Mobile phone owners already are partially outside mobile operator content walled gardens, a new survey by ABI Research suggests. And there is no reason to believe this trend is not a permanent feature of the mobile content and applications business.
The 14 percent of respondents who said they use their phone to watch video was split nearly evenly between those who watch video from websites such as YouTube (35 percent), from their own carrier’s video offering (31 percent), and from video they sideload onto their mobile devices (28 percent).
The leading source of music files on a mobile phone was ripped CDs and sideloading onto the phone (48 percent of mobile-music listening respondents), while over one third of music-listening respondents (35 percent) purchased music through their carriers.
As an example, today’s mobile consumer is more likely to watch a video from YouTube on his or her phone than a video from the carrier’s own service, but is more than twice as likely to get ringtones from the carrier than from any other source.
“Perhaps more with the mobile phone than any other consumer electronics device, content is obtained from a variety of sources,” says research director Michael Wolf. “This shows that despite the strong control most carriers retain over the network, their control over the mobile content ecosystem remains limited. The consumer will see more and more options for obtaining rich media in the future.”
In the mobile business, as in the video, music, voice and Internet businesses, closed and walled garden business models are learning to live side by side with the open models of the Web. It isn't clear whether, in the future, all content will flow "over the top."
At some point, if it is possible for consumers to grab the content they want, when they want it--and business relationships with content owners are just as important as physical bandwidth in that regard--then we will see a serious test of the dominance of "packaged" distribution such as cable TV, broadcast TV or telco voice.
Thursday, March 20, 2008
Mobile Walled Garden? No Way
Gary Kim has been a digital infra analyst and journalist for more than 30 years, covering the business impact of technology, pre- and post-internet. He sees a similar evolution coming with AI. General-purpose technologies do not come along very often, but when they do, they change life, economies and industries.
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