Given the state of the U.S. economy these days and all of those references to the “R” word – this one being recession – it’s unclear what the impact will be on the wireless industry, including mobile content.
Based on what bits and pieces we’ve heard so far, it sounds as though the macro economy, much of which is tied to the housing crisis, is not making a measurable impact on national carriers at this point. Some folks say wireless voice services are relatively immune from consumers budget-slashing because it has become one of those essential services, and it would be extremely difficult for someone who has already ditched their landline to give up wireless as well.
Maybe a segment of the overall wireless customer base will decide it doesn’t necessarily need data today, so it might forgo that service until budgets improve. Some subscribers might take another look at their wireless bills and get rid of anything they don’t view as essential. That’s where it would seem to get dangerous for content providers, unless they’re offering applications that are truly essential in how consumers conduct their daily lives or business.
Even though Verizon Wireless had its hands full this week with the Open Developer Device Conference, I had a chance to catch up with Verizon Wireless President and CEO Lowell McAdam and ask his thoughts. He’s also chairman of CTIA this year. I commented that it seemed like wireless data/content might be in a more precarious position, but he said on the contrary, the applications and services provided by wireless are crucial for productivity and even more important at times like this. Regular users of laptops with embedded EV-DO come to mind – I’ve spoken to some in the past whose jobs are highly dependent on getting data on the fly when they’re out in the field. They can’t live without it.
For the average consumer who doesn’t need wide-area high-speed data and access to content for business purposes, I’m not so sure. Incremental charges for content like ringtones wouldn’t seem to be too much in danger because they’re small fees if used in moderation and wouldn’t seem to break the budget. Adding other things like TV on the go, however, might not seem so attractive if someone is watching their spending.
Then again, I was reminded recently that faith-based applications have been around for a while – consumers can get inspirational prayers or verses sent straight to their cell phones. Now that might be just the type of content that people need more than ever these days.
What do you think? Will mobile content suffer as a result of the U.S. economy,
The iPhone already is the most popular device for accessing news and information on the mobile Web, with 85% of iPhone uses accessing news and information during January, reports M:Metrics.
M:Metrics Senior Analyst Mark Donovan says the iPhone is delivering “off-the-charts” usage from everything to text messaging to mobile video. The research firm found that a staggering 30.9% of iPhone owners watched mobile TV or video versus a 4.6% market average, and more than double the rate for all smartphone users. Social networking also is popular with iPhone users – nearly 12 times the market average. Twenty percent of iPhone owners accessed Facebook, one of the first Web properties to customize its content for the iPhone, versus 1.5% of the total mobile market.
As for YouTube and Google Maps, Donovan says those two featured widgets are extremely popular among iPhone users: 30.4% accessed YouTube and 36% used Google Maps, compared with only 1% of all mobile subscribers accessing YouTube and 2.6% checking out Google Maps.
M:Metrics found that iPhone users are more likely than the average mobile subscriber to be aged 25-34, earn more than $100,000 and have a college degree. Another thing: All iPhone on AT&T are attached to an unlimited data plan, and data shows once the fear of surprise data charges is eliminated, mobile content consumption goes up dramatically, regardless of device.
Verizon Outlines Open Dev Plan
By Wireless Week Staff
True to its word, Verizon Wireless used its Open Development Device Conference to talk about Version 1.0 of the technical specs for new wireless devices for its “Any Device, Any App” network-only service option.
The event this past Wednesday included working sessions with Qualcomm, Radio Shack Corporation, DiGi and OnStar, all designed to give attendees, some new to the wireless ecosystem, an idea of how to bring devices to market. Also in attendance were some of Verizon’s traditional equipment partners.
Ringleader Digital CEO Bob Walczak says he’s encouraged by Verizon’s move for more open access. His company is in the mobile ad-serving business. Verizon essentially is creating its own version of Android, the Google-led initiative, and inviting more innovation in devices and apps, he says. “Now it’s up to us as a company to really leverage this open network and sell more effective advertising,” Walczak says.
He’s also encouraged by Sprint’s $99 unlimited voice and data plans; such all-you-can-eat data plans will only drive more usage, he says.
Sprint Enhances Browsing Experience
By Wireless Week Staff
Sprint this week reminded everyone that it is pursuing its own open Internet model and capped that by announcing the launch of an enhanced mobile Web browsing experience on virtually all Web-capable Sprint phones.
Using the OpenWeb solution from Openwave Systems, Sprint customers will be able to get faster, more user-friendly renderings of Internet sites, even those not optimized for the mobile device, according to a press release. The enhancement will be automatic for customers who currently access the Internet on their phones and will require no additional action on their part.
The enhancement is designed to adapt the standard layout of a Website and reconstruct it to properly fit the screen of the user’s particular phone, providing automatic in-page navigation so users can reach the most important data from the Website faster. It will be available nationwide in the coming weeks.
Opera Signs with Helio
By Wireless Week Staff
Improving the browsing experience seems to be the theme this week. Opera signed its first deal with a U.S. service provider. Helio announced the deployment of Opera Mini, so Helio members can surf the Web with a specially tailored browser.
