Report: Content developers under pressure

A new report released by research firm Informa Telecoms and Media, in partnership with content consultancy firm Peaceful Fish, forecasts global revenues from mobile TV and video services will rise from $2.46 billion in 2006 to $8.35 billion in 2011, but warns content providers may find the market rough sledding.

"While mobile TV and video content is less expensive to produce than film or broadcast TV content, it still requires upfront production costs that typically run into several thousand dollars per minute," Chris Coffman, senior research analyst at Informa and author of the report "Getting Into Mobile TV and Video," said in a prepared statement. "Revenue shares do not fund the initial creation of content. The mobile TV and video sector would benefit from distributors, such as broadcasters, mobile operators and content aggregators, sharing in more of the risk."

Informa suggests alternative revenue strategies including minimum guarantees and licensing fees that ensure upfront payments for content producers, as well as securing outside investments from venture capital firms and public multimedia funds.

For more on mobile content production challenges:
- check out this release