, and while he mentions that Nokia is considering a "shared turnover model" for services, that sounds like a revenue share agreement, which most mobile content service providers ink with carriers. Apple's iPhone deals bring the company an unconfirmed percentage of revenue from each iPhone customer on its carrier partners' networks. Nokia is simply saying that they want to share revenue from subscribers who use Nokia's services.

So, Nokia does not look to be following Apple's lead when it comes to the "how to" of structuring deals with carriers. We'll have to wait and see if Nokia follows Apple on the "how much."

What do you think? Will Nokia really follow Apple's lead or is it just looking for more lucrative rev-share deals? -Brian

Metric:Content users spend $77 a month

Thu, 15 Nov 2007 06:59:55 -0500

According to a report from J.D. Power & Associates, mobile phone owners in the U.S. who use their handsets to make use of email services, text message alerts, MMS and music download services spend about $77 a month, while those who do not use these services tend to spend $63 each month. Mobile subscribers who use these non-voice applications spend nearly twice as much on handsets as users who do not: $70 vs. $37. The firm said the price of handsets, applications and services has led to a monthly wireless bill that is $13 more expensive in 2007 than it was in 2005.

For more on the study:
- read this press release

Related Articles:
J.D. Power & Associates: BlackBerry tops smartphone user survey Article
J.D. Power & Associates: Retail sales experience is declining in quality Release

Putting Technology to the Test

Sat, 27 Oct 2007 06:59:59 -0400

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Putting Technology to the Test

Heading up high-profile MVNO Mobile ESPN was quite a learning experience for Manish Jha, formerly the senior vice president and general manager of the firm, which shut its doors in September 2006. Jha, who is now the CEO of Vantrix, a multimedia software firm that sells its technology to carriers, content players and service delivery platform makers, says one of the most important lessons he gleaned from his tenure at the MVNO was that consumers like multimedia content but they are very price conscious. "Instead of trying to make a lot of money from a few people, we spent time analyzing how to make a little money from a lot of people," Jha said. "Being able to scale in this business from a content perspective is complicated."

Jha believes his firm has found a solution to growing the mobile content ecosystem and driving consumer adoption and it is putting its technology to test in front of a very critical audience: the attendees at next week's CTIA Wireless I.T. & Entertainment conference in San Francisco.

Vantrix, which teamed with CTIA, will be offering conference-goers access to an exclusive video featuring Edge, the lead guitarist from the rock group U2. Attendees will just have to enter a short code and Vantrix's software will be able to determine whether they have a video-enabled phone. If so, they will receive a copy of the video with an exclusive track that can be saved as a ringtone or sent to a friend. When I spoke with CTIA Vice President of Operations Rob Mesirow late last week, he was on his way to Los Angeles to work with Edge on the video, which he expects to be a huge hit at the show. "If we can get 10,000 people to view this, it will be the most-watched mobile video in history," Mesirow said.

The CTIA executive doesn't think that number will be difficult to surpass given the nature of the CTIA crowd. "If 50 percent of all mobile devices can watch this, I anticipate more than 90 percent will be able to watch it at the show," Mesirow said, adding that the San Francisco confab will likely attract more than 20,000 attendees. Ã‚Â

Mesirow wouldn't say for sure if Edge would be a surprise guest at next week's conference but he did say that there will be lots of big announcements. I'm expecting next week's show to keep the Fierce reporters very busy. I'll be attending the conference, along with my colleagues Jason Ankeny, Brian Dolan, Mehan Jayasuriya and Mike Dolan. Be sure to say hello if you see us at the panel sessions, on the exhibit floor or at one of the many after-hours parties.

Speaking of parties, be sure to attend FierceWireless' party at the Mezzanine in San Francisco on Oct. 24. It's the best networking event at the show and always attracts a stellar crowd. RSVP here: http://www.fiercewireless.com/events/unionaffairÃ‚Â -Sue

P.S. Count on Fierce to bring you all the news and scoop from San Francisco. We are the official online show daily for CTIA I.T. Wireless & Entertainment 2007 and we'll deliver everything you need to know in our regular newsletters and at a custom micro-site titled "CTIA Live!" Click here to check out the website.

ALSO NOTED: Mobile Enterprise launches; Mobile content spans the generations; and more...

Thu, 25 Oct 2007 06:59:50 -0400

> Microsoft-backed Mobile Enterprise launches. Article

> Survey: Mobile content appeal is multi-generational. Article

And Finally... Bill Clinton sent his first text message this week? Article

Survey: Mobile content appeal multi-generational

Wed, 24 Oct 2007 18:39:53 -0400

According to a new survey conducted by customer experience systems provider Amdocs, premium mobile content boasts a mass market appeal that spans across multiple generations, requiring service providers to tailor digital content shopping to appeal to an expanded audience. Amdocs reports that 41 percent of users ages 18 to 24 and 38 percent in the 25 to 32 range are prepared to fork over $8.00 to $10.00 per month on mobile content--consumers in the 18 to 24 bracket are more likely to make a mobile purchase, while subscribers over 45 are more apt to buy content via PC.

While 45 percent of total respondents purchased ringtones and wallpaper, making them the most popular mobile content purchases, 42 percent ranked "services with helpful functionality such as providing directions and checking the weather" as their rationale for acquiring mobile content. Subscribers over 45 in particular cited their interest in "helpful services," with 44 percent expressing an interest in GPS and LBS services, followed by mobile banking. By contrast, a third of consumers aged 18 to 24 cite entertainment as the content purchase driver for mobile content.

"Not only should service providers consider offering more age-segmented, premium digital content and services, but they should consider tailoring the storefront experience and purchase mechanisms to meet the demands of multiple generations," said Amdocs VP of corporate communications Charles Born in a prepared statement. "Technology that provides service providers with a new way to deliver a more personalized customer experience translates into higher average revenue per user, greater satisfaction and reduced churn."

Virgin Mobile USA launches Studio V

Wed, 24 Oct 2007 06:59:56 -0400

Virgin Mobile USA introduced Studio V, a mobile content community enabling the MVNO's subscribers to create and share user-generated graphics and ringtones as well as earn cash-reward credit via each download. According to Virgin Mobile USA, customers may upload and edit graphics content to design personalized wallpaper and edit pre-existing audio content to make personalized ringtones--all uploads are free, and content creators will earn 10 cents for each Studio V contribution purchased by other subscribers. User-generated content solutions provider 9 Track Mind will screen all incoming content. "Our customers are some of the most creative and prolific people around, so this Studio V exclusive application is ideal for them to customize mobile content as well as connect with the larger mobile community, along with the added benefit of earning cash towards their Virgin Mobile account," said Virgin Mobile USA vice president of mobile data services Dom Tolli in a prepared statement. -Jason

ALSO NOTED: Mobile content survey; Where's the buzz; and more...

Wed, 24 Oct 2007 06:59:50 -0400

Survey: Mobile content appeal multi-generational. Article

CTIA I.T. Show: Where's the buzz? Editorial

And finally...Make sure you are at the hottest party in town! RSVP Here