Mobile Music To Drive 3G

The Business Standard has a short piece indicating that the number of 3G users in the Asia Pacific region, at 15.6 million in 2005 or 2.3% of total mobile subscribers, is expected to “grow at CAGR (compound annual growth rate) of 50.1 percent (2005 – 2011) to reach 178 million subscribers by end-2011”. A lot of this will come from China and India after 2008, as they get their 3G networks online. The article cites a Frost & Sullivan report, but on the analyst’s website there’s only a release about mobile music driving uptake of 3G. “The mobile music market is projected to exhibit substantial growth, with key participants such as handset vendors and operators offering customers a bundled package of both, communication and entertainment. The new mobile music value chain represents key telcos and handset vendors, further up the value chain, partnering with record labels in offering content. Innovations in both, the business model and delivery mechanisms, are likely have a favourable effect on the market.” New compression means that delivery of mobile music is fairly efficient over 2.5G networks, according to Frost, which could encourge uptake, which could then encourage upgrading to 3G to improve delivery even more.