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Asia-Pacific Braces for Mobile TV Fever - The Asia-Pacific mobile video services market is expected to see huge growth potential as mobile operators continue to spend millions on developing innovative services and content to arrest the declining average revenue per user (ARPU).
Asia-Pacific Braces for Mobile TV Fever

 

NewswireToday - /newswire/ - Singapore, Singapore, 2008/03/13 - The Asia-Pacific mobile video services market is expected to see huge growth potential as mobile operators continue to spend millions on developing innovative services and content to arrest the declining average revenue per user (ARPU)..

   
 
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Mobile TV, essentially an extension of mobile video services, in particular is seen as a new killer application that could potentially bring alternative source of revenues for carriers.

New analysis from global growth consulting company, Frost & Sullivan (mobileandwireless.frost.com), Asia Pacific Tunes Up for Mobile TV, finds that the mobile video services market - covering 12 Asia-Pacific countries ex-Japan - earned revenues of over US$440 million in 2007 and estimates this to reach US$1.88 billion by end-2013, at a CAGR (compound annual growth rate) of 27.4 percent (2007-2013).

While South Korea (which accounted for 87 percent or US$383.7 million of the revenues in 2007) will remain as the biggest market for mobile video in Asia-Pacific (outside of Japan), other potential leading markets include Singapore, China, Hong Kong, Taiwan, Australia and New Zealand.

If you are interested in a virtual brochure, which provides service providers, vendors/manufacturers, end users, and other industry participants with an overview of the Asia-Pacific mobile video services market, then send an email to Sarah Lourdes at sarah.lourdes[.]frost.com, with your full name, company name, title, telephone number, fax number, and email address. Upon receipt of the above information, an overview will be sent to you by email.

"Amid the growing interest in triple-play and mobile advertising, mobile TV has been the buzzword in the Asia-Pacific mobile and wireless market," notes Frost & Sullivan industry analyst Shaker Amin. "The recent spate of trials and the commercial launches of broadcast networks in Japan and South Korea indicate that the mobile TV fever could well catch on throughout the Asia-Pacific region."

Two of the regions most mature mobile markets, South Korea and Japan, have introduced mobile TV broadcast services (ahead of the other Asia-Pacific countries) built on homegrown standards. South Korea spearheaded the DMB (Digital Multimedia Broadcasting) standards, launching S-DMB (Satellite Digital Multimedia Broadcasting) and T-DMB (Terrestrial Digital Multimedia Broadcasting) in 2005. While Japan launched ISDBT (Integrated Services Digital Broadcasting - Terrestrial), or 1-seg, in 2006.

South Korea is expected to hit mass adoption in mobile video services between 2008 and 2010, when the rest of Asia-Pacific joins the commercial broadcast TV service bandwagon.

Other markets that have commercially launched DVB-H mobile TV broadcast services include Vietnam's VMC (Vietnam Multimedia Corporation) in September 2006, and Philippines' Smart Communications in February 2007.

In the rest of the Asia-Pacific markets, digital video broadcast-handheld (DVB-H) and MediaFLO remain most commonly selected for trials. In China, T-DMB (a different version from South Korea's) and CMMB (China Multimedia Mobile Broadcasting), both homegrown standards, are being deliberated for the country's national mobile TV broadcast standard.

Pricing however remains the biggest hurdle to a wider uptake of mobile video and TV services. In 2007, the total mobile ARPU in Asia-Pacific stood at US$16.8 (including Japan), largely due to the region's lower disposal income.

Furthermore, mobile TV broadcast service (multicast) requires compatible handsets, which are not widely available throughout Asia-Pacific as yet. In markets where an impending launch is expected, mobile handset manufacturers are still in the midst of finalizing handset requirements with the major mobile operators.

"In most markets, mobile video service becomes especially expensive when a user exceeds the stipulated amount of data in a 'flat-rate' plan," says Amin. "Considering that this is a major restraint to greater uptake, mobile operators could follow the example of South Korean operators who have implemented an 'eat-all-you-can' flat-rate for data charges to encourage adoption."

The Asia Pacific Tunes Up for Mobile TV study is part of the Mobile & Wireless Growth Partnership Service program, which also includes research in the following markets: mobile broadband, wireless broadband, mobile content and telecom services. All research services included in subscriptions provide detailed market opportunities and industry trends that have been evaluated following extensive interviews with market participants. Analyst interviews are available to the press.

Frost & Sullivan, the Global Growth Consulting Company, partners with clients to accelerate their growth. The company's Growth Partnership Services, Growth Consulting, and Career Best Practices empower clients to create a growth focused culture that generates, evaluates and implements effective growth strategies. Frost & Sullivan employs over 45 years of experience in partnering with Global 1000 companies, emerging businesses, and the investment community from more than 30 offices on six continents.

 
 
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Asia-Pacific Braces for Mobile TV Fever

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Frost & Sullivan |
Publisher Contact: Sarah Lourdes 
+603.6207.1030 sarah.lourdes[.]frost.com
 
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