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Akumiitti White Paper the Future of Mobile Entertainment

Akumiitti White Paper the Future of Mobile Entertainment

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Published by Antti Hannula

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Published by: Antti Hannula on Jul 23, 2009
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08/16/2010

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AKUMIIm
WHITE
PAPER
The
future of
mobiLe
entertainment
13
September
2001
TABLE
OFCONTENTS
Introduction 1
Akumiitti's
Market
Vision
2001-2006 2
The
Business
Model.
2ContentIs
King
5Handset Manufacturer
Alliances
6
End
User
Billing
7
Conclusion
'"
8
About
Akumiitti
9
INTRODumON
WHEN
MOBILITY
AND
ENTERTAINMENT
COLLIDE
There
are
two
major
elements to people's
lives
today, entertainment
and
mobile technology.
The
amalgamation of the
two
is
no
longer a concept, but a revolution
born
to succeed.
Wireless
portabledevices
such
as
PDA's,
CO
players, Televisions, digital cameras
and video
recorders
has
meant people
can
consume their favourite
forms
of
entertainment
on
the
go,
but
no
device
has
had
greater impact
and
transformed the
way
people
live,
work
and
interact
more
than the
mobile
handset
or
terminal.
FASTEST
GROWING
SECTOR
The
entertainment industry
has
realised that
mobility
is
another excellent opportunity to reach
mass
markets
and
make
more money.
Mobile
entertainment
is
one
of
the fastest
growing
sectors
in
the
world
today,
with
an
estimated
700 million
subscribers anticipated
by
the year 2005,
making
Mobile
valueadded services the profit
making
business
of
today
and
tomorrow.
The big
revenue earners are the value added content
and
services
which
appeal to the
mass
market, are
fun
to use
and
provide
entertainment.
Since
the inception
of
the first ringtone, subscriber demands
as
have
subscriber numbers continued to escalate at
an
overwhelming pace.
Where
ringtones, icons
and
picture messages
provide
the current staple
mobile
entertainment diet
for
subscribers.
upcoming
technological advances
will
see a greater variety
of
content
and
services available.
providing
increasedinteractivity
and
richer
entertainment, a veritable plethora
of
fun
on
the
runo
FOUR
STEPS
TO
SUCCESS
In
an
increasingly competitive market there
can
now
be
defined
four
essential elements that are set toshape the future industry
of mobile
entertainment:
1.
Optimal
Business
Model2.
Desirable
Content
and
Services
3.
Handset Manufacturer Alliances
4.
Ability
to
End
user
Bill
Copyright
©
Akumiitti
Ltd.
2001
1
 
-
---
Figure
1.
Mobile
Content
Market
AKUMIIm's
MARKET
VISION
2001-2006
As
market leader
in
mobile
entertainment softwaresolutions,
Akumiitti
is
involved
in
the most importanttrends
in
this sector.
For
us,
in
the period 2001-2006 thismeans
we
will
see significant movement
in
subscriberdemands
from
simple to
more
sophisticated content
and
services.
AkumiiUi will
continue to provide its state-ofthe-art Entertainment
Service
Center
(ESC)
total softwaresolution
for
these applications,
and
further develop withinits research
and
development department cutting-edgeconcepts
for
mass
market appeal.
Mobile
Content
Markets
40
%
-:-
---
--
---
--
-
35%
:--
--
--
--
-
--
-----
-"
-
30%
,-_.-
-
25%
:.-
-I
------
_
..
--
.
20%-;-
--
----------
15%
~ -
.--
- - ~
 
