Low Tariffs, Combined With Wider Handset Vendor & Carrier Support
Required
BOSTON--(Business Wire)--AT&T Video Share, a service that simultaneously combines voice and
video communication by supporting a one-way video stream initiated
during a standard call in real-time, will struggle to gain traction
unless usability, pricing and interoperability barriers are lowered,
according to the new Strategy Analytics report, "AT&T Video Share:
Three Screen Access Not Sufficient to Drive Success."
Launched in July 2007, AT&T Video Share is the first real-time
video based mobile communication service offered in the US. However,
Nitesh Patel, Senior Analyst, Global Wireless Practice, notes, "The
disappointing adoption levels of two-way mobile video telephony
services in Europe highlights low latent consumer demand for video
based communication services, despite their wide availability in the
region. Furthermore, with service usage limited to only AT&T
subscribers, the network effects required to drive adoption and usage
are absent, despite the carrier's plans to introduce interoperability
with PCs and TVs as part of its three screen strategy. Consequently,
the Strategy Analytics short-to-medium term outlook for AT&T's Video
Share is bleak." This report identifies a number of areas that AT&T
can address in order to enhance prospects for Video Share.
David Kerr, Vice President of the Global Wireless Practice,
proposes, "Experimentation, adoption and usage of AT&T Video Share can
be improved if the current high tariffs for service use are lowered
from the current 36 cents per minute pay-as-you-use level.
Furthermore, to take the total addressable market beyond its current
1% penetration level, handsets from vendors other than LG and Samsung
need to support this service."
About Strategy Analytics
Strategy Analytics, Inc focuses on market opportunities and
disruptive forces in the areas of Automotive Electronics and
Entertainment, Broadband Connected Home, Mobile & Wireless Intelligent
Systems Implementation Strategies and High Frequency Market
intelligence. Headquartered in Boston, MA, with offices in the UK,
France, Germany, Japan, S. Korea and China, Strategy Analytics works
with clients through annual multi-client services, management team
workshops and custom consulting engagements. For more information,
please visit www.strategyanalytics.com
Strategy Analytics, Inc
David Kerr, +1 262-646-8974
dkerr@strategyanalytics.com
or
European Contact:
Nitesh Patel, +44(0) 1908 423 621
npatel@strategyanalytics.com
Copyright Business Wire 2008
