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30th August 2005 - 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 Sámi, 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 obtain
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
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