-
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1 , ~ ~ i L l ~ - E ~ ~
 
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c
..
0%
'
l'
v
~
 
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."
~
 
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g
~
~
 
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:E
~
 
~
 
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~
 
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~
 
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~
 
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~
 
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~
~
 
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E
~
 
t
j
~
 
.J;
<;;
t
~
 
'"
a::
The
change
in
trends
of
subscdberdemands between 2001 and2006
is
attdbuted to the new services and content available. These
are
made possible by the combination
ofthe
new underlyingnetwork techno(ogies ond handsetfeatures.
Akumiitti
will
exploit
all
the technological benefits that hit the market.
First
mover
advantage
haslong
been a
long
tradition
with Akumiitti
ever since the launch
of
the company
in
1993,
and
this advantage
will
also
be
a defining character
for
the company into the next
five
years.
TECHNOLOGY
MOVES
Breaking
barriers
with
greater bandwidth enabling technology,
such
as
GPRS,
will
enable
us
to providericher content
and
better service
for
all
those
using
Akumiitti's
ESC
software.
The
evolution to the nextgeneration
of
mobile
entertainment
will
be
defined
by
Akumiitti,
bigger packets of data deliveringgreater content. transferred
over
faster
andmore
reliable connections
to
an
increasing
mobile world.
With
the expected evolution
in
mobile
data
and
entertainment usage
over
3G
networks,
Akumiitti
will
provide advanced streamed
and
downloadable content that
will
use full
colour, interactivity, video
andhigh
quality audio capabilities ofthe third generation handsets.
There
will be
a significant increase
in
theamount
of
content
and
services
available, providing greater interactivity between subscriber and service.
SMS
games, chats
and
biorhythms
will
require sustained input
and
communication between subscriber
and
handset
or
terminal, resulting
in
a prolonged entertainment experience
and
increased subscriberbuy-in, whilst
comics and
animated screen savers
provide
a
more
in-depth entertainment experience.
Advanced
audio quality
and
new
video
streami
ng will
followinli
ne
with
the underlying technologies.
As
mobile
entertainment content starts to resemble traditionaI broadcasting content, the value
and
importance
of
branded offerings
will
increase. Akumiitti's partnerships
with
the leading
media
companiesmeans that
we
can
continue to deliver
COSMO,
the
most
desirable, professionally created
and
b-andedcontent packages
for
service providers
andmobile
operators
in
the
period
2001-2006
and
beyond.
THE
BUSINESS
MODEL
"The
Akumiitti
value chain, providing the
means
for
profitable distribution
of
the
most
desiredentertainment content -to
every
subscriber."Akumiitti's
ESC
Entertainment
Service
Center
forms
the basis
of
the value chain,
providing
networkoperators
with
a software solution that
makes
it possible
for
them
to
deliver
mobile
entertainmentcontent
and
services
to
subscribers.
Figure
2.
Akumiitti's
Business
Model
SUBscmBERS
Copyright
©
Akumiitti
Ltd.
2001
2
 
CONllNUOUS
REVENUE
STREAM
Akumiitti's business
model
was
created
in
recagnition af the
mobile
entertainment industry need
for
professional partnerships af industry specialists.
With
technology giants
worldwide
now
joiningcampetencies, continued
growth
and
success
would be
assured
for
those industry players
who
join
in
avalue
chain
that supports a continuous revenue stream, capturing the
mass
market
in an
increasinglycompetitive climate.
Akumiitti's
optimal value
chain
makes
this possible,
givingmembers
the ability taconcentrate
on
their care business, smoothing the
whole
process
from
cantent capyright
and
brand
owner
ta handset
or
terminal manufacturers
and finally
to subscribers
in
the
mass
market.
CLOSE
CO-OPERATION
Market
research
has
shown
that content quality; professionally created
and
branded
are
the
primary
purchasing deciders
for
subscribers.
In
order ta obtain this desirable content, it
is
dependent
upon
threefundamental components; technology, device
or
handset
and
content suppliers.
Akumiitti
utilises
and
promotes this business
model
as
it facilitates
close
co-operation
with
these professionals resulting
in
content
and
services that
really
sello
Subscribers choose content quality before anything else
Akumiitti
has
developed a series of programs
and
alliances'
which
facilitates the
flow from
contentproduction ta subscriber sales.
The
Mobile
Industry
Device
Alliance
involves
the ongoing co-operation
with
major
handset manufacturers, resulting
in
the timely availability af
new
content formats utilising
new
handset features
upon
market release.
Working
with
the top content providers
and
capyright owners
in
the
field,
Akumiitti
produces
COSMO,
a centralised content source
for
delivery, updates
and
management
for
mobile
operators
and
portals.
As
channel managers
for
this business
model
it
means
we
can
also
provide feedback
and
market analysis to content
providers,
Service
Providers
and
Operators
as
required.
This
combined
with
other initiatives
such
as
the
VAR
Partner
Program
provides
for
extensiveglobal reach, ensuring ongoing profitable returns ta
our
value
chain
participants.
COPYRIGHT
ISSUES
In
the entertainment business the
key
to
real success
is
high
quality content,
and so
accordingly, contentowners
guard
their copyrights
and
commissions vigorously.
The
issue
of forwarding
content
and
services
is
an
area
of
the
mobile
entertainment industry under careful inspection,
with
the market
growing
so
rapidly the industry cannot
afford
to
simply
rely on
honesty
and
integrity.Professionally managed business channels
such
as
Akumiitti's
which
sources content
globally
for
COSMO
is
protected
and
copyrighted. Correspondingly
ESC
software addresses copyright management,
providing
transaction details
and
reporting, a copyright database
andfee
payments accardingly ta
our
contentproviders,
providing
a secure environment forthem
to
do
business.Illegal content
is
a threat ta the
core
af the industry,
in
order ta protect
and
sustain standards
in
thefuture,
Digital
Rights
Management
(DRM)
will
become
an
industry standard
combined
with
new
technologies restricting
misuse
af downloaded content.
ALTERNATIVE
BUSINESS
MODELS
Where
this
model
succeeds,
many
others
fail.
Professionally created content
is
the number
one
discerningfactor
for
subscribers.
With
this
in
mind
it becomes imperative to create a business
model
that facilitatesthe product
and
information stream
from
provider ta subscriber.
An
alternative ta Akumiitti's business
Copyright
©
Akumiitti
Ltd.
2001
3

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