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Jul06
PODCAST: U.K. Mobile Operator 3 Takes Wraps Off Google Mobile Search; Beefs Up Social Networking & Mulls Over Music Streaming
It’s been a busy year at 3 UK, the first-mover mobile operator and media company credited with leading the charge to tear down portal walls and unleash the open Internet. I don’t know if I would go that far, but the company has introduced some formidable firsts - such as the X-Series it launched last December. (Background here: The service lets subscribers make unlimited calls from their mobile using Skype, watch their home television via their mobile using Sling, access their home PC remotely using Orb and have access to internet and messaging services from Yahoo, Windows Live Messenger and Google.) To make it all affordable 3 announced flat rate access – an offer its competitors have since adopted in their drive to grow traffic and revenues.For an encore 3 has since launched a raft of premium content offers, introduced an ambitious ad-funded scheme to deliver users content and relevant advertising, and sharpened its focus on social networks. But don’t look for details on the breadth of the social networking offer in company press releases. 3 likes to showcase new services on the portal – without a lot of marketing – to gauge user interest and keep them coming back for more. An example is its new umbrella social networking service called Meet & Share, launched in early June. The service essentially lets users access Bebo, MSN and a range of social networks alongside 3’s own branded offers. Access to eBay and other Internet services (transcoded, of course) is next on the agenda.
I spoke with Peter Northing, 3’s head of content, to find out more about services in the pipeline and ask the all-important question: Where is Google? He revealed that 3 has just this week launched the Nokia 6210 handset, the only device to date that allows U.K. users to access Google via the 3 portal. “So, that is the first time that we’ve brought Google to the U.K. portal and you’ll see it roll out across the portal in probably in the beginning of the next month [August].” Of course, one could ask why 3 has only chosen to begin with the 6210. My take: 3 prefers to proceed one careful step at a time and wants to avoid a repeat performance of Vodafone (and the hiccups that accompanied Voda’s Google launch).
So, what about Yahoo, 3’s other partner and the one most expect will be chosen to monetize on-portal? Peter tells me that one is still up in the air. “In terms of the search and the advertising split, we haven’t made that distinction and we are still evaluating who our partner will be for on-portal banner-style advertising.” 3 has already sealed a deal with Rhythm New Media for video advertising, which Peter says is “doing extremely well.”
Listen to the podcast here.
Social stats and habits: 3 has pulled together “various elements” of its social networking services and reports some surprising results. A one-stop destination has encouraged usage and “delivered uplift across the board.” SeeMeTV, 3’s service that rewards content creators for the videos others download, has seen the biggest jump- especially now that 3 has segmented the video content according to genres and user groups. Another winner is MSN which is “remaining strong,” with over 100 million messages a month.
Music and money-makers: Look for 3 to launch a music streaming service in the next couple of weeks. “It will be a good addition for the entry-level customers, but it also recognizes that people have different purchasing requirements and want to listen to music in different ways.” Despite raising the prices for music downloads Peter reports 3 sees positive use. “The shift was not as strong as we expected, so that actually suggests that our customers do highly value our service.” Finally, 3 will stream the Live Earth concert this weekend and users can “catch up on the best bits of the concert the next day – and I think that’s another exciting example of how we can take the power of mobile into the traditional media world.”Recommenders, no thanks: While Orange is upbeat on music recommendation (and gearing up to launch its service – powered by Xiam – soon), 3’s enthusiasm for recommendation engines remains lukewarm at best. No plans in the pipeline – and no urge to play catch-up just yet. “We have deliberately not gone there.” It’s not mainstream and it’s a perfect fit with mobile. “This is very high-end behavior.” (Translated: only a niche segment of users would ever want it to begin with.) “My number one priority is to bring something really simple that people understand [because] it does what it says on the tin [can].”
The mystery functionality: Peter revealed that 3 is working on an “exciting new functionality that will enhance the entire user experience around social networking with far better functionality for our customers to interact and enjoy a rich mobile experience as opposed to necessarily a rich Internet experience.” Look for it near the end of the year. (BTW: After the interview Peter gave me a few more clues. He said he could “buy into” the concept of a social dashboard. In his view, the end-game is about “allowing users to interlink closely with their peer groups and the multitude of various ways that they’ve got now for communicating – whether it’s MMS, video calling, MSN Messenger or good old voice and text.”
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This special three-part podcast series - sponsored by JumpTap, a white-label mobile search and advertising company – continues with a look at recent mobile moves from Google and Yahoo, and why operators should think twice before surrendering control over the mobile search experience to a single branded search company. Dan Olschwang, JumpTap President and CEO, discusses what operators need to control and why.
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