Warning: Early-Adopters Have Lukewarm Response to Multimedia Handsets

• TV on cell phones
• Storage capacity for music and video files
• Payment schemes
• Video content preferences

Table
of Contents

• Executive Summary
  
  


• Methodology
  For Data Collection
  
  


• Overview
  
  


• Music
  
  
  
  
  
  • Getting Music
    Files: USB Cable Wins
    
    
  
  
  • Storage: How
    Much is Enough?
    
    
  
  
  • Sweet Spot
    for MP3 Phone: $10 to $25 Extra
    
    
  
  
  • Tepid Interest
    in FM Radio
    
    
  
  
  • Weak Interest
    in AM Radio
    
    
  
  
  
  


• TV
  
  
  
  
  
  • Broadcast TV
    Stirs Little Interest
    
    
  
  
  • Paying Extra:
    Less than $10 to $25 Per Handset
    
    
  
  
  • Slight Interest
    in Video on Demand (VOD)
    
    
  
  
  • Thumbs Down
    for Current VOD Payment Model
    
    
  
  
  
  


• Paying for Audio
  or Video Services
  
  
  
  
  
  • Top Scheme:
    Pay Per Clip, or Song
    
    
  
  
  
  


• Carriers and
  Multimedia
  
  
  
  
  
  • Best Multimedia
    Carrier
    
    
  
  
  • Interest in
    TV on a Handset by Carrier
    
    
  
  
  • Music Phone
    Interest by Carrier
    
    
  
  
  
  


• Phone Brand
  
  
  
  
  
  • Interest in
    a Music Phone by Brand
    
    
  
  
  • Interest in
    TV Phone by Brand
    
    
  
  
  • Interest in
    Storage by Phone Brand
    
    
  
  
  
  


• Storage
  
  
  
  
  
  • Removable Storage
    
    
  
  
  • Interest in
    Removable Storage by Carrier
    
    
  
  
  
  


• Demographics
  
  
  
  
  
  • Occupation
    
    
  
  
  • Age
    
    
  
  
  • Income
    
    
  
  
  • Summarizing
    End-Users
    
    
  
  
  
  


• Handset Forecasts,
  Technology
  
  
  
  
  
  • Emerging Mobile
    TV Rivals
    
    
  
  
  
  


• Multimedia Handsets
  
  
  
  
  
  • Music Phones
    
    
  
  
  • TV and Video
    Phones
    
    
  
  
  
  


• Summary

List
of Tables

• Table 1.
  Worldwide MP3-playing (and other music file formats) Cell Phone Forecast,
  2005-2010 (Units in Thousands)
  
  


• Table 2.
  Worldwide TV-enabled Cell Phone Forecast, 2005-2010 (Units in Thousands)
  
  


• Table 3.
  Comparison of DVB-H and MediaFLO mobile TV technologies

List
of Figures

• Figure 1. Just
  8.5% of respondents said they were very or extremely interested in buying
  a cell phone with the capability of playing MP3 or other music files
  
  


• Figure 2. Nearly
  three out of four respondents would prefer to “cable” music
  files from a PC to a cell phone, while slightly more than one in four
  would prefer to get them over the air from their wireless carrier
  
  


• Figure 3. One gigabyte
  of built-in storage for music files was the amount chosen most by respondents
  
  


• Figure 4. The largest
  segment of respondents would pay between $10 and $25 extra for a cell
  phone with MP3 capability
  
  


• Figure 5. Just
  8.6% of respondents were either very or extremely interested in buying
  a cellular phone with the ability to receive FM radio stations
  
  


• Figure 6. A very
  small segment (6.7%) of respondents were either very or extremely interested
  in AM radio capability on a cellular phone
  
  


• Figure 7. Just
  10.7% of respondents were very or extremely interested in buying a cell
  phone capable of receiving broadcast TV programming
  
  


• Figure 8. News
  and weather were the leading types of programming among respondents
  who were at least somewhat interested in buying a TV-enabled cell phone
  
  


• Figure 9. The largest
  blocks of respondents (45.3%) would pay less than $10 to less than $25
  extra for a broadcast TV-enabled cell phone
  
  


• Figure 10. Just
  under 12% of respondents were either very or extremely interested in
  video on demand (VOD) for their cell phones
  
  


• Figure 11. Most
  respondents (63.4%) thought the pricing of VCast service was too high
  at $15 per month
  
  


• Figure 12. The
  top payment scheme for buying music or video content was per song or
  clip, according to 31.8% of the respondents
  
  


• Figure 13. Verizon
  Wireless was seen as the wireless carrier with the best multimedia offerings,
  but the vast majority did not know which carrier to rank best, a clear
  sign that it is still quite early for these types of services
  
  


• Figure 14. T-Mobile
  respondents had the greatest interest in buying a cell phone capable
  of receiving broadcast TV programs
  
  


• Figure 15. Sprint
  PCS and T-Mobile respondents had the greatest interest in buying a cell
  phone with MP3 or other music file playing functionality
  
  


• Figure 16. Respondents
  with Samsung phones had the greatest interest in buying a music-enabled
  phone
  
  


• Figure 17. Respondents
  with LG phones had the greatest interest (13.7%) in buying a cell phone
  capable of receiving broadcast TV programming
  
  


• Figure 18. Kyocera
  respondents had the greatest interest in removable storage on their
  cell phones
  
  


• Figure 19. Nearly
  one in four respondents said removable storage was very or extremely
  important to have on a cell phone for music files, pictures, video clips
  or other data files
  
  


• Figure 20. T-Mobile
  respondents had the greatest interest in removable storage on a cellular
  phone
  
  


• Figure 21. The
  largest group of respondents identified their jobs as being in the executive
  or managerial segment of