Ahonen Mobile Communities2007

Mobile Communities Everything you ever wanted to know but were afraid to ask.. ie Killer Content for the 7th Mass Media Tomi T Ahonen, MBA Author & Consultant Mobile Monday Amsterdam Netherlands Sept 24, 007 "The mobile phone is the only device that 30% of the world's population carry" says Tomi Ahonen The Financial Times 1 Sept 2005

Need 1 - 1979 - Communication Voice and SMS Voicemail, e-mail (Blackberry) The number keypad is relic from rotary dial Telecoms (service) industry is worth $1.3 Trillion

Need 2 - 1998 - Consumption Emerged with ringing tones in Finland in 1998 and i-Mode in Japan in 1999 Now we consume pictures, MP3 music, web content, TV clips, cartoons, horoscopes, jokes, information and on and on and on and on Consumption added high-resolution color screens, multimedia players, web access Need higher speed (2.5G, 3G, 3.5G) For "playback" relatively few controls are needed

Need 3 - 2000 - Charging Next came digital money.. Smart Money / Philippines etc NTT DoCoMo (Osaifu Keitai - mobile wallet) with FeliCa - eg Tokyo commuters paying for subway train 2D Barcodes in South Korea Credit cards into mobile like Visa in South Korea And SMS based payments like Smart Money in the Philippines Pearls: Real Mobile Services collected by Tomi T Ahonen

Need 4 - 2000 - Commercials (ads) Then came advertising.. We get into commercials (advertisements, mobile marketing) Interactive advertising - opinions, feedback Engagement marketing - participation, co-creation, viral marketing! Advertising industry is worth $450 Billion

Need 5 - 2001 - Creation Then emerged need for content creation, starting with J-Phone (Vodafone KK, Softbank) and its cameraphones and Sha-Mail in 2001 Since then we've added video recording, sound recording (podcasts) and (mobile) blogging abilities to the phone Now we need to control the the device to gain good creations

Need 6 - 2003 - Community Now for our industry is Community MySpace, Flickr, Second Life, YouTube, Mixi, Cyworld, Bebo, World of Warcraft, Friendster... and here at our conference: Nexgen.. Not only create and consume but also Share Rate Recommend

Need 7 - 2005 - Cool (fashion) First with Benetton & NTT DoCoMo, now the phone is crossing over seriously to the fashion side, with ever more fashion awareness with the iPhone LG joins with Prada Motorola joins with Dolce & Gabbana And separately Nokia's top- end Vertu jewelry-phone line is on the catwalks around the world Pearls: Real Mobile Services collected by Tomi T Ahonen

Need 8 - 2006 - (Remote) Control Now the phone is starting to emerge as the remote control We already have isolated applications such as SMS controlled tea kettle (I kid you not) and mobile phone controlled air conditioning, saunabath heating, etc Also remote control of locks, security systems Pearls: Real Mobile Services collected by Tomi T Ahonen

Our Eight Needs served by phone Need 1 - Communicate Need 2 - Consume Need 3 - Charging (money) Need 4 - Commercials (advertising) Need 5 - Create Need 6 - Community (social networking) Need 7 - Cool (fashion) Need 8 - (Remote) Control Source: TomiAhonen Consulting January 2007 Pearls: Real Mobile Services collected by Tomi T Ahonen

Customer of Mobile Communities?

Discover "it all" - first generation that grew up with internet search: they always knew how to Google Participate - first generation with reality TV viewer voting. They will expect to participate Create - first generation where all had digital cameras (camphones) and video Share - first generation to grow up with Napster, KaZaa etc. They hack, mash Virtual - this generation had Tamagotchi, Now play in Habbo, 2nd Life, Warcraft, And texting - creates Gen-C Source: book Digital Korea , Ahonen & O'Reilly 2007 Youth Today First Generation to... Pearls: Real Mobile Services collected by Tomi T Ahonen

Yes they play multiplayer online games, create profiles in MySpace and spend hours in chat rooms But Gen-C (Community Generation) needs SMS They live by the support, the "life-line" to their friends, who are always available via SMS text messaging Being in school, in a meeting at work, even asleep - is no excuse to ignore a friend asking help via SMS Texting creates an almost telepathic immediate and permanent connection with closest friends Never before, has any generation had permanent connectivity to all peers Source: book Digital Korea , Ahonen & O'Reilly 2007 ...But Gen-C is defined by SMS Pearls: Real Mobile Services collected by Tomi T Ahonen

Police cars Fire trucks Ambulances Fighter pilots ..in fact all military Airline pilots ..and radar operators The government (the hot line between Kremlin and White House) Imagine how much less power they would have if there was no permanent contact Permanent communication?

