Wednesday, March 6, 2013

Service Providers Not Making Much Money from Mobile Content, Billing for It Is More Lucrative

Mobile service providers have not achieved much market share from content sales globally at least as measured by volume of downloads, Juniper Research estimates.

Mobile operator storefronts and portals now account for about six percent of content downloads worldwide, with Google Play and Apple’s App Store now comprising nearly 70 percent between them. 

That has lead many operators to close their own storefronts, Juniper Research says. On the other hand, the value of mobile content that could be sold using direct carrier billing could rise from $2 billion in 2012 to more than $13 billion by 2017, according to Juniper Research. 

Direct carrier billing might therefore be said to represent a more lucrative mobile service provider revenue opportunity than selling mobile content. 


Analysys Mason forecasts that direct carrier billing will provide service providers with more than US$12 billion in revenue in 2022. 

According to mobile applications vendor Ebscer, since BlackBerry introduced carrier billing in August 2010, the percent of sales coming from carrier billing has increased every month for Ebscer. 

At the end of April 2011, over 25 percent of total app sales for Ebscer in BlackBerry App World were coming from operator billing.

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