The number of markets offering the mobile broadcast TV is set to triple in the next two years, to 18 by the end of 2008, according to a new report from Screen Digest.
Screen Digest believes that broadcast will become the most prevalent method to deliver TV to mobiles, with the more niche approach offered by the Unicast method complementing it with premium and added value services.
Screen Digest predicts significant growth in subscriber numbers globally, with 140 million subscribers and revenues of €4.4bn by 2011.
North America will experience the biggest increase, said Screen Digest, growing its subscriber base 20 fold to 28.8 million and revenues as much as 50 fold to €1.8 billion by 2011.
A recent report from Telecoms Trends International said that the number of Mobile TV users has reached 20 million globally, and will rise to over two billion in 2013 (see More Than Two Billion To Use Mobile TV Globally By 2013).
However, according to the Screen Digest’s Mobile TV: Business Models and Opportunities report, subscriber numbers do not equate to revenue.
Screen Digest believes that by 2011 the Asian market will generate less revenue than Europe and the US. Europe will lead with a 42.5% share of global revenues, followed by the US at 40.5% and Asia accounting to the remaining 17%.
Ronan de Renesse, author of the report, said: “The free-to-air services are the success stories for subscriber uptake, yet business models for mobile pay-TV are still to be proven. Content owners and handset manufacturers can gain in the short term with incremental revenues through a different distribution channel or by selling more expensive handsets.
“While mobile TV may not generate significant revenues for operators over the next four years, bundling to move subscribers to contract will. The operators not investing now in mobile TV risk losing out when the subscriber base finally becomes establishedenough to generate revenues through pay-TV models and advertising.”
MediaTel Group’s recent seminar on the ‘Future of TV’, panellists claimed that mobile TV had had a disappointing start, with take-up of the platform less than expected and broadcasters seemingly disillusioned with mobile operators (see Disappointing Start For Mobile TV).
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