CHALLENGES AND CHANGING VALUE CHAINS
Shwetha.R and Sowmya Parvathi B
Department of Computer Science
Vivekananda College of Engineering and Technology
Abstract— This paper intends to provide a techno-economic overview of the Mobile TV business and its business models. Recent trials have shown that a large number of people would like to consume mobile TV and few people doubt that this service will eventually be offered in the majority of wireless networks around the world. However, this service is not a simple add-on to the voice and data, but comes with totally new dimensions that challenge the present markets. The aim of this paper is to identify and describe these challenges in the technology, market behaviour, and industry strategy domains.
Several business models deployed when providing mobile services are vertically integrated setups focusing on delivering generic content to consumer mass markets. However, mobile TV is not yet a clearly defined media, and it has ambiguous suggestion, which leaves us with many questions regarding what kind of services could be delivered, and how actors will interact in that process. Mobile TV could replace traditional television when users lack access to a television set, but we expect it to complement traditional TV rather than replace it. Initially, as current cases in Japan and Europe show, retransmissions of existing channels and programs will be common, but eventually it will develop into something more than just “television on the move”. It will be part of a multimedia device, which emphasizes interactivity and enables users to produce and personalize content .Mobile TV is not an isolated phenomena, but one of several distribution channels for IP TV; broadcast to TV-sets, via the Internet when stationary (desktop), via the Internet when on the move/nomadic use (laptop) and finally in the mobile phone. As mobile and fixed Internet formats increasingly converge, technical service delivery layers become standardized. “TV in the mobile” is foremost a technical challenge already solved by several carriers through streaming
solutions (acquiring of related programme rights). However, we expect “TV for mobile” (content customised and broadcast for the mobile format) to alter the traditional value network around TV content. Most notably mobile carriers take an active role in both production and distribution. In this paper we define mobile TV content as “any video played on a mobile device”. The following research questions will be addressed throughout the paper: a) How business models delivering “TV for mobile” depends on the underlying delivery technology and b) How interaction and power relations in the value network for mobile TV will change from traditional TV? The expansion of the digital domain consists largely of the reformatting and translation of content to increase availability. The digital version of previously analogue media is characterized by a higher level of “liquidity”, as digital content is more adaptive, transferable, and accessible to new platforms. This increased liquidity is one of the main driving forces behind an increasing mobility of media. Mobile TV usage will be an integrated part of this media consumption. The activity areas of actors could be summarized as below:
[pic]Figure 1 Actor involvement in mobile TV content distribution Despite the high expectations regarding market demand and business growth in the coming years, little data is available on user behaviour. Trials in Finland, England, Spain, France, Italy, and Norway, have indicated some commonalities: consumers generally prefer simplicity and high usability, mobile TV services should show high technical functionality and accessibility, content should be adapted to short periods of viewing time, and complementary mobile services (e.g. voice calls) should not be negatively affected by the TV...