Wednesday, May 17, 2006

Content to the Hilt (The Star Malaysia)

WITH third generation (3G) technology, it is no longer just about connectivity; it is about faster speed combined with visual and better quality of sound. It is a whole paradigm shift from voice to content for operators and content providers.

So what exactly is the hype on 3G content all about?

According to AKN Messaging Technologies Bhd group chief operations officer Lester Neil Francis, with 3G, the possibilities for consumers are enormous.

“In short, you will be able to transfer, copy, replicate everything being done on the Web today onto you mobile with unlimited restrictions of speed or bandwidth,” he said.

The content could vary, from video-ondemand, emails with attachments and business transactions.

“The opportunities and scope are only limited by the creativity of the providers and the maturity of users to accept 3G as a mobile mode of enjoying such services and products,” Lester said.

Currently, content was predominantly entertainment and video based such as news feed, video calls, sports clips, mobile television and interactive websites, he noted.

DVM Technology Bhd executive director Chen Chee Peng said 3G content had to be “compelling, attractive and rich” in 3G functionalities to avoid the trap of appealing to a small group of the population.

“Malaysia is not short on technology. Our industry is very up-to-date in terms of being able to embrace the latest technology but it suffers from being acutely short sighted,” he said.

He cited the example of WAP and GPRS service providers, who focused on offering content – priced at a level that only appealed to a slim and limited demographic segment, restricted mostly to those residing in the Klang Valley. “There is no mass usage of such services and hence, it is not imaginatively profitable. It is this same disease that afflicted Internet and broadband penetration in this country,” Chen added.

According to the Malaysian Communications and MultimediaCommission, Internet broadband penetration in the country was 1.86% last year against 0.08% in 2002. Internet dial-up penetration stood at 13.9% last year from 1.8% in 1998.

Lester said the acceptance of 3G services would be subject to several factors – market maturity, the availability of wide spectrum of services for all target markets, affordable 3G handsets and stability of network infrastructure.

Animation production company Inspidea Sdn Bhd managing director Andrew Ooi Kok Hong said different content appealed to different groups of people.

He noted that there were two present trends: converting existing broadcast content material for mobile phones and creating specific content for mobile users.

Content for 3G mobile users was usually for a shorter period of time as it was important to “grab their attention” at a smaller screen than television or personal computers, Ooi said.

“We have to work hard on visuals, colours and sounds to achieve that. It has to be catchy, punchy, sharp and precise,” he said.

One of the challenges of creating more content for 3G network providers is cost.

“In our field, there is production costs involved but most network providers operate on a profit sharing basis,” he said, adding that unless and until subscribers base had achieved economy of scale, operators were unlikely to pay the cost.