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Technology Stocks : Qualcomm Moderated Thread - please read rules before posting
QCOM 137.34+0.8%Feb 6 9:30 AM EST

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To: Ramsey Su who started this subject3/11/2002 9:29:22 AM
From: Cooters  Read Replies (1) of 197629
 
Virgin Mobile talks content with Playboy

news.ft.com

Virgin Mobile talks content with Playboy
By Robert Budden, Telecommunications Correspondent
Published: March 10 2002 21:13 | Last Updated: March 11 2002 09:32

Virgin Mobile, the UK's fifth-largest mobile phone operator, is in discussions with Playboy, the US adult magazine publisher, to offer its customers access to soft-core pornography.

The possible deal is a sign that the mobile phone operators see pornography, already one of the most economically successful areas of e-commerce, as a potential and much-needed revenue earner.

Last year, Hutchison 3G, the newest of the UK's mobile operators, appointed a "head of adult services" to explore a range of content opportunities including gambling as well as soft-core porn.

The company said it had not yet decided which services it would offer.

Even Vodafone, the UK's largest mobile operator, which is believed to have concerns over the impact porn content could have on its brand, is considering offering soft core porn to its users. A spokesman for the group said that it would consider soft porn content deals with third parties provided these met strict industry codes of practice.

Mobile operators, which paid £22.5bn to buy third-generation licences from the government, are having to come up with new services to persuade users to pay for additional internet content. While Virgin does not own a 3G licence, it will be able to offer 3G services through its partnership with rival operator One2One.

If Virgin seals a deal with Playboy, it would enable users to download colour pictures from the internet and forward them to other mobile users. But it could also include anything from strip poker games to - when the technology evolves - short video clips.

Virgin already offers an anonymous text-message flirting service called Flirt Alert. It is also planning a "virtual girlfriend" service, where users score points depending on how they respond to questions sent by text message.

But the real driver for growth in porn is likely to come with 3G, as this will enable data such as pictures and video clips to be downloaded to mobiles much faster than current networks allow. Handset manufacturers such as Nokia and Motorola are already developing suitable 3G phones with enlarged colour screens.

Operators are desperately hoping these developments will stimulate demand. Many predict that data services, which for most operators will include porn, will help reverse a decline in average revenues per user.

Most operators expect data to account for a quarter of ARPU by 2006, from current levels of about 10 per cent.
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