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To: elmatador who wrote (18546)3/2/2002 11:50:52 AM
From: Eric L  Read Replies (1) of 34857
 
re: Frost and Sullivan on MMS

The Field:

CMG, Logica, SchlumbergerSema, Comverse, Alcatel, Motorola, Nokia and Ericsson are in pole position to yield first fruits in the MMS race:

>> Frost And Sullivan Warn Against MMS Hype

March 02, 2002
CommerceNet Scandinavia
Timo Poropudas

In the MMS services the role of content services will be larger than in the SMS services.

“An eagerly awaited technology like MMS runs the risk of disappointing customers the same way WAP did. Marketing messages should emphasize aspects such as the display limitations of handsets in terms of color and size. The customer should be aware of real expected data rate and not the theoretical,” warns Eduardo Gonzalez, research analyst at Frost & Sullivan.

A new report from the marketing consulting company believes that mobile multimedia messaging, building on familiar text-messaging features but adding graphics, video, sounds and other multimedia elements, will offset the SMS decline in the future. “We expect MMS to account for 66.3 per cent of all mobile messaging revenue (excluding e-mail) in 2006,” notes Gonzalez.

As with any new service and technology, it becomes crucial to convey the enhanced features and user-value with effectiveness and transparency, Gonzales writes.

More Content Services

The success of MMS relies heavily on the content available to the subscriber although the main thrust of mobile data services revenues are derived from peer-to-peer messaging. Frost & Sullivan believes that a much higher proportion of traffic will correspond to application-to-person communication such as information services, entertainment and music than in SMS.

“Operators will play a crucial role in the MMS value chain, forging the right relationships with third-party content application providers and retaining the ownership of the applications. Customer education and the provision of an integrated and consistent experience for the user will be vital to operators’ success rates,” the author explains.

CMG, Logica, SchlumbergerSema, Comverse, Alcatel, Motorola, Nokia and Ericsson are in pole position to yield first fruits in the MMS race, the report states. The financial burden of the 3G awards strengthens the position of network infrastructure providers since they will be able to offer MMSCs bundled into 3G infrastructure products and can provide an end-to-end solution including MMS-enabled handsets. <<

- Eric -
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