Viewers may rejoice all the more

For the short term, mobile operators will barely make any profit from offering mobile TV services. Despite an estimated increase of subscriber numbers to 140 Millions by 2011. That’s the conclusion of Screen Digest’s latest study about Mobile TV. But hopes for revenue are not entirely in vain – operators hanging on until the year 2011 are to be rewarded.

Not only mobile operators have to face „a myriad of issues“, also broadcasters and content creators should use other distribution channels to achieve turnover in the medium term.

An increasing number of subscribers doesn’t necessarily mean increasing revenues – Asia has the highest penetration rates of mobile TV, but according to the study it will generate only a relatively small part of global revenues (17 per cent) compared to the US (40,5 %) and mainly Europe (42,5 %).

The way to these revenues will be laborious for the operators. They’ll have to offer mobile services to remain competitive and to establish a broad subscriber base. This base could be tied to Pay TV contracts later on. “The free-to-air services are the success stories for subscriber uptake, yet business models are still to be proven”, Ronan de Renesse, the report’s author, explains. The experience in Italy shows that mobile Pay TV can definitely function. According to Renesse, ad-financed models are possible as well.

On the part of the operators, the nearby future for viewers “on the go” is looking bright. But will they really be willing to pay after some years of free mobile TV? Moreover, in Germany the public sector broadcasters have some say, too. Which business models will finally be best, remains to be seen. But it’s safe to say that mobile TV won’t remain an asian phenomenon in long-term.