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Push to Talk (PTT) Market Opportunities, Strategies, and Forecasts, 2003 to 2008
WinterGreen Research, Inc., Oct 2003, Pages: 310
Two-way walkie-talkie radio technology frequently used by police officers, truckers, taxi drivers and IT managers is driving push to talk cell phone markets. The cost to arrange a quick meeting through push-to-talk is cheaper.
Low cost and convenience drive push to talk market growth. The service is based on a disruptive technology. Latency is an issue during a conversation because of the way only one person can talk at a time. Incompatibility of different technology among various providers is also an issue. The appeal of push-to-talk over making a telephone call is being able to talk to a group instantly, without waiting for someone to answer.
The systems are positioned with style. Motorola visibility at football games gives push to talk market credibility. The similarity to headset communications technology drives credibility for cellular push to talk. Every coach wears a headset. Every coach talks into the headset all game.
Fastchat effectively turns a mobile phone into a walkie-talkie, enabling people to send and receive voice texts to and from other fastchat users immediately, either one-to-one or between a group. P2T messaging represents a significant improvement over SMS by bypassing the slow and clumsy process of entering text via phone keypad. This makes messaging quicker, more personal. For the pay-as-you-go users, fastchat provides an alternative to a credit-eating phone call. Push-to-talk will generate real growth for a number of the industry's major players, spurring Gprs adoption which, in turn, is critical to operator 3G strategy.
Push to talk has some issues relating to latency. Market participants are working to addresses relating to compatibility between different systems.
Push to talk cellular revenue expected to be $84 million in 2003 is expected to reach $10.1 billion by 2008. Push to talk cellular subscribers expected to be 2.3 million in 2003 are expected to reach 340 million by 2008.
By year-end 2003 the number of mobile subscribers is expected to reach 945 million, with growth of 30%. 200 million new subscribers were added in 2002, a growth rate of 25%.
Report Methodology
This is the one-hundred thirtieth report in a series of market research reports that provide forecasts in communications, telecommunications, the internet, computer, software, and telephone equipment. The project leaders take direct responsibility for writing and preparing each report. They have significant experience preparing industry studies. Forecasts are based on primary research and proprietary data bases.
Forecasts reflect analysis of the market trends in the segment and related segments. Unit and dollar shipments are analyzed through consideration of dollar volume of each market participation in the segment. Market share analysis includes conversations with key customers of products, industry segment leaders, marketing directors, distributors, leading market participants, and companies seeking to develop measurable market share. Over 200 in-depth interviews are conducted for each report with a broad range of key participants and opinion leaders in the market segment.
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