Mobile Adult Video to Outstrip Traditional Text-Based Services Rising to $1.7bn by 2009

Juniper: Mobile adult video services will usher in the gradual demise of more ‘traditional’ mobile text-based adult services within the next three years, which predicts a total market for mobile adult content of just under $2.7 billion by 2009.

The global market for mobile text based adult services (currently 20% of the market) is forecast to peak by next year at $303 million, after which revenues from this type of service will decline as media-rich graphics and video services become even more dominant. In marked contrast, mobile adult video services which already constitute 50% of the global market, will continue their rapid rise in popularity to reach $1.7bn in 2009, eventually realising $2.4bn by 2011. By 2011 they will account for over 70% of mobile adult content market revenues.

Although some question the popularity of targeting adult content to the ultra-small screen, these fears are likely to be unfounded As with mobile games and mobile gambling, the mobile channel will not just be another delivery channel for existing content. It will in fact be a different way of presenting adult content. The mobile channel will reach new audiences who will use the products in a different way to their use of print products, DVDs and the Internet. Because mobile is about fun and instant gratification, products will need to be designed to provide just that.

However the potential for revenue growth is not without its hurdles, there are many regulatory and public sensibility issues associated with mobile adult content and these will constrain market growth. However, the inherent strengths of the mobile as a flexible device, coupled with advances in mobile video capability and the implementation of robust age verification procedures, will ensure that the mobile channel has an important role to play in the future of the adult content industry.

‘Mobile Adult Content: Text, Images & Video, 2006-2011

Publ 20060913