Search This Blog

Friday, August 3, 2007

Google and the Telecom growth

The future of the cell phone market is in the data services. For 2006 in the USA, the average data ARPU climbed 50% while the average voice ARPU declined 7% since EOY 2005. Overall ARPU declined 1% from 2005 levels, with Verizon having made impressive stride with its data revenues up 101%.

Google is making the right move, helping out the cell phone market and itself, creating specs for cell phones to increase revenues through the ad market, where traditionally is a source of wealth in the media industry. It is investing millions of dollars in collaboration with the wireless operators. The cell phone advertising market is new and has amazing opportunities of a tremendous growth till 2011 with a projection of $14 billion in spending compared to the $1.5 billion today.


If it is not Google, and its funny part, that even might suck, then who else can it be? This is something that we use today as a candy. Google tries to be always the first mover and they do not hesitate to spend as a much capital as needed, with Yahoo a follower, learning lessons and acting as the skeptical one. The cell phone market is suffering and there is need and space for innovation. It looks like the ad market is the way to go, with lots of negotiations, 3G networks decisions and agreements and user rights and regulator's approval on the content etc.

This goes along with my current research, targeting to prove empirically what directly affects the ARPU in the USA and the EU zone.

Google is preparing the industry for a big bomb, it sounds like its phone project is reaching out different sides of the Telecom to achieve the best and flexible outcome without depending on operators as Apple did.

Check out how a media guru is scanning the iphone's functionalities in the best review I 've ever read so far.

-E
"my blog was blocked for spam, the last weeks and finally was released - lol"

No comments: