Mobile Entertainment

Survey: Mobile will lead digital content investment

Jason Ankeny — Wed, 18 Jun 2008 09:00:56 -0400

Venture capitalists forecast accelerated investment in digital content creation over the next two years, with increased M&A activity also expected over the coming year, according to a new survey released by audit, tax and advisory firm KPMG. After polling 300 venture capitalists, corporate execs and investment bankers, KPMG reports that 52 percent of respondents believe venture investment in online and mobile content creation will grow during the remainder of the decade; 25 percent of respondents believe investment will increase by more than 20 percent, with participants in the study split evenly on whether investment will support user-generated content or professional content providers.

Asked which sectors will experience the greatest investment boost, 31 percent of respondents cited mobile applications, 26 percent pointed to technology enablers and 20 percent named social media services. While 31 percent of respondents expect social networks will dominate mobile entertainment market revenue by 2009, gaming and music downloads each garnered 20 percent of the votes, followed by video (14 percent) and user-generated applications (10 percent). Among participants citing mobile social networking, 44 percent believe social media sites themselves will take the lead, with 22 percent pointing to content owners, 20 percent brand advertisers and 14 percent wireless operators. In addition, 90 percent of VCs believe mass adoption of mobile video will take place in the next five years, with 60 percent forecasting it will happen in the next three years.

For more on the KMPG study:
- read this release

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Viva Vision debuts SI Swimsuit slideshow

Jason Ankeny — Wed, 18 Jun 2008 08:34:43 -0400

Mobile entertainment provider Viva Vision announced a strategic partnership with the Sports Illustrated Group to create the SI Swimsuit slideshow, bringing to mobile bikini-clad supermodels culled from the pages of the magazine's annual swimsuit issue. Per terms of the deal, Viva Vision will enjoy full access to the Sports Illustrated photo library, presenting photos from this year's issue as well as vintage snapshots from past editions--the firm's proprietary slideshow platform enables subscribers to pause, rewind, fast-forward and save favorite images. Users may also vote on their favorites. The SI Swimsuit slideshow will launch in various markets later this summer.

For more on the SI Swimsuit slideshow:
- read this release

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Buongiorno, innerActive team for ad-funded content

Jason Ankeny — Tue, 10 Jun 2008 10:18:58 -0400

Ad-funded entertainment provider innerActive Smart Media announced an agreement with Buongiorno to offer the mobile entertainment provider's customers free ad-supported games, video and messaging services. Buongiorno will offer innerActive content embedded with non-intrusive, contextual advertisements and product placements directly to consumers via its HotSMS mobile advertising and marketing service--HotSMS will also manage ad sales. According to innerActive, earlier trials of its platform produced click-through results in the 40 percent neighborhood, with downloads 10 times higher than premium games. innerActive adds that 78 percent of games players who participated in the trials were new users who had never downloaded a mobile game before.

For more on the innerActive/ Buongiorno deal:
- read this release

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MEF: Ad-funded entertainment to $336M by 2013

Thu, 29 May 2008 06:59:56 -0400

The U.S. market for ad-funded mobile entertainment will grow to $336.35 million by 2013, expanding the total mobile media market by 4.6 percent, according to a new forecast released by the Mobile Entertainment Forum global trade association. The MEF says brand-subsidized content will yield the majority of revenues at $262.7 million, with the remainder generated by premium content upselling. Mobile video and TV are expected to account for 41.4 percent of ad-funded revenues within five years, followed by music at 34.5 percent and gaming at 24.1 percent.

For more on the MEF forecast:
- read this release

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Jamba names Hagros COO

Fri, 23 May 2008 06:59:57 -0400

Mobile content provider Jamba announced the appointment of Kaj Hagros as COO. Hagros replaces outgoing COO Lee Fenton, who will leave the firm at the end of June to pursue other opportunities. Hagros most recently served as vice president of market development for Airwide Solutions and will be charged with developing and executing product, technology and content strategies--he will be based in Berlin and will report to Jamba CEO Mauro Montanaro.

For more on the Hagros appointment:
- read this release

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'Known' titles equate to better mobile game sales

Tue, 20 May 2008 07:00:00 -0400

When it comes to predicting what it takes to make a successful mobile game, there is no exact formula. However, it seems as if "known" titles, or games that already have a track record in console form and have enormous name recognition with subscribers, tend to do the best. That's one of the reasons the mobile version of Tetris has always topped the mobile game charts.

Hands On Mobile's latest mobile game, Guitar Hero, seems to be following that path. The game, which launched on Verizon Wireless in early December 2007, quickly rose up to the top of the charts and in January it became the No. 1 top seller on Verizon's deck, beating long-time winner Tetris.

JJ Leichleiter, senior product manager at Hands On Mobile, says that not only is Guitar Hero's success attributed to the game's phenomenal popularity in console form, it also has to do with the way Hands On finessed the game for mobile. For example, the company made some audio mixing advances so that high-end BREW handsets offered by Verizon could have multiple audio tracks including one dedicated guitar track.

The company also continually updates the music track for the game so every month subscribers get three new songs added to the original selection of 15 games. "That's driving people to come back," Leichleiter says.

Obviously, successful mobile games such as Guitar Hero don't come along every day, but mobile game publishers can learn from its success. Name recognition, compelling game play and special features that make players come back time and again are some of elements that seem to spell success. -Sue

kajeet draws up content deal with Cartoon Network

Tue, 20 May 2008 06:59:57 -0400

Tween-focused pay-as-you-go MVNO kajeet announced an agreement with Turner Broadcasting System to add Cartoon Network mobile content from hit cable series including Ben 10: Alien Force, Chowder, The Grim Adventures of Billy & Mandy and The Powerpuff Girls. The deal adds Cartoon Network ringtones, wallpapers and games to the kajeet premium content catalog, which also includes tween-centric mobile media from partners including AOL, Electronic Arts and Glu Mobile.

For more on the kajeet/Cartoon Network deal:
- read this release

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EA Mobile scores Taito game licenses

Tue, 20 May 2008 06:59:56 -0400

Interactive entertainment software firm Electronic Arts announced its EA Mobile division has secured exclusive European mobile distribution and licensing rights to gaming giant Taito Corporation's catalog of titles, including arcade classics Space Invaders, Arkanoid and Bubble Bobble. Per terms of the deal, EA lands rights to Taito properties across all existing mobile channels and mobile devices as well as emerging mobile channels and platforms.

For more on the EA Mobile/Taito deal:
- read this release

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AT&T unveils the Ringtone A-List

Fri, 16 May 2008 06:59:56 -0400

AT&T announced the launch of the Ringtone A-List, a new website that details the ringers found on the mobile phones of B-list celebs like The Hills' Lauren Conrad, members of alt-rock band Panic at the Disco and champion bull rider Justin McBride. According to AT&T, the Ringtone A-List will update monthly with a new selection of ringtones endorsed by stars from the worlds of TV, film, music and sports--subscribers may also preview audio clips and download their favorite celeb's ringtone to their own handset.

For more on the Ringtone A-List:
- read this release

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MEF launches social networking initiative

Thu, 15 May 2008 06:59:55 -0400

The Mobile Entertainment Forum global trade association announced it will launch a mobile social networking initiative focusing on revenue generation, business models and consumer protection. The mobile social networking effort, which initially spans the U.S., U.K., France, India and Italy markets, will develop best practices for different territories according to local regulatory standards. The MEF will install three members in each market to formulate a project plan, schedule of deliverables and communications outreach program. A recent internal survey identified social networking as the top priority among 60 percent of MEF members.

For more on the MEF program:
- read this release

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RealNetworks to spin off casual games biz

Fri, 09 May 2008 06:59:59 -0400

Digital entertainment services firm RealNetworks announced it will spin off its growing casual gaming business as an independent public company. Although RealNetworks currently plans to distribute shares in the venture to existing shareholders, as much as 20 percent of the as-yet-unnamed firm may be offered via IPO--a decision will be made by the end of 2008. RealNetworks entered the casual gaming business in 2001, and three years later purchased game production firm GameHouse--earlier this year, Real acquired casual games syndication company Trymedia from copy-protection and rights-management solutions developer Macrovision. In the first quarter of 2008, Real issued 38 new titles for the PC and mobile platforms, six of them developed in-house, and enjoyed Q1 game sales of $31.8 million, more than 20 percent of its overall $147.6 revenue for the period.

For more on RealNetworks' gaming plans:
- read this Seattle Times article

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Warner Music Group mobile revenues slip in Q2

Fri, 09 May 2008 06:59:58 -0400

Warner Music Group reported its mobile music revenues slipped from $56.4 million in the first quarter of 2008 to $49.2 million in the second quarter. The music giant reported a $37 million Q2 loss, compared with $27 million losses a year earlier--revenue grew 2 percent to $800 million, from $784 million a year earlier. Overall recorded music sales rose only 0.6 percent year-over-year to $652 million, but WMG's total digital music sales grew 48 percent to $164 million versus $111 million a year ago, a swing the company credited to increasing music download purchases. Digital sales now represent 21 percent of WMG's total revenue.

"Approximately 65 percent of our total digital revenue was generated in the U.S. and 35 percent in the rest of the world," said Warner Music Group chief financial officer Michael D. Fleisher during Thursday's earnings call. "Our worldwide digital revenue stands at about 70 percent online and 30 percent mobile. In both the U.S. and internationally, online is a larger share of our digital business than mobile. Mobile remains soft as ringtone sales fell year over year in the U.S. and remained flat sequentially internationally in the quarter. Newer mobile products, such as ringback tones, full track downloads and other more innovative offerings remain too small as yet to meaningfully impact mobile results."

For more on Warner's Q2 results:
- read this release

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ROK Entertainment acquires Jalipo

Tue, 06 May 2008 06:59:59 -0400

Global mobile entertainment group ROK Entertainment announced its acquisition of Jalipo Media Limited, an online TV and video marketplace enabling content owners to distribute their channels, video-on-demand and live events direct to viewers via the web. In a statement, ROK CEO Laurence Alexander noted significant synergies between Jalipo's product offering and his firm's live and on-demand mobile broadcast technologies. Per terms of the deal, ROK will acquire 100 percent of Jalipo's issued and to-be-issued share capital for total consideration of 600,000 ordinary shares--roughly $16.8 million.

For more on the ROK/Jalipo deal:
- read this release

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Aniboom inks mobile animation deals

Tue, 06 May 2008 06:59:55 -0400

Multi-platform animation network Aniboom announced a series of deals with mobile entertainment destinations and distributors including MobiTV, Thumbplay, Buongiorno, Cellfish, Jamster, and Player X, which the firm said broadens its content reach to more than 200 million potential mobile consumers worldwide. According to Aniboom, MobiTV plans to leverage its library of independent cartoons to create a new animation channel. Aniboom simultaneously launched a new mobile production initiative, calling on creators to develop original animated content for distribution and viewing across the handset platform. The firm promises animators guidelines to develop and monetize mobile content, complete with original music to score their productions as well as feedback from mobile consumers.

For more on Aniboom's mobile push:
- read this release

Study: Digital media revenues rising

Mon, 05 May 2008 06:59:57 -0400

Seventy percent of media and entertainment companies now derive some revenue from alternative channels like on-demand content, digital advertising and user-generated content, according to management consulting firm Accenture's annual Global Media Content Survey. Even though the advertising, film, music, publishing, radio, web, videogame and television execs surveyed indicate their new media revenues yield less than 10 percent of overall revenues, Accenture notes even that small percentage signifies tremendous growth over last year's survey.

When asked to identify the largest drivers of revenue growth over the next five years, 66 percent of respondents cited multi-platform content delivery, far ahead of new content types (24 percent) or new geographies (10 percent). Sixty-three percent of respondents said they will pursue a multi-screen distribution strategy embracing television, online and mobile delivery. Short-form video was cited by 38 percent of respondents as the format generating the greatest growth, followed by online portal/publishing (23 percent) and videogames (18 percent). Sixty-eight percent of respondents identified social media and UGC as major growth opportunities, and 56 percent indicated they are already involved in social media in some capacity. Nearly two-thirds of respondents favor ad-supported business models, with 25 percent pointing to subscription-based services and 11 percent citing pay-per-play services.

The Accenture survey found that 55 percent of respondents believe mobile requires three years to emerge as a true mass-market medium, while the remaining 45 percent feel that evolution will require even more time. Consumer readiness remains the most oft-mentioned barrier to mass mobile uptake, according to 51 percent of respondents--42 percent cited the failure of a consistent user experience, while readiness questions surround both mobile operators and content providers according to 37 percent of respondents.

For more on the Accenture survey:
- read this release

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Neurotic inks mobile deal with Hastings

Mon, 05 May 2008 06:59:55 -0400

Media distribution platform and retail store solutions provider Neurotic Media announced an agreement with multimedia entertainment retailer Hastings Entertainment to launch a digital content storefront powered by Neurotic's hosted downloads service Amplified Stores. Per terms of the deal, Neurotic will provide MP3- and WMA-format music downloads, ringtones and wallpapers spotlighting acts from major and independent labels alike--the service will also support mobile text-to-shortcode ordering. The Hastings download store is scheduled to launch in July.