Carphone Warehouse / YouGov survey of 1,258 teenagers (age 11-17) who have a mobile phone: 48% send texts while talking to someone 11% of the youth have had their phone stolen 59% say their parents gave them more freedom when they received their phone; 53% are allowed to stay out later because they have a phone 35% communicate via phone with someone their parents would not want to know about; 37% avoid contacts by parents to their phone; 68% will not let parents snoop inside their phone Source: Carphone Warehouse Mobile Life Youth Report Sept 2006 More on Youth by Carphone W Pearls: Real Mobile Services collected by Tomi T Ahonen

Youth today and SMS.. It is totally common for a youth to be at a party, which is not too loud to talk, be next to the best friend, fully able to talk, but to send a text message to the friend instead Why? Because it is a secret, shared thought Messages sent un-obtrusively, often with phone out of site in pocket, behind back; the friend feels the vibration of the message having arrived.. "I think I'm in love, should I ask her out" Near-Telepathic Connectivity Pearls: Real Mobile Services collected by Tomi T Ahonen

Virgin Mobile study of SMS use in the UK found remarkably high use at the high end of SMS users 10% of UK phone users send 100 SMS per day! Source: TechnoClicks.com 22 Feb 2006 In South Korea, the Korea Times reports that already one THIRD of the student population send 100 SMS text messages every day! Source: The Korea Times, 9 Feb 2006 Aching Thumbs? 100 SMS per day Pearls: Real Mobile Services collected by Tomi T Ahonen

Multimedia, multi-platform If they can IM it, they will If they can chat inside a multiplayer game, they will When we offer some bizarred discount scheme, they will find it - and spread the word But the phone is the preferred media Source: book Digital Korea , Ahonen & O'Reilly 2007 Don't think its only mobile Pearls: Real Mobile Services collected by Tomi T Ahonen

1st mass media Print 1500: Buy-to-Own, Advertising, Subscr. books, pamphlets, newspapers, music scores, magazines 2nd mass media recordings 1900: Sound vinyl, tape, CD, DVD: music, software, videogames, movies 3rd mass media cinema 1910: Multimedia, Pay per View silent, b/w sound, color, cinemascope: newsreels, movies 4th mass media radio 1920: Streaming, License AM, FM, stereo, digital: news, music, sports, drama 5th mass media TV 1950: (no innovation!) b/w, color, cable/satellite, digital: news, drama, soaps, reality 6th mass media internet 1995: interactive & search narrowband, broadband: email, search, browsing, downloading 7th mass media mobile 2000: pers./always-on/carried/payment 2G SMS, WAP, 2.5G, 3G: messaging, browsing The 7 Mass Media Source: TomiAhonen Consulting Thought Piece on 7th Mass Media Dec 2006

1st Mass Media: Print Printing from late 1400s First Mass Media Books, pamphlets, newspapers, music scores, magazines Buy-to-own; introduced advertising Long form stories (books), short stories (pamphlets), news, music Source: TomiAhonen Consulting Thought Piece on 7th Mass Media Dec 2006

2nd Mass Media: Recordings Recordings from late 1900 First automated/electric media clay, tape, vinyl, 8-track, cassette, cartridge, VHS, diskette, CD, DVD Music, speeches, comedy, computer programs, videogames, movies, TV shows Buy-to-own; almost no advertising Slowly cannibalized music from print Source: TomiAhonen Consulting Thought Piece on 7th Mass Media Dec 2006

Transition Lessons from 1 to 2 From Print to Recordings Created new industry: music performers (pop artists) like Edith Piaff, Elvis, Beatles etc. Music recording industry itself a $30 B business, other recordings like computer programmes, videogaming, double that Altered music industry with 3 min pop song (single) Cannibalized some print totally - ie music printing (music scores) Grew even though users had to buy expensive player Did not kill of print even though spoken books and spoken speeches were sold as recordings Introduced NEW print titles to discuss pop music Sources: TomiAhonen Consulting Thought Piece on 7th Mass Media Dec 2006 and SMLXL White Paper on 7th Mass Media June 2007

3rd Mass Media: Cinema Cinema 1910 First multi-media silent, b/w sound, color, cinemascope movie, short film, newsreel, serials "pay per view" and advertising before main feature major revenue shift for long-form stories from books Source: TomiAhonen Consulting Thought Piece on 7th Mass Media Dec 2006

Transition Lessons from 2 to 3 From Print and Recordings to Cinema Created new industry: Hollywood, itself a $30 B business Many feared it will kill books, didn't Created global superstars such as Charlie Chaplin Today major books become movies - AND major original screenplay movies become bestelling books Was able to reach massive commercial success inspite of pay-per-view model Recording artists found new opportunity to attempt movie careers successfully such as Elvis and unsuccessfully such as Madonna Sources: TomiAhonen Consulting Thought Piece on 7th Mass Media Dec 2006 and SMLXL White Paper on 7th Mass Media June 2007

