The DTV transition marks a shift in the entertainment industry - not only for broadcasters but more significantly, for the mobile TV marketplace.
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The DTV transition marks a milestone for us as it frees broadband spectrum, completing the creation of the only national dedicated linear, live mobile TV network, allowing consumers to access broadcast-quality TV on their mobile devices. However, while we all have seen the market research reports forecasting a rise in the mobile video category, there are fundamental elements that need to be place to pave the way for mass mobile TV viewing.
First, we need to get the fundamentals right:
- Coverage
Ubiquitous coverage is imperative to the mass adoption of mobile TV: Consumers across the country must have access to broadcast quality TV from a network built to scale as consumption grows.
- Device Proliferation and Distribution
The number of devices that currently offer live linear mobile TV to consumers is limited. More competitively priced handsets with live, linear mobile TV compatibility offering the best viewing experience need to flood the market. Additionally, the expansion of mobile TV to non-handset devices such as rear seat entertainment, gaming devices and netbooks will be an important realization, as the potential exists for mobile TV to be adopted by any device that has a screen.
- Price/Value Equation
Another key element is the price/value equation and ensuring that the price points support the value of the content. It’s important to look at different pricing models, such as tiered pricing for different groups of channels. Just as Coke can package its product up in 12-oz cans, 2-liter bottles, fountain drinks, etc., we need to package our product differently for different segments. This could be annual passes, daily passes, sports packages, family packages, etc.
Mass Adoption
Once these fundamentals are in place, the opportunity to implement features and services to make mobile TV even more attractive to the consumer is unlimited. Mobile TV is a service. As with any service, the quality of experience must be paramount. In today’s world of sophisticated multimedia devices, users have developed a set of predefined expectations when it comes to both television and their mobile handsets. For the mass adoption of mobile TV on a broad scale, there are four important features and services that must be addressed. What I want, when I want it and however I want it.
- Place-shifting. Place-shifting is the primary feature for mobile TV as it allows consumers to watch television where and when they want. Important events, such as the presidential inauguration, a plane landing in the Hudson River or the Laker game, no longer need to be missed. Place-shifting enables users to watch live television anywhere while on the go. Unlike Wi-Fi (limited reach) or Unicast (applications such as Sling Media not allowed), having the ability to watch “wherever, whatever” I want is a critical success factor.
- Time-shifting. What consumers have come to expect from their traditional television will eventually translate into their mobile TV viewing experience. According to a recent report by Neilson, time-shifting is up 40 percent from last year. As the mass adoption of mobile TV unfolds, the integration of live TV with on-demand services is inevitable. Live and on-demand will co-exist as complements, not substitutes, toward one another.
- Interactivity. Interactivity contributes to an enriched experience as it allows users to combine social interaction with the individual mobile TV viewing experience. Enabling users to interact with their Facebook friends or mobile contacts while watching live TV is essential as TV is a social medium and mobile TV brings a new paradigm to viewing TV because it personalizes it.
- Relevancy. The key to winning and retaining consumers is to deliver a high quality experience - one that provides great content, compelling value and is intuitive and easy to use. This could be a combination of local, original, live and on-demand.
The combination of national ubiquitous coverage, device proliferation, expanded distribution channels, compelling content and competitive pricing options will continue to drive consumer adoption of mobile TV while additional features and services such as interactivity and time-shifting will enrich the user’s experience, opening the doors for adoption on a massive scale. Any way you look at it, mobile TV is poised to have a profound impact on the next phase of entertainment consumption.
Stone is the president of FLO TV, provider of the FLO TV live mobile TV service, a wholly owned subsidiary of Qualcomm.