Cell Phone Users Send “Mixed Signals” on Mobile Video

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Study shows few are interested in viewing mobile video clips, despite significant interest in video capable phones.

While many carriers, device makers, and content providers regard mobile video as a “can’t miss” 3G service, clear evidence of customer demand, particularly in the short-term, is lacking. Survey data collected over the first half of 2004 shows that just 13% of mobile phone users are interested in viewing video clips on a mobile phone, with no significant change in interest over the collection period.

Yet, new research into the choice patterns of potential mobile phone buyers reveals that streaming video is a capability many want, and will pay a premium for, in their next handset. The appeal of streaming video is on par with MP3 playback and downloadable games, and half that of a digital camera. In dollar terms, potential buyers would pay a $15 premium for the addition of streaming video capabilities to a $125 (unsubsidized) mid-range mobile phone.

These and other findings on mobile video are available in a new research bulletin from Mobile Metrics – a syndicated study of the mobile device and services marketplace.

“This is good news for handset makers, who should be able to move significant numbers of video-capable units over the next year” explains Dave Cosgrave, the study’s Managing Analyst. “The risk to carriers, and their content partners, is that lagging demand could render mobile video services unprofitable for some time.”

To obtain a copy of this bulletin, or for more information on Mobile Metrics, please visit http://www.mobile-metrics.com.

About Mobile Metrics:

Mobile Metrics is a syndicated tracking study from Advanis, a marketing research and consulting services firm with over a decade of experience in the telecommunications, technology, and financial services sectors.

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Dave Cosgrave
ADVANIS
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