4th Mass Media: Radio Radio 1920 First broadcast media AM, FM, stereo, digital music, news, weather, sports, soap opera license fee and advertising major revenue shift for news, introduce soap operas Source: TomiAhonen Consulting Thought Piece on 7th Mass Media Dec 2006

Transition Lessons from 3 to 4 From Print and Recordings to Radio Many thought it will kill recordings, didn't Created new media industry: radio Created yet new performance artists - the radio DJs, news readers, announcers and radio talk show hosts Became first pervasive and simultaneous mass media (War of the Worlds people thought invaders from Mars had actually landed in America in the 1930s) Every home (in industrialized world) had to have one, families would sit together to listen to fave comedians, news, dramas, concerts.. Sources: TomiAhonen Consulting Thought Piece on 7th Mass Media Dec 2006 and SMLXL White Paper on 7th Mass Media June 2007

5th Mass Media: TV TV1950 b/w, color, cable/satellite, stereo, digital news, sports, soap opera, movies, sitcom, talk show, music video, reality TV license fee, advertising, subscription major revenue shift for news, sports, music, movies introduce talk shows, sitcoms, reality TV Source: TomiAhonen Consulting Thought Piece on 7th Mass Media Dec 2006

Transition Lessons from 4 to 5 From Print, Recordings, Cinema and Radio to TV Most thought it would kill books, cinema and radio: didn't Cannibalized some formats such as newsreels from cinema, soap operas from radio Most strong content such as films, documentaries survived on cinema; news, sports and music survived on radio Became dominant media inspite of no inherent new advantage New TV celebrities: News Anchors, Game Show Hosts, Reality TV contestants, MTV video artists Sources: TomiAhonen Consulting Thought Piece on 7th Mass Media Dec 2006 and SMLXL White Paper on 7th Mass Media June 2007

When BBC introduced TV News Thinking was radio. TV was even called "visual radio" The BBC news guidelines said you were allowed to show pictures or maps or flags etc of where the news story happened BUT you were not allowed to show the face of the news anchorman who read the news. The thinking was a "radio mindset" - that we supposedly connected with a trusted "voice" of news Only after we started to show the news anchorman, did we discover the appeal of celebrity. And only after that TV discovered talk shows, gameshows, reality TV formats etc that rely on celeb

6th Mass Media: Internet Internet 1990 First media that could do everything that the previous five media could do First interactive media, and Search narrowband, broadband e-mail, search, chat, browsing, news, sports, music, software, gaming, movies, TV, radio, blogging license fee, advertising, subscription major revenue shift for advertising, news, music introduce e-mail, search, chat, blogging Source: TomiAhonen Consulting Thought Piece on 7th Mass Media Dec 2006

Transition Lessons from 5 to 6 Print, Recordings, Cinema, Radio, TV ...to internet Incredibly rapid cannibalization of content, formats, and audience time All business models also migrating to internet Introducing new stars and talent (Baghdad Blogger, YouTube stars, Second Life millionaires etc) Will probably kill of some content types, the daily newspaper for example and the music CD, very likely other content types will adjust such as TV debates using YouTube content Sources: TomiAhonen Consulting Thought Piece on 7th Mass Media Dec 2006 and SMLXL White Paper on 7th Mass Media June 2007

7th Mass Media: Mobile mobile phone 2000 Can do everything the previous SIX media can do, including interactivity & search of the internet Personal mass media, always-on media, always carried media, with built-in payment channel; as creative tool - is always present at point of creative impulse; most accurate audience info 2G, 2.5G, 3G text messaging, ringtones, logos, news, music, gaming, voting.. subscription, pay-per-view, advertising major revenue shift for music, gaming, e-mail introduce text messaging, ringtones, logos, voting, picture messaging Source: TomiAhonen Consulting Thought Piece on 7th Mass Media Dec 2006

Transition Lessons from 6 to 7 From Print, Recordings, Cinema, Radio, TV and internet to mobile... Likely to see even more rapid cannibalization than internet did of five legacy media All business models also migrating to mobile Will discover its own new stars and talent Winners likely to be those willing to experiment, who attempt to go beyond the limitations of the six older media Sources: TomiAhonen Consulting Thought Piece on 7th Mass Media Dec 2006 and SMLXL White Paper on 7th Mass Media June 2007

