US Mobile Media & Entertainment Revenues To Double By 2012: Report

Mobile media and entertainment services (excluding messaging, mobile browsing and data charges) in the USA generated $3.1 billion in revenue in 2007 according to Analysys, with the analysts predicting that revenue will grow to $6.6 billion by 2012. That’s a compound annual growth rate of 16.3 percent, but Analysys reckons the strongest growth will occur after 2010. The growth will be driven by better off-deck mobile web browsing experiences (both from the browser and the web sites), improved usability of the services, wider availability of content and lower (and simpler) pricing. Analysys said that complex pricing, high data charges, and unfavorable revenue-sharing arrangements for content providers have inhibited growth in the MME market.

Mobile media and entertainment services that are not billed through the operator will grow over the next five years, hitting $1.3 billion or nearly 20 percent of total revenue by 2012, predicts Analysys. Other predictions include that mobile media and entertainment services will account for 12.3 percent of non-voice service revenues in the US by 2012, and combined broadcast and unicast TV and video services will account for 36 percent of mobile media and entertainment revenue by 2012. Personalization services will see its portion of revenue shrink from 47 percent to 17 percent. (release)