Consumers also want to watch TV programs on their mobile
08-30-2005
Espoo, Finland - Results announced today from one of the world's
first commercial mobile TV pilots in Helsinki, Finland reveal the
popularity and willingness to pay for mobile TV services,
underlining the potential of this exciting new mobile application.
41% of pilot participants would be willing to purchase mobile TV
services and half thought that a fixed monthly fee of 10 euros was a
reasonable price to pay. Over half (58%) said that they believed
broadcast mobile TV services would be popular.
Digita, Elisa, MTV, Channel Four Finland (Nelonen), Nokia,
TeliaSonera Finland and YLE jointly conducted the pilot in Finland
between March and June 2005 with 500 users accessing mobile TV using
the Nokia 7710 smartphone and DVB-H technology.
Content is king
According to the pilot results, pilot participants not only wanted
to watch familiar program offerings, but they would also welcome
mobile TV content that is suitable for short and occasional viewing.
Familiar programs available through national Finnish television
channels proved to be the most popular followed by sports and news
channels (CNN, BBC World, Euronews). The Ice Hockey World cup games,
the San Marino and Monaco Formula One as well as the UEFA Champions
League match between Liverpool and AC Milan were among the top 10
programs viewed during the pilot.
Viewing patterns
In general, mobile TV users spent approximately 20 minutes a day
watching mobile TV, although more active users watched between 30 to
40 minutes per session. Participants also watched mobile TV at
different times than traditional TV peak hours.
Mobile TV was most popular while traveling on public transport to
relax or to keep up to date with the latest news although it also
proved popular at home for entertainment and complementing
participants' main TV watching.
Pricing models
The potential commercial benefits of mobile TV are clearly evident
from this pilot with 41% willing to pay for the service. Pilot
members were charged a monthly fee of 4.90 euros although half of
those that took part thought 10 euros per month was a reasonable
price to pay. Overall, users preferred a fixed pricing model
although many were also interested in a pay per view model - i.e.
buying access for specific content such as a football match or
racing competition.
The pilot results also reveal the key requirements from consumers in
order to use mobile TV services:
- Easy and intuitive service usability
- Good technical functionality and reliability
- Content that is also suitable for short period viewing
- Mobile phone functions must not be compromised by the TV
application
"The Helsinki pilot reinforces our belief that mobile broadcast TV
is a significant opportunity," said Richard Sharp, Vice President,
Rich Media, Nokia. "The message for the industry is clear: for
mobile TV services to succeed we need relevant and compelling
content, easy-to-use technology and reasonable and simple pricing
plans. With these elements in place, consumer demand for mobile TV
will follow."
DVB-H technology allows television channels to be distributed
effectively to mobile devices. It provides the best user experience
in the mobile environment with excellent, broadcast quality picture,
reduced battery consumption and wide range of channels (up to 55
channel are possible).
Additional information:
Finland's mobile TV project: www.finnishmobiletv.com
About Digita
Digita Oy is the leading Finnish distributor of radio and television
services, and an important developer of data communication networks
and network infrastructure. Digita's nationwide organisation ensures
the high quality of services 24 hours a day. Digita's customers
include television and radio broadcasting companies, as well as
mobile and broadband operators. The company's turnover was 89
million euros in 2004 and it employs 370 people. Digita is part of
the international TDF Group.
About Elisa Oyj
Elisa Oyj is a provider of overall telecommunication services, which
offers versatile voice and data services, connections to the
Internet and content services, telephony solutions, customized
communication and ICT solutions, international communication
solutions and network operator services.
Elisa's revenue for 2004 amounted to EUR 1.36 billion, and by the
end of the year the company employed 5,376 people. At the end of
2004, Elisa's networks hosted a total of 1.22 million fixed
subscriptions. The number of broadband subscriptions is soaring,
amounting to 222,307 in the year-end. There were 1.38 million mobile
phone subscriptions in Elisa's network at the end of 2004. Listed on
the Helsinki Stock Exchange, Elisa has approximately 300,000
shareholders comprising domestic and international institutional
investors plus Finnish households.
About TeliaSonera Finland Oyj
TeliaSonera Finland Oyj, the Finnish profit centre of TeliaSonera,
offers products and services under the Sonera brand. TeliaSonera is
the leading telecommunications company in the Nordic and Baltic
regions.
At the end of December 2004 TeliaSonera had 15,411,000 mobile
customers (51,359,000 incl. associated companies), 8,312,000 fixed
telephony customers (8,943,000 incl. associated companies) and
2,017,000 Internet customers (2,056,000 incl. associated companies).
Outside the home markets TeliaSonera has extensive interests in the
growth markets in Russia, Turkey and Eurasia. TeliaSonera is listed
on the Stockholm Exchange and the Helsinki Stock Exchange. Net sales
for January-December 2004 amounted to SEK 81.9 billion (EUR 9.08
billion). The number of employees was 29,082.
About Yleisradio
Yleisradio Oy (YLE) is a media company engaged in public full
service television and radio broadcasting, whose tasks, operation
and financing are defined by law. YLE makes programs in mainly
Finnish and Swedish but also in S?, Romany and sign language. YLE is
mainly state-owned, and its operation is principally financed
through television fee revenue. YLE's objective is to guarantee
Finns equal opportunities to obta in information, have experiences,
be entertained and to educate and advance themselves.
About MTV3 and Subtv
MTV3 and Subtv channels are viewed every day by three million people
in Finland. Together they accounted for 38% of TV viewing in 2004.
MTV3 reaches more people than any other media in Finland. Subtv is a
cable and digital channel that is growing fast, reaching 800,000
people in Finland daily in January 2005. MTV3 is Finland's biggest
advertising media in terms of advertising revenue. Advertisements
can be broadcast on MTV3 either nationwide or focused on up to ten
coverage areas.
About Channel Four Finland (Nelonen)
Channel Four Finland is part of Swelcom, SanomaWSOY's electronic
media sector. Focusing on active city-dwellers, Channel Four Finland
holds a strong position among viewers and advertisers. Watched every
week by 74% of the population, Channel Four Finland is Finland's
third-largest advertising media in terms of net sales.
About Nokia
Nokia is a world leader in mobile communications, driving the growth
and sustainability of the broader mobility industry. Nokia connects
people to each other and the information that matters to them with
easy-to-use and innovative products like mobile phones, devices and
solutions for imaging, games, media and businesses. Nokia provides
equipment, solutions and services for network operators and
corporations. www.nokia.com
Media Enquiries:
Digita
Jaakko Harno, Sales Director
tel. +358 40 843 613
Elisa
Jonas Kronlund, Technology Specialist
tel. +358 50 598 2789
e-mail: jonas.kronlund@...
TeliaSonera Finland
Pekka Pesari, Development Manager
tel. +358 400 404086
e-mail: firstname.lastname@...
YLE
Jari Lahti, Head of TV New Media
tel. +358 40 544 4326
e-mail: jari.lahti@...
MTV Oy
Juha Mustonen, Assistant Manager
tel. +358 50 5004145
e-mail: juha.mustonen@...
Channel Four Finland
Pirjo Airaksinen, Senior Vice President, programming
tel. +358 400-303 043
e-mail: pirjo.airaksinen@...
Nokia, Multimedia
Communications
tel. +358 7180 45725
www.nokia.com/mobiletv
www.nokia.com