Feeds

Labels to delve deeper into ringtones

Money-making scheme no 93

  • alert
  • submit to reddit

Internet Security Threat Report 2014

Record companies may buy up mobile phone ringtone providers and are likely to go a step further by setting ringtone studios, a new report says.

In the report, research company Strategy Analytics forecasts that sales of personalisation data services for mobile phones will rise from USD3 billion this year to USD6 billion in 2008. It also said that although the sales will come from services such as mobile phone graphics, icons, screen savers and novelty voice mail, it is ringtones that will dominate.

Compelling evidence to support this claim is already surfacing, with the Japanese Society for the Rights of Authors, Composers and Publishers reporting a doubling of ringtone sales in 2002 over the previous year, with an average of 110 million ringtones being downloaded each month.

What's more, the company's report "Real Music Ringtones: Changing Dynamics in the USD4 billion Ringtone Market," predicts that record companies will consider acquiring ringtone producers and distributors to cash in on the burgeoning sector, although it's also anticipated that the big labels will continue to license their music to independent ringtone producers.

According to Strategy Analytics senior analyst Nitesh Patel, just how directly involved in the sector record companies will become remains somewhat unclear. But what is clear is that over the coming months and years, consumers will begin to demand "real" music ringtones, as opposed to the current simple tones or even the more advanced polyphonic ringtones.

As this demand grows, news ringtones will have to be created using master samples from the big record labels, allowing the record companies to take a more aggressive stance in the sector. Strategy Analytics said that in this environment, existing ringtone solution providers will be forced offer greater value to mobile operators who and record companies if they are to withstand these pressures.

"We see ringtones as a catalyst for record companies to become more actively involved in ringtone market, in light of dwindling CD singles sales, as is often reported, and we advise that this would be a key strategy for them moving forward," Patel said.

While strategy analytics believes that the increasing number of mobile handsets with open operating systems and Bluetooth will make file sharing or file conversion much easier, it advises carriers to remain focused on issues such as DRM (Digital Rights Management) and ease of payment through mobile channels.

According to Patel revenues from the real music ringtone market would help counteract the losses record companies have incurred as a result of MP3 sales and illegal file swapping, and that MP3s, ringtone sales could be monitored much more easily.

© ENN

Business security measures using SSL

More from The Register

next story
Brit telcos warn Scots that voting Yes could lead to HEFTY bills
BT and Co: Independence vote likely to mean 'increased costs'
Phones 4u slips into administration after EE cuts ties with Brit mobe retailer
More than 5,500 jobs could be axed if rescue mission fails
New 'Cosmos' browser surfs the net by TXT alone
No data plan? No WiFi? No worries ... except sluggish download speed
Radio hams can encrypt, in emergencies, says Ofcom
Consultation promises new spectrum and hints at relaxed licence conditions
Blockbuster book lays out the first 20 years of the Smartphone Wars
Symbian's David Wood bares all. Not for the faint hearted
Bonking with Apple has POUNDED mobe operators' wallets
... into submission. Weve squeals, ditches payment plans
This flashlight app requires: Your contacts list, identity, access to your camera...
Who us, dodgy? Vast majority of mobile apps fail privacy test
prev story

Whitepapers

Providing a secure and efficient Helpdesk
A single remote control platform for user support is be key to providing an efficient helpdesk. Retain full control over the way in which screen and keystroke data is transmitted.
WIN a very cool portable ZX Spectrum
Win a one-off portable Spectrum built by legendary hardware hacker Ben Heck
Storage capacity and performance optimization at Mizuno USA
Mizuno USA turn to Tegile storage technology to solve both their SAN and backup issues.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
Security and trust: The backbone of doing business over the internet
Explores the current state of website security and the contributions Symantec is making to help organizations protect critical data and build trust with customers.