For more on the Neurotic/Hastings deal:
- read this release

Apple brings new DVD releases to mobile

Fri, 02 May 2008 06:59:59 -0400

Three months after introducing its iTunes Movie Rentals service, Apple announced that new movie releases from both major and independent film studios will now be available for digital purchase from the iTunes Store on the same day as their DVD release. New releases from 20th Century Fox, The Walt Disney Studios, Warner Bros., Paramount Pictures, Universal Studios Home Entertainment, Sony Pictures Entertainment, Lionsgate, Image Entertainment and First Look Studios will be available for $14.99, with most catalog titles priced at $9.99. New DVD releases available for purchase via iTunes this week include American Gangster and The Diving Bell and the Butterfly, joining other recent Hollywood titles including Juno, Cloverfield and There Will Be Blood. Movies can be previewed, purchased and watched on the iPhone, iPod classic, iPod nano with video and iPod touch devices.

For more on Apple's new release effort:
- read this release

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Mobile TV madness

Tue, 29 Apr 2008 07:00:00 -0400

Last week I wrote about the national broadcasters and their mobile TV agenda. Now comes word that direct broadcast satellite provider Dish Network Corp. has teamed with Alcatel-Lucent to test DVB-SH (direct video broadcast-satellite services to the handset) technology.

Dish is an important player to watch because of its recent 700 MHz spectrum winnings. The company spent more than $700 million on 168 wireless licenses in the 700 MHz auction but has yet to reveal its plans. This trial certainly has many speculating that the company may be contemplating using DVB-SH in the 700 MHz. DVB-SH can be used in any frequency below 3 GHz, including UHF, L-Band and S-Band.

Dish isn't the first U.S. company to test DVB-SH. Satellite company ICO Global Communications earlier this month deployed a GEO satellite that will deliver a satellite-hybrid terrestrial network using DVB-SH. The company plans to begin market trials in Las Vegas and Raleigh-Durham in mid-2008 of what it calls ICO mim (Mobile Interactive Media). The trials will focus on three areas: entertainment using DVB-SH for mobile TV services, guidance services that will include real-time traffic data and social networking applications and assistance services, which will offer OnStar-like roadside services. Like Dish, Alcatel-Lucent is providing the DVB-SH gear.

Despite the relatively lackluster performance of carrier-driven mobile broadcast TV services, it's apparent other players--i.e., broadcasters, DBS providers and satellite firms--all believe they have the wherewithal to make mobile TV succeed.

While these other services are still in the early stages of development, I think it's time for the carrier-driven mobile broadcast TV services to re-evaluate their pricing scenarios and their business models. If they want to truly capture the mass market potential of this service, they need to make some dramatic changes soon because competition is coming--in many different forms. -Sue

Verizon, Vodafone team for live Madonna simulcast

Tue, 29 Apr 2008 06:59:59 -0400

Verizon Wireless and Vodafone announced they will team to deliver a live global mobile simulcast spotlighting performances from Madonna's April 30 show at New York City's Roseland Ballroom. The simulcast, which expands Vodafone's exclusive mobile content distribution and promotion deal with Warner Music International in support of the new Madonna album Hard Candy, will feature four live songs from the disc, officially dropping Tuesday. Verizon Wireless is scheduled to begin the mobile broadcast at 10 p.m. EST via the V Cast Performances channel, with Vodafone Live's broadcast beginning at 3 a.m. GMT for subscribers in the U.K., Germany, Italy, France and close to a dozen other international markets. V Cast Performances will also archive the performance for 30 days.

Earlier this month, Verizon Wireless issued an exclusive "mobile underground remix" of the new Madonna single "4 Minutes" remixed by hip-hop mastermind Timbaland, who is also slated to release an exclusive album via the operator's Mobile Producer in Residence program.

For more on the Madonna mobile simulcast:
- read this release

Off-deck content revenues grow 20% in 2007

Tue, 29 Apr 2008 06:59:58 -0400

The off-deck mobile content platform market increased almost 20 percent in 2007, accounting for a $3.4 billion share of total $18.5 billion premium mobile content revenues, according to new research by market analysis firm MultiMedia Intelligence. While MultiMedia Intelligence says the North American market is transitioning to a premium mobile content ecosystem dominated by off-deck sales, content discovery and acquisition remains too challenging for consumers--in addition, the firm anticipates operators in the U.S. and Europe will begin instituting strict new guidelines and penalties to curtail questionable and unprofessional off-deck activities, following a precedent recently set by Sprint Nextel. MultiMedia Intelligence adds the premium content market will begin to feel the effects of mobile advertising, with video the dominant driver--ringtones still lead mobile music revenues despite growth in full track downloads, streaming music and ringbacks, although ringtone sales as a whole are in decline.

For more on the MultiMedia Intelligence report:
- read this release

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