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Old 03-06-2008, 12:40 PM
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The ‘service enabler’ role holds the greatest revenue potential for operators

The ‘service enabler’ role holds the greatest revenue potential for operators in the mobile entertainment market, says Analysys Mason
LONDON, UK, 03 June 2008 – In the mobile media and entertainment (MME) market, the ‘service enabler’ role appears to hold greater revenue potential for mobile network operators than the role of on-portal content service provider, according to a new report, Mobile Media and Entertainment in Western Europe: value chains and business models, published by Analysys Mason, the premier advisers on telecoms, IT and media (Analysys Mason : Welcome to Analysys Mason).
“Mobile network operators have focused on becoming successful content service providers during the past five to six years to avoid being marginalised as mere ‘bit pipe’ providers,” said Yanli Suo-Saunders, lead author of the report. “However, the trend towards unrestricted mobile Internet access, as well as the increasing number of online brands and handset vendors that are entering the mobile market, will pose a significant competitive threat to operators’ portal businesses.”
“Mobile operators are best placed to become service enablers in the content value chain by exploiting their unique assets, which focus on transmission, billing and consumer insight,” added Mike Grant, co-author of the report. “These assets are essential to the success of content providers in the MME market, and the ‘service enabler’ revenue streams (including traffic, billing and advertising revenue) appear to be the most sustainable for mobile network operators in the long term.”
Key findings from the new report include:
• The off-portal market accounts for the majority of MME revenue in many Western European countries, and is expected to continue to grow as more major mobile operators adopt flat-rate data plans and an open approach to mobile Internet access.
• Handset vendors and established online brands are becoming increasingly significant players in the MME value chain, and pose a competitive threat to mobile operators own-branded content offerings.
• Mobile operators will need to closely examine their core assets and identify potential areas for further investment in order to maximise their revenue potential from acting as service enablers.
The report discusses the state of the Western European MME market, identifies key players, analyses the value chains and business models that are emerging in eight MME sectors (personalisation, games, music, TV and VoD, adult content, gambling, social networking and mobile advertising), and assesses how they are likely to develop.
The report is available to purchase online at http://store.analysys.com priced at GBP1900 (approximately EUR2405) plus VAT. For more information, telephone Analysys Mason on +44 (0)1223 460600 or email research@analysysmason.com.
To request an executive summary for this report or to arrange an interview with the author please contact the press office, telephone +44(0)1233 460600 or email press@analysysmason.com.
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