India to soon go the mobile TV way

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The report - 'Mobile TV in India: Understanding the Mobile Entertainment Needs of Indian Users' - examined the factors that will determine the adoption, popularity and success of mobile TV services in India and its findings are based on a survey conducted among 1,215 mobile users in six major Indian cities.

The research estimates that in the first year of operation, mobile TV could reach a penetration level of 5 to 6 percent of the total mobile subscriber base in India which is around 233 million.

"India might follow Korea or the US for the adoption of this technology," said Ravi Shekhar Pandey, manager of Syndicated Research at Springboard Research.

He also said "Though the Indian mobile customers' average revenue per user (ARPU) is relatively lower than Korea or US, but the huge mobile subscriber base makes it a lucrative revenue stream for operators."

Mobile TV is a technology that allows people to view regular live television content on their mobile phones or other mobile devices that they commonly get through traditional cable or pay TV subscriptions at home.

"Mobile TV marries the two dominant consumption trends of entertainment and mobile telephony in India," added Pandey.

"The market is ripe for the launch of Mobile TV services and we believe that India will have around 12 million mobile TV subscribers within the first year of launch of service," he added.

Springboard estimates that in 2008 India's market for mobile TV services will reach $360 million (Rs. 1,440 crore).

Currently, Doordarshan is the only operator offering mobile TV service in India. The report states that in recent months the market has seen increased activities from various stakeholders including technology providers, network equipment vendors and mobile service providers like Nokia, Spice Telecom, Qualcomm and Samsung.

"Both telecom companies as well as broadcasters will have to invest in proper infrastructure and a congenial environment to provide such services," said Pandey.

Majority of mobile phone users interested in using Mobile TV service said that the service should be commonly available and affordable. Almost 60 percent of these said that they would prefer to watch the same content that they get on television at home. News, sports, music videos and game shows were the four dominant types of content that the surveyed users will prefer watching on mobile TV.

"Mobile telephone operators will have an advantage over standalone mobile TV operators in that the former already have users subscribing to their value-added services. However, the success of either operator will be dependent on content offered and price charged for the service," Pandey stated.

The report has also recommended that service providers should offer 'on-demand' or 'pay-per-view' options that do not tie a user to a monthly subscription for the service.

"A majority of mobile users in India are interested in trying out mobile TV and would invest in new handsets for using the service. This willingness is definitely a positive sign for those considering offering mobile TV in one of the world's largest and fastest growing mobile services market," Pandey said.

Nokia and Samsung have already forayed into this speculated market as their latest, state-of-the-art handsets have the compatibilities to support the services of mobile TV. Only time will tell how this trend-setting technology shapes up and revolutionizes India's mobile culture.