IPTV Vs Mobile TV
Why do some new technologies succeed and flourish and others flatter to deceive and then disappoint? James Myring, associate director at Continental Research, looks at two of the new convergence technologies, mobile and internet TV, and explores what makes a successful new technology…
Mobile TV appears to be struggling. Data from the Continental Research Convergence Report shows the percentage of the total adult population watching TV through their phone in the previous 12 months at 2% in Spring 2006, and still 2% in Autumn 2006. Internet TV (IPTV) on the other hand is growing steadily from 5% to 6% over the same period.
Perhaps even more importantly, the frequency of watching internet TV is rapidly increasing. Amongst those who watch live TV, the proportion doing so at least once a week has increased from 19% to 32% between Spring and August 06. Similarly amongst those watching downloaded shows the percentage doing so at least once a week has grown from 29% to 48%.
Duration of viewing is also growing rapidly, in Spring only 24% of those watching live TV were watching for at least 30 minutes on a typical viewing day, by the Autumn this had doubled to 48%.
Internet TV is making the transition from occasional, experimental use to a technology that is being used regularly and habitually by a substantial numbers of users. The key to the success of internet is apparent from some of the reasons given by users – “More variety of shows than on television'” and “It lets me see the American shows before they come out in the U.K” are typical reasons given. Crucially internet TV is offering something above and beyond traditional TV.
Amongst the relatively small number of mobile TV users, dissatisfaction with the service is high, users were unhappy with the size of the picture, cost, and in particular the choice of the programmes to watch and the geographical coverage in which you can receive the service. This last point is important as train and coach or bus journeys provide ideal opportunities to reach an audience with considerable free time. However the 3G signal required to receive the transmissions can be patchy.
There are substantial barriers to overcome if mobile TV is to be a widespread success. The small screen size, which has hampered the growth of mobile internet is an issue, and likely to limit the type of content suitable for mobiles. A two-hour blockbuster movie is less likely to appeal than short and snappy factual content such as news and sports clips, and music videos. It is also worth recalling that miniature TVs never really caught on.
When assessing whether a new technology will succeed we need to look at whether it offers us something better or cheaper than existing technologies, does it make peoples’ lives easier or more fun?
Internet TV is growing because it gives us additional content we can’t currently receive, similarly internet and digital TV radio have been a great success because they offer a wider range of stations and better sound quality. Conversely, mobile TV has a much more limited content and a far smaller screen than traditional TV. The key advantage is that we can watch on the move, ‘anywhere, anytime’.
However it remains to be seen if this USP will suffice. Given the current limitations of mobile TV it is unlikely people will choose to watch mobile TV if a traditional TV is available.
This does somewhat limit the niche for mobile TV to times when travelling on public transport – less use to the majority who drive, walk or cycle to work, or indeed to those underground on the Tube.
Not all of the new convergence technologies will succeed and flourish. Generally the likely winners so far look to be technologies such as internet TV and VoIP that are based on broadband internet access – hence the desire for companies such as Sky to become a serious provider of broadband internet access.