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According
to a recent online survey by Sina.com, one of China's largest portal websites,
65 percent of 158,000 respondents said they would try 3G services as long as
they are available. It is expected that the 3G services of China will benefit
from the rising popularity of a mobile Internet, as more than 117 million
subscribers have gone online with their cell phones locally.
Cyril Annarella, Senior Vice President Asia, Marketing, Telecom Business Unit Of Gemalto said, "The 3G era opens the door to a colorful digital lifestyle for people and heir wireless devices. They can watch sports events live, handle their personal finances and interact with friends or relatives easily through their mobile phone."
A recent KPMG report indicated that, in the era of 2G, telecom operators had access to more than 95% of the proceeds of the service. While for 3G services, mobile operators only have a margin of 50%. Who moved their cheese?
Well, part of the proceeds will be earnd by third party content providers. Also
in order to lure more subscribers to try 3G services, operators may have to set
service prices to be more competitive. Therefore the trick for operators to keep
their 3G business lucrative is not just to keep introducing new services to the
market. Drumming up a bigger volume of revenues to compensate for a decreasing
margin is one way, but the real key for success is to set up an environment in
which subscribers will have a nicer experience to discover, buy and use
services. That would create a differentiation on service level and provide a
bargaining point with third-party application and content providers that in turn,
will be eager to share some part of the revenue in return for a fast-growing,
savvier subscriber base.
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