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Sunday, December 14, 2008

Cell Phone Internet Browsing to Generate $38 Billion in 2013

According to the Strategy Analytics Wireless Media Strategies service report, “Mobile Internet Forecast Update 2001-2013,” demand for popular content and services on the web, such as social networks, email, and news sites, while away from fixed internet connections, will drive consumer spending on mobile web access products from operators.

As discriminatory charging for off-portal browsing disappears, data pricing for casual use is reduced, and the overall browsing experience on 3G feature and smartphones is improved, usage and spending on mobile web will increase.

Handset browsing has been popular in Japan and Korea to date, but not so in Western Europe and the US. However, according to Nitesh Patel, Senior Analyst of the Strategy Analytics Wireless Media Strategies service and author of the report, “Prospects for mobile web access in Western Europe and the US have brightened over the last 12 months as the browsing capability and user experience on handsets improves, and as more operators introduce flexible low-cost monthly and casual browsing plans to suit both heavy and casual users.

Fundamentally, access to desirable content on the web, such as social networks, webmail, and infotainment, will drive demand for internet access products."

David Kerr, Vice President at Strategy Analytics, noted, "Although we have entered into an economic downturn, Strategy Analytics continues to forecast increased spending on mobile internet access products over the next few years. During this period we anticipate price competition on data access from operators, as well as greater consumer adoption of flexible casual browsing options that meet the needs of a broader base of cellular users, such as low-priced, daily capped rates."

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