The mobile video market has arrived when the discussion of advertising revenue is starting to take place.
I guess its safe to say the mobile video market has arrived when the discussion of advertising revenue is starting to take place. It won't be long before you can watch regular programming on your handset. Of course, regular TV programming means advertising, commercials, and the like.
Here are some of the latest statistics pertaining to mobile video and the potential advertising market, thanks to our friends at iSuppli:
- Overall mobile video revenue will grow from under $550 million in 2005 to over $14 billion by 2010 (that's a lot of commercials).
- Asia, which leads in the development of mobile video and TV, will remain the largest market through 2010. However, by 2009, the Americas will overtake Europe to become the second largest market.
- As mobile TV subscribers grow to over 120 million, worldwide mobile TV advertising revenues will become a significant revenue stream reaching $3.4 billion by 2010.
Mobile video offerings will segment along programming tiers similar to traditional TV, with advertising-supported content, premium channels, video-on-demand (VoD) and video downloads. Wireless operators will distribute these video tiers across mobile broadcast and 3G networks.
One question that's still to be answered is which standard will emerge as the victor. My bet is on DVB-H, which seems to have te most backing. However, regional markets will exist using multiple different standards, such as MediaFLO and T-DMB.
iSuppli's report, Mobile Video and TV: Transitioning to Broadcast and Advertising, is now available. You'll find more information at www.isuppli.com/catalog/detail.asp?id=8174.