The soul/urban pop band the Fugees has introduced three songs as full-track MP3 downloads on Verizon's service in the USA It is a 5 year old idea to pre-launch hits as ringing tones, and since 2003 bands have released full-track MP3 songs to mobile before their release on CD But the Fugees break new ground with these three songs - they are not planned to be released on any other format as of yet. Their hit potential is being trialled on mobile phones! Fugees hope to reach platinum level sales - one million units sold, this way Source: USA Today 6 Feb 2006 Fugees Trial Hits Through Mobile Pearls: Real Mobile Services collected by Tomi T Ahonen

SeeMeTV launched by Three Italy and Three UK. UK version was launched Oct 2005. Each video clip cost 50p to view and paid 1p to the creator of the clip By August 2007 the latest 12 months delivered 14.2 Million video clips Most popular clips were: Hot dog boy – the quickest frankfurter eater in town! Pretzel girl – a real-life office contortionist The World's first wedding proposal over video mobile on Valentine’s day (Dating Game) Tornado chaos – footage of the aftermath of the tornado that hit Birmingham (24 Hours) One woman flashed her breasts and had 130,000 downloads, earned 1,300 UKP Sources: Mobile Marketing Magazine 1 Feb 2006 and Three September 2007 See Me TV - 14 M videos in UK Pearls: Real Mobile Services collected by Tomi T Ahonen

Ministry of Sound is actively pushing the opportunities in convergence and mobile For the "Put Your Hands Up (for Detroit)" by Fedde Le Grand, Ministry of Sound license for allows any fan to use the music and make their own videos Ministry of Sound supports rating of the best videos and features those at various opportunities to promote its music Source: Ministry of Sound Nov 2006 Your Own Music Video Version Pearls: Real Mobile Services collected by Tomi T Ahonen

7 Mass Media / Content Formats Source: TomiAhonen Consulting Thought Piece on 7th Mass Media Dec 2006 OO OOO O OO Share OOO OO O Vote OO+ OOO Browse OOO OO Messg OO+ OOO Search OO OO OOO Reality OO+ OOO O OO O Game OO+ OO OOO OO O O OO Advg OO+ OO OO OOO O OO XX Music O OO OOO OO X OO Sport O OO OO OO O OOO Info OO+ OO OOO OO XX O News O+ O OO O OOO X OO Story Mobile Internet TV Radio Cinema Record Printing

ITU reports on global media consumption by age & time spent. 18-35 year olds vs over 55 year olds Media Consumption Pearls: Real Mobile Services collected by Tomi T Ahonen 18-35 Year Olds Over 55 Year Olds TV TV Digital Digital Print Print Radio Radio Source: ITU Digital Life Dec 2006 Note: Both groups consume 40h/week

Launched in 1978, the UK youth/pop mag Smash Hits was a staple for 3 generations of youth, circulations of over million copies By end of 2005 the sales had tumbled to 120,000, and magazine was discontinued Its publisher cited mobile phone as the biggest reason for decline. Readers were also playing videogames and online; and advertisers had migrated their spend. Smash Hits lives still on TV, web, radio Sources: International Herald Tribune 30 Jan 2006 and Financial Times 3 Feb 2006 Smash Hits - R.I.P Pearls: Real Mobile Services collected by Tomi T Ahonen

The Financial Times reported on the peak consumption times for various media in the UK TV - one peak ("prime time") 6 - 10:30 PM Radio - 2 peaks, 7-8 AM and 4:30 - 5:30 PM eMail - 2 peaks 11 - 11:30 AM and 1:30 - 2 PM Browsing - 2 peaks 11 AM and 8 PM Mobile TV - one peak 4-8 PM SMS - 2 peaks 6 PM and 9 PM Source: Financial Times 30 October 2006 Peak Times for Media Pearls: Real Mobile Services collected by Tomi T Ahonen

Compare Cinema & TV Content Cinema, you book time, travel to event, park your car, pay to see, eat before (during) or after the movie etc Most people attend a couple of movies per year. It is an event TV is every day, background noise. Movies often repeats, we know the story, we go get food, bathroom etc don't care about the whole thing - but don't want to miss the best part All kinds of shorter programming, talk shows, game shows, MTV music videos etc that wouldn't work in cinema.. Source: DotMobi presentation on 7th Mass Media at Mobile Web 2.0 London Sept 007 Pearls: Real Mobile Services collected by Tomi T Ahonen

Simpler, more personal, faster and much much more expensive eMail to SMS Pearls: Real Mobile Services collected by Tomi T Ahonen

simpler, more personal and more expensive MP3 to ring tones Pearls: Real Mobile Services collected by Tomi T Ahonen

Simpler, shorter, more personalized much more expensive if measured by cost of time spent gaming Need for Speed to Sudoku Pearls: Real Mobile Services collected by Tomi T Ahonen

HUGE OPPORTUNITY The Idle Screen...

