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May 16, 2007

Overall, the number of mobile video subscribers is expected to hit 46 million in about three years, according to recent research by Infonetics Research.

The number of global mobile video subscribers grew more than threefold between 2005 and last year.

Infonetics attributes this growth to improved handsets and better connection technology.

Service provider revenue from mobile video is also set to increase rapidly. Overall revenue soared 317 percent from two years ago, reaching almost $200 million.

Infonetics' report suggests those numbers could potentially triple this year.

Jeff Heynen, directing analyst for broadband and IPTV at Infonetics said in a statement "we should continue to witness healthy growth in the mobile video services market, as mobile operators expand the bandwidth of their existing 3-G networks through HSDPA and MBMS."

Heynen added "the same goes as they roll out dedicated broadcast networks and subsequently deploy new mobile video service delivery platforms. Competition among service providers will keep subscription prices lower in the long term, but that revenue will be supplemented by incremental service revenue from on-demand viewing."

"Next year, we expect to see a spike in mobile video service revenue, due to the Summer Olympics in Beijing which, similar to last year's World Cup, is a deadline for many operators to get their mobile video services up and running," added Heynen.

The report also highlighted the Asian Pacific market as the stronghold of mobile video subscribers for the next three years.

Infonetics' report reviews North America with 10 percent of the total mobile video subscribers globally.

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Source: Wireless Week