Wednesday, February 4, 2009

Mobile Video on a Phone Near You

The latest Nielsen report is a fabulous overview on the adoption of mobile video on the cellphone. Clearly the growth of smartphones, 3G networks and "all you can eat" data plans is easing the consumer into this latest mobile data phenom. According to Nielsen, 109 M mobile consumers have the capability to view mobile video, and out of that there were 10.3 M mobile viewers in the 3rd quarter of 2008. This represents a significant (14%) growth over the previous quarter.

Is this a pivot upwards? It is still early to tell, but their are critical mass factors. Users are accessing mobile video in a number of ways - through subscriptions, downloads, mobile web and through applications. Users are paying for the service (on average $7.32 per month) which means revenue in the pocket of content providers, carriers and publishers - which is clearly an incentive.

But there has not been that "big boom" factor such as when Broadcast.com streamed the Victoria Secret Fashion show online and brought down servers across the Internet. That was a seminal event that showed online internet video could be a mass medium. Mobile video has not reached that point yet. But it might be right around the corner.