News Ticker (like on bottom of CNN on TV) NTT DoCoMo was first to launch ticker tape on its portal. The service has monthly subscription of 200 Yen (1.70 USD/1.34 Euro, 1.00 UKP) If the customer clicks on a news item, regular news page view or news video clip costs are incurred 18 months after launch, NTT DoCoMo reports that it has already 8 million paying subscribers to the service (16% of all subscribers) Source: Wireless Watch Japan, January 2007 Ticker Tape on NTT DoCoMo ust in - NTT DoCoMo news ticker for mobile phones - This just in - NTT DoCoMo Pearls: Real Mobile Services collected by Tomi T Ahonen

Screen Sizes.. Cinema (medium size): 12 m x 6 m = 72 m ² TV (25" colour): 38cm x 50cm = 0.19 m ² Size differentials: cinema is 379x larger screen ie TV is 0.26% the size of a cinema screen Laptop screen 27cm x 20cm = 540 cm ² Phone screen 4.2cm x 3.6cm = 15 c m ² Laptop screen is 36x larger than phone ie phone is 2.8% the size of a laptop

What of keyboard vs keypad? And mouse vs stylus etc Actually, I'd rather not type at all.. Why can't the phone read my mind?

2D Barcodes (also known as QR Barcodes for Quick Response) were introduced in Japan by NTT DoCoMo in 2005. In 18 months, NTT DoCoMo reported that they were extremely positively welcomed by customers and 56% of their subscribers already used the feature The cameraphone scans the 2D Barcode within a second and displays the full website address or other data, almost magically, with no typing! Source: NTT DoCoMo Oct 2006 2D Barcodes Pearls: Real Mobile Services collected by Tomi T Ahonen

And the latest gadgetmania continues in Japan An application by MediaSeek called Kamera Jiten (camera dictionary) now allows cameraphone users to turn their device into a translator An OCR applications (Optical Character Recognition) will convert pages of written English into data Then translator utility converts into Japanese And displays on your phone screen Almost like using a magnifying glass, but one that translates Source: Wireless Watch Japan 11 Sept 2006 Cameraphone OCR Translator Pearls: Real Mobile Services collected by Tomi T Ahonen

"Nobody is as clever as everybody" - Alan Moore CEO of SMLXL in the book Communities Dominate Brands

Q Research has interviewed 1,500 UK youth aged 11 to 20 about willingness to receive ads on their mobile phones 68% said no (32% said yes, surprisingly many?) But when offered personally targeted ads, 71% were willing to receive them on their phones If given coupons and discounts, the willingess went up to 76% And if given the chance to top-up their phones for viewing ads, 82% said yes they would like to go mAd Source: New Media Age 19 Apr 007 Willing to Receive mAd? Pearls: Real Mobile Services collected by Tomi T Ahonen

Japan is already a country gone mAd (as in mobile advertising) Wireless Watch Japan reports that 54% of Japanese mobile phone users consume ads . And survey of 1,083 mobile phone users in Japan by Mobile Research and goo Research found that 44% of Japanese mobile phone customers have clicked on interactive ads on their mobile phones. Sources: Wireless Watch Japan 11 Sept 2006 and Mobile Research & goo Research July 2006 And remembering the 8 C's Pearls: Real Mobile Services collected by Tomi T Ahonen

The DMA Direct Marketing Assoc has released numbers for 2006 UK marketing eMail 6 billion marketing e-mails were sent. At 38 million internet users, it works out to 13 marketing eMail messages per internet user per month in the UK Across the whole population that is 8.3 per capita For contrast, in the UK, on one mobile ad provider's (Admob) network, they deliver 53 million mobile ads per month - ie 0.88 mAd per capita. Mobile ads on Admob's network have already cannibalized 9.5% of all interactive advertising in the UK by end of 2006 Sources: New Media Age, 25 Jan 007 and AdMob 29 Jan 007 AdMob vs eMail Marketing Pearls: Real Mobile Services collected by Tomi T Ahonen

One of the innovators of mobile content - MTV has set up a unit "Mobile Media Group" MTV already biggest content provider on mobile networks in America, 600 clips and 30 hrs of mobile content/mo, from MTV, Nickelodeon, Comedy Central... Latest: Mobile Junk 2.0 (Sprint) with user-generated content to mobile. Customers vote: best clipsgo on the air onto TV Source: Financial Times 18 Dec 2006 Mobile Junk 2.0 - MTV Pearls: Real Mobile Services collected by Tomi T Ahonen

"Think global, act viral" - Rudy De Waele, mTrends

mAd - Value of Recommendation Pearls: Real Mobile Services collected by Tomi T Ahonen "64% of consumers will try something recommended by a friend. 69% of will forward something they like to from 2 to 6 friends." - Jupiter Research Sept 2006