It’s available as a downloadable application from Helio’s Web portal. The companies say the Mini provides a desktop-like experience that lets the user dive into the page to access content. Pages are served at “lightning speed.”
Opera boasts more than 39 million cumulative users of its Opera Mini, which it says can “revolutionize” the mobile Web experience.
Boost Mobile Teams with Amobee
By Monica Alleven
Boost Mobile might be walking rather than running into mobile advertising, but it’s moving nonetheless.
The company, a division of Sprint Nextel, this week announced it is launching a new mobile advertising platform for mobile phones. Acura and Fox Searchlight Pictures are among the first advertisers on the new platform. Amobee is Boost’s official ad-selling and ad-serving partner.
Boost Mobile executives say they think they’re approaching the market at the right time; mobile advertising still is developing as a category. But they also expect the market to grow and represent great opportunities for media properties, operators and ad buyers, so long as the ads are relevant to customers.
Ads are likely to resonate well with Boost’s audience, which is predominantly under 30; the audience is accustomed to seeing banner ads on Web pages and tend to be fairly receptive to relevant ads, notes Lowell Winer, director of emerging products and business development at Boost Mobile.
Boost plans to expand advertising content to include messaging and key applications in the near future. Initially, Boost customers won’t receive subsidized content, and incorporating location-based services (LBS) into the mix is a ways off. “We’ll walk before we run,” he says.
Meanwhile, Boost has identified some brands with which it would like to align itself. One of the current ads is for Fox Searchlight Pictures April 11 release of “Street Kings;” another ad touts a new Acura entry-level car.
Boost customers are not charged for viewing the ads, and they can opt out by calling Boost customer service. The ads initially appear on BoostLIVE and Web Home.
AT&T Gears Up for MEdia Mall 2.0
By Wireless Week Staff
AT&T unveiled plans for a redesigned MEdia Mall, the company’s 1-stop shopping destination for mobile content. The mall first launched on AT&T handsets in December 2004.
The grand opening of MEdia Mall 2.0, powered by software developer UIEvolution, is slated for next month on AT&T capable handsets, but the company is currently giving customers an opportunity to preview MEdia Mall 2.0 with an online mock-up of the mobile storefront at http://www.att.com/mediamall2 .
One of the new features is the ability to preview ringtones on a handset before you purchase it — a capability that was previously only available from AT&T’s Website. Because more than 90 percent of AT&T customers purchase their mobile content directly from their phones, having the ability to “try before you buy” is a more friendly way to shop, the carrier says.
Thumbplay Raises Funds
By Monica Alleven
Thumbplay raised $18 million in new capital through a Series E round. The round was led by Brookside Capital Partners, the public equity affiliate of Bain Capital, and Cross Creek Capital, a private equity affiliate of Wasatch Advisors.
Besides giving a boost to New York City-based Thumbplay, its CEO and co-founder, Are Traasdahl, sees the investment as a testament to the mobile content industry
Traasdahl says every entertainment category is growing for Thumbplay. Video and games are growing faster in percentages, but those were starting from a smaller base. The shift in the U.S. market from walled garden to off deck is happening, too. He expects the percent of revenue from off-deck content in the U.S. market to be at 30 or 40 this year and eventually get near the 60-70% range more akin to the European market.
Traasdahl doesn’t see Thumbplay going public anytime soon; the company is focused on building the business and not focused on preparing for a public offering or near-time sale. Thumbplay has been signing up two or three content partners each week and hooking up with five or six online companies each week as well. “We’re focused on managing the growth,” he says.
The new funds will be used in part of build its business outside the United States. It’s also looking at potential acquisitions, such as those with similar direct-to-consumer business models in geographies that Thumbplay is not in.
Thumbplay boasts more than 80,000 pieces of mobile entertainment content under license, including ringtones, wallpapers, games, videos, voice tones and text-based services.
MySpace on the Fast Track
By Wireless Week Staff
Sprint and MySpace announced the launch of MySpace Mobile on all Web-enabled Sprint phones. The launch marks the first free direct access to the new MySpace Mobile Website on a U.S. wireless carrier, allowing Sprint data subscribers a fast track to their MySpace profiles on their phones, the companies say.
The announcement also marks the official launch of MySpace’s Mobile Website, available via any mobile device at (http://m.myspace.com). The new version of MySpace Mobile features a rich graphical design, a revamped e-mail interface and other new features. The site, previously in beta, has seen more than 1 million unique visitors per day since its release in September.
To access MySpace Mobile on Sprint, customers now can open the Web on their phone, select Messaging and click on the MySpace Mobile link to get instant access to their profile.
Unlimited mobile Web use, including the new MySpace Mobile, is included at no additional charge in Sprint’s new $99 Simply Everything plan, which features unlimited calling, messaging and data. For Sprint customers on other calling plans, data packs with unlimited mobile Web use start at $15 per month. Casual usage charges apply to mobile Web use for customers without a data pack.
