Mobile portals to gain over 55 million users by 2005

Advertising and entertainment services will help grow the number of mobile portal users to over 55 million by 2005, as long as campaigns are targeted and provide value to customers, says the latest research from IDC.

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By  Matthew Southwell Published  March 24, 2002

Advertising and entertainment services will help grow the number of mobile portal users to over 55 million by 2005, as long as campaigns are targeted and provide value to customers, says the latest research from IDC.

As a result, the analyst house predicts that network operators, as well as many content, applications, and solutions providers, can and will make money out of mobile portals.

However in the short-to-medium term, IDC believes it is mobile operators that are best positioned to turn a profit as they are able to extract revenue from a number of channels, including advertising, sponsorship, and monthly fees.

“Although the mobile portal market is going through a tough time now, in the medium-to-long term new technologies such as WAP, HSCSD, GPRS and UMTS will help portals to become profitable,” says Rosie Secchi, research analyst with IDC’s European wireless & mobile communications program.

However, she adds that “the mobile portal market is still quite immature and operators are trying to gain control to allow them to keep most of the potential revenue that this market can bring.”

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