Mike Beeston the CEO of Fjord the mobile user interface specialist firm, has the absolute fool-proof test for any mobile marketing campaign It has to be " Sufficiently Contageous " Sufficiently contageous means that anyone in the target audience will like the ad so much, they feel compelled to forward it to at least one person in their phone book. It doesn't need to be totally contageous, just sufficiently contageous. But obviously has to have forwarding ability whether coupons, links, SMS, etc Source: upcoming book 7th Mass Media by Tomi Ahonen estimated release late 2007 Make it Sufficiently Contageous Pearls: Real Mobile Services collected by Tomi T Ahonen

From Interactive to Engagement

Pop Idol format (eg American Idol, Indian Idol, Australian Idol, Novelle Star France etc) owned by Freemantle & 19 Managemt First in 2001, had 67 runs in 32 countries. Most markets been the top-watched show, breaking viewing records. Since 2001 total of 3.2 B viewers generating 1.9 B SMS and televotes In last 12 months about 721 M viewers, and 456 M votes over the various 20+ episode series; the finals had 144 M viewers and 219 M votes Has copycats such as X-Factor, Fame Academy, Pop Stars, "China Idol" ie Super Girl, etc Source: SMLXL White Paper "Pop Idol" September 2006 Pop Idol Case Pearls: Real Mobile Services collected by Tomi T Ahonen

In Finland Elisa Corporation (known as owners of Radiolinja first GSM operator in world) has been offical sponsor of Finnish Idol TV show Elisa also ran a mobile-phone Karaoke based "amateur" series to Finnish Idol, generating more traffic than real Finnish Idols World's first network karaoke Contest "Jokamies- luokan Idols" (The common man's Idols) had 1,682 entries, 150,000 unique visitors and 1,95 M votes Winner was Mea Karppinen of Espoo Finland Source: SMLXL White Paper "Pop Idol" September 2006 Peoples Idols - Karaoke Finland Pearls: Real Mobile Services collected by Tomi T Ahonen

Endemol (producer of Big Brother) is launching a mobile TV only reality TV series featuring the UK girl pop trio Sugababes, on their tour with Robbie Williams Each episode costs 50 pence (75 Euro cents, 85 US cents) The TV show will include lots of interactive elements including viewers designing dance moves for the band, sending them in via videoclips Service set up between Endemol, O2 and Universal Music Source: Moco News 9 May 2006 Sugababes Mobisodes Pearls: Real Mobile Services collected by Tomi T Ahonen

R/GA ad agency from New York presented at Nokia Marketing Forum in Prague and told of Nike engagement marketing campaign Nike sponsors an American online multiplayer basketball game. Gamers visit Nike website to gain "cheat code" (done with full support of game owners) After gamer enters cheat code, his game character shoes turn white with Nike "swoosh" After this - the gamer's character runs 10% faster and jumps 10% higher ! Gains a huge benefit otherwise would take weeks of practise in the game... Source: R/GA June 2006 Nike inside Video Gaming Pearls: Real Mobile Services collected by Tomi T Ahonen

So, set the controls for the heart of the 4C’s Connectivity Culture

Robbie Williams is innovating in the mobile space. To launch his latest album, Robbie played a concert in Berlin to an audience of 7,500. His concert was simulcast to audiences in movie theatres in several cities, with another 10,000 paid fans But the majority of his live paid audience, over 100,000 watched via (3G) mobile phones Source: MoCo News, October 12, 2005 Find 10 x Bigger Audience Pearls: Real Mobile Services collected by Tomi T Ahonen

Set the controls for the heart of the 4C’s Commerce Community

Virtual world of Second Life has already 1.3 M users (from 105,000 a year ago) with half USA, half abroad Now businesses are entering Second Life Ad agency Leo Burnett uses its facilites in Second Life for virtual meetings of its 2,400 creative staff UK ad firm BBH (Bartle Bogle Hegarty) showcases their work on their island on Second Life Major global brands such as Intel and Toyota now use Second Life to promote their goods The Wall Street Journal reports that it costs about 20,000 USD to maintain a corporate presence in Second Life Source: Wall Street Journal 14 Nov 2006 Real Business and 2nd Life Pearls: Real Mobile Services collected by Tomi T Ahonen

Set the controls for the heart of the 4C’s Connectivity Commerce Culture Community

Korean online newspaper Ohmy News has rapidly become one of the biggest news sources in Korea 36,000 "citizen reporters" contribute over 90% of the newspaper's content Is 4th most TRUSTED news source in Korea, ahead of many TV networks Each writer compensated by money (about 20 USD per article) and by seeing their name in print Newly elected President Roh Moo-Hyun first interview was on Ohmy News sources: book "Communities Dominate Brands" by Ahonen & Moore, 2005 & CNN May 2005 Ohmy News Pearls: Real Mobile Services collected by Tomi T Ahonen