March Madness Hits Mobile
By Wireless Week Staff
If it’s March, it must be time for the NCAA basketball tournament.
Sure enough, Crisp Wireless announced a partnership with AT&T Mobility to offer its subscribers a dedicated mobile content portal devoted exclusively to the NCAA Men’s Division I Tournament, otherwise know as March Madness.
The Crisp-powered NCAA March Madness mobile portal features access to up-to-the-minute scores of games, statistics, results and bracket updates. Users of 3G-enabled phones can view video highlights, and customers who participate in the AT&T Bracket Challenge can compete against each other for a chance to win prizes from AT&T, including a grand prize of $10,000.
Of course, they’re not the only ones latching onto March Madness. go2 Media announced the debut of its mobile Website that focuses solely on the Men’s NCAA Basketball Tournament (http://marchmayhem.go2.com). The site is available in XHTML and WAP 2.0.
Visitors to the go2 NCAA mobile site will find original content generated by go2 correspondents, including game previews, breaking news and information on how to predict which teams will make the tournament.
GAMING
Tactical SWAT Game Debuts
By Wireless Week Staff
SWAT Elite Troops, the follow-up mobile game to SWAT Force, is now available on mobile phones in North America and Europe from Vivendi Games Mobile, a division of Vivendi Games.
SWAT Elite Troops features the “Instant Tactical Decision” system that allows players to make immediate, split-second decisions.
In SWAT Elite Troops, players save hostages and diffuse bombs while keeping in mind a strategic master plan to guide them through each of the 16 levels and preserve their own health. The game is more than a “shoot to kill” experience — gamers must tactically think through each move to stay alive, Vivendi says.
Gameloft Tees Up New Offers
By Wireless Week Staff
Gameloft announced the U.S. release of “CSI:Crime Scene Investigation – The Mobile Game,” based on the CBS primetime television series. The game allows players to investigate the sinister side of Las Vegas and incorporates an optional level of interactivity whereby characters in the game place phone calls to players to help them with their sleuthing.
Separately, Gameloft signed a worldwide agreement with Ferrari. The first game developed and published by Gameloft under license will be Ferrari World Championship and is scheduled for a worldwide launch in March.
VIDEO
Nokia Seeks Short Film Entries
By Wireless Week Staff
Nokia sent out an invitation for anyone in the world to enter the 2008 Nokia Mobile Filmmaking Awards. Entries must be no longer than 2 minutes long and have something to do with an act of kindness, someone inspiring, the best part of the day or something that “makes you smile.”
Pangea Day was created by documentary filmmaker Jehane Noujaim after winning the 2006 TED Prize. Noujaim, TED and Nokia then created Pangea Day to “connect people by harnessing the power of film and encouraging people to view the world through someone else’s eyes.”
Contestants can upload entries to Share on Ovi (ovi.com/pangeaday). Consumers who register can vote to select five finalists, who will have their videos screened during the Pangea Day broadcast and win a trip to the live Pangea Day broadcast location in Los Angeles.
Videos will be considered for inclusion in the first Pangea Day broadcast event on May 10. Submissions are being taken at www.ovi.com/pangeaday. The contest runs until April 15.
Mobile Content News Briefs – March 21, 2008
Companies in this issue’s briefs: Voantis Systems, Nicelodeon/MTVN Kids, Family Group, MediaFLO USA, mBlox, VoodooVox, Buongiorno
• Volantis Systems released its Mobility Server to the open source community under the GNU General Public License (GPL), version three. In all, the company opened 1.2 million lines of code, the result of seven years’ of development, to the community. The company also launched the Mobility Server Project to help developers build out the mobile platform.
• Nickelodeon/MTVN Kids and Family Group are launching three new mobile Websites. The new mobile Websites focus on Nickelodeon/MTVN Kids and Family Group’s target demos: kids and tweens, teens and parents and include a selection of kids’ games, pictures and flipbooks; teen-oriented quizzes and blogs; and daily parenting tips as well as access to information on local city family activities.
• Qualcomm’s MediaFLO USA has added to its senior management team: Jonathan Barzilay has joined MediaFLO USA as senior vice president of programming and advertising, and Matt Milne joined as senior vice president of sales and marketing.
• mBlox Chief Marketing Officer Steve Livingston was elected to the Mobile Marketing Association (MMA) 2008 North American Board of Directors.
• VoodooVox announced the release of MyVox, a free service that enables software developers to incorporate voice into their applications and Web widgets. Through the MyVox API, any phone can function as a mic, giving mobile developers the ability to enhance Web applications with the user’s voice. VoodooVox also provides a new revenue stream through the In-Call Network, its patent-pending audio advertising network.
• Buongiorno’s BING is racking up users. The company says BING scores more than 20 million messages exchanged per week and more than 1.2 million log-ins. The service first launched in June 2007 in South Africa and Austria and has since been introduced in the U.K., Brunei, India, Indonesia, Italy, the Netherlands, Spain, Switzerland and Vietnam.