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China - Mobile Content and Portal Market 2004 - 2007
Asia Pacific Research Group (APRG), Feb 2004
As usage of mobile services soared in China over the last 5 years, the key service being marketed was voice. More recently, text-messaging applications have become very popular with Chinese subscribers. These services are particularly popular amongst teenagers and young professionals, and have driven mobile network operators to adjust their offerings to meet the demand for mobile data services.
Until recently, China’s carriers have operated in a certain amount of isolation. However, as SMS content demand continues, China Mobile and China Unicom have adjusted to share the market with content providers and Internet portal operators, companies they previously had not considered competitors, much less possible partners. This research publication describes the current environment and outlook for Mobile Content in the China market.
Key Messages in this Publication
- Content providers and mobile operators are adopting new business strategies, technologies and new methods of partnering - to enable services that customers want and are willing to pay for.
- There have been significant and progressive efforts during 2003 by mainland China portal operators such as NetEase, Sohu and Sina to branch out into the mobile content business through SMS technology. They have all seen revenues and income soar on the introduction of SMS based content services. - In the past eighteen months, China has seen tremendous growth in the usage of Short Messaging Service (SMS). The growth has been driven by an explosive increase in the number of mobile phone subscribers, which topped 200 million in 2002.
- China’s mobile data usage is expected to continue to exceed 100% annual growth over the next several years, surpassing Internet usage.
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