Any Question Answered AQA has real people answering questions Yes, the sports scores and geographical info etc, but also lots of silly questions like Does triangle bread taste better than square bread Or "What should I do with my bird tonight?" AQA's answer was "it depends, different birds like different things, a dead bird you want to add stuffing and broil, a caged bird likes you to whistle and a girl will like champagne and a good dinner" 8 million queries already. "the answers are free, sending a question costs 1 UKP" Source AQA Sept 007 AQA UK already 8 M Queries Pearls: Real Mobile Services collected by Tomi T Ahonen

User-Created Content in South Korea was measured by NIDA National Internet Development Agency June 2007 and found the most popular UCC to be: Humor, bizarre, fun: 80.4% of users have viewed Hobby, leisure: 58.1% Celebrity: 50.7% Healthcare, living: 34.1% Jobs, learning: 26.2% Personals, trivia etc: 25.0% News, issues: 21.7% Source NIDA June 007 Most Popular UCC in Korea Pearls: Real Mobile Services collected by Tomi T Ahonen

Asian Mobile Community Examples

Super Stable - Hong Kong New World Mobility Hong Kong launched networked virtual horse racing game "Super Stable” in 2002. Users buy a pre-programmed card with racehorse, train and feed the horse via network Have virtual races, broadcast live; includes trading horses, breeding etc Now also on FarEasTone Taiwan: is world’s 1st cross-border game; Next to launch Shanghai and Macau Delivers higher ARPU than heavy business users !! Source: SMLXL White Paper 2003 Pearls: Real Mobile Services collected by Tomi T Ahonen

Twins Mobile - Hong Kong Hong Kong pop music duo Twins capitalising on New World Mobility SIM cards, with full services, sold in 7-11 and New World Mobility's own stores. Developed by Cybird In addition to basic services like voice and SMS, also Twins related ringing tones, logos, voting, chat Also have premium services such as Karaoke, ecards, and Twins “assisted” voice messages Fans get exclusive content, access to concerts, etc Source: book Mobile is 7th Mass Media Channel by Tomi T Ahonen November 2007 Pearls: Real Mobile Services collected by Tomi T Ahonen

Singapore game developers Nexgen Studio has launched Multiplayer Online Role-Playing Game for 3G and broadband, converged. The game is about elves (dwarfs) called Elven Legends Has typical multiplayer role playing elements such as customizing the character, challenges and quests, and of course fighting The game has lots of spells and mystical elements (make your opponent go blind, etc) Source: book Mobile is 7th Mass Media Channel by Tomi T Ahonen November 2007 Elven Legends Pearls: Real Mobile Services collected by Tomi T Ahonen

Kart Rider in South Korea, a multiplayer cartoon-crazy car racing game by Nexon, has become the world's most successful multiplayer game by national adoption rate - 25% of all South Koreans have driven Kart Rider Game combines car racing with crazy and violent cartoon behaviour from Tom & Jerry etc You can have your rival's car spin on a banana peel, or shoot a rocket at it, or fly above with a balloon etc Makes its money on accessories Source: book Digital Korea , Ahonen & O'Reilly 2007 Kart Rider Pearls: Real Mobile Services collected by Tomi T Ahonen

Habbo Hotel 10 M Users Sulake Oy, the Finnish company that developed Habbo Hotel reports that it already has 8 Million subscribers around the world with 55 M avatars Habbo Hotel is a childrens virtual online playground - kids don't have credit cards - payments are by premium SMS. Kids spend over 40 min per session. Sulake earns 29 M Euro (35 M USD) per year Calculated across its total subscriber base Habbo Hotel earns 5 USD per year per subscriber or 42 cents per month Sources: Kauppalehti 11 July 2006, Sulake January 2007 Pearls: Real Mobile Services collected by Tomi T Ahonen

Sulake, owner of Habbo Hotel, presented at Telco 2.0 in London in March Habbo has 80 million avatars created or "Habbos" Active users 7.5 million in over a dozen countries Sulake earned 51 million USD out of Habbo in 2006. Only 10% is advertising/sponsorship; the remaining 90% is paid by Habbo gamers Habbo Hotel keeps very actively renewing itself, with a new Habbo environment release every 6-8 weeks A key element is unique items (eg furniture) which will be sold only once Source: Sulake/Habbo Hotel presentation at Telco 2.0 in London March 2007 Habbo Renews Every 6 Weeks Pearls: Real Mobile Services collected by Tomi T Ahonen

CyWorld - 43% of South Koreans Korean CyWorld used by 95% of the 20 year olds The web and mobile based virtual room, blogsite, mobile blogging, music and community site has 19 M koreans - 43% of the Korean population as users At 100,000 daily video uploads, Cyworld generates more video traffic than YouTube. Music 200,000 songs/day, World Nr 2 after iTunes 30,000 businesses active in CyWorld, offer 500,000 items of content for sale. 40% revenue-share Source: book " Digital Korea " by Ahonen & O'Reilly 2007 Pearls: Real Mobile Services collected by Tomi T Ahonen

Cyworld launched its mobile variant in 2004 as a paid premium service to Cyworld (monthly subscription fees between 1-3 USD per month) Revenues double annually. In 2007 Cyworld Mobile earns 10 M USD Cyworld gets 83% through content revenues (gifts, personalization, avatar & room; as well as branded content revenue-sharing) Only 17% is subscription/service revenues Source: SK Telecom presentation at iMobicon Seoul 24-25 Aug 007 Mobile Cyworld Economics Pearls: Real Mobile Services collected by Tomi T Ahonen

UK Based converged flirting/dating service Flirtomatic is nearing 2 years of age. Flirtomatic CEO and author Mark Curtis gave numbers at Forum Oxford saying: Flirtomatic UK has 57,000 UK internet users and 20,000 mobile users Fixed internet users 22 M web pages during March (ave 12.8 pages per day) mobile 44 M WAP pages (ave 73.3 per day). Note mobile 2:1 over use on web. Mobile users long in 8.5 times per day ! Flirtomatic offers gifts (from roses and chocolates to lingerie) and even Google Adwords type of personal ads, auctioned for top slots Source: Flirtomatic at Forum Oxford on 20 April 007 Flirtomatic More Mobile than Web Pearls: Real Mobile Services collected by Tomi T Ahonen

UK Based converged flirting/dating service Flirtomatic launched May 2006. Flirtomatic CEO and author Mark Curtis updated at Mobile Web 2.0 in London: Will sell 3.5 million virtual "Red Roses" in 2007 at 23 pence per rose (earn annually 805,000 UKP / 1.2 M Euro / 1.6 M USD) Offer branded sponsorship ie Loreal Lip Gloss sponsoring the Flirtomatic "Big Wet Kiss" Half of income from ads, half from personalization and gifts; Flirtomatic stopped subscription totally in April 2007 as unnecessary Source: Flirtomatic at Mobile Web 2.0 in London 20 Sept 007 Flirtomatic Update 007 Pearls: Real Mobile Services collected by Tomi T Ahonen

Ratio of Creation to Consumption Mobile Blogging/User-Generated Video on Orange France, 65,000 blogs viewed 140 million times. For every blog posting created, they are viewed 114 times Source: Lightreading.com 6 June 2006 SeeMeTV on Three/Hutchison UK had received 30,000 clips, these downloaded 4 M times (ratio 1:133). Source: Mobile Marketing Magazine 1 Feb 2006 It seems that for mobile networks and paid social networking access, the ratio of user-generated content to users viewing the content is about 1:100 By contrast on free internet the ratio is about 1:1000 Source: TomiAhonen Consulting March 2006

Informa has measured the size of digital community services on mobile. In 2006 they are worth 3.45 billion dollars. During 2006 for example, Informa says 46 million people upload videos to YouTube, SeeMeTV etc Herald Tribune mentioned typical examples of social networking sites for mobile as Cyworld of Korea and SeeMeTV on the 3/Hutchison networks Note for context: social networking is worth over 10% of all value-add services, and came from nowwhere to be second only to mobile music by value Sources: International Herald Tribune 23 Oct 2006, Informa Mobile Communities & User Generated Content 26 Oct 2006 Mobile Communities: $3.45 B Pearls: Real Mobile Services collected by Tomi T Ahonen

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Mobile subscribers end June 007 were $3.0 B (2007 Informa) 28.8% with 2+ subscriptions ie 2.1 B unique users (2007 Informa) Mobile telecoms 2006 total revenues $646B (2007 Informa) Global ARPU by users $25.51 but by SIMs $19.91 (2007 Informa) 2006 SMS Revenues $80 B (2006 ITU), is 12% of global revenues 2007 Non-SMS mobile data content $45 B (2007 Informa) MVNO revenues in 2005 $18.4B (2005 Total Telecom) SMS used by 74% ie (2007 Logica CMG) ie 2 B people EOY 2006. Average price person-to-person SMS globally 3.7 cents (Informa 2007) 28% of users access internet via mobile phone, is 588 million people ( 2005 Ipsos) Note: Most of these also access via PC Handsets replaced in 18 mo (2006 Semiconductor Industry Assoc.) 2006 Handset sales 1.02 B units (2007 IDC) and $115 B in annual revenues (2005 iSupply) Mobile Industry Metrics '007

Ahonen Mobile Communities2007