Stay tuned for Verizon Wireless TV
Published: January 7, 2005, 11:09 AM PST
By Ben Charny
Staff Writer, CNET News.com
http://news.com.com/Stay+tuned+for+Verizon+Wireless+TV/2100-1039_3-5517154.h
tml?part=rss&tag=5517154&subj=news.1039.20

Verizon Wireless has expanded its wireless broadband network to a dozen more
cities and next month will begin selling a TV-on-demand service featuring
specially made Fox, Comedy Central and NBC programming--moves meant to
re-establish the carrier as the largest U.S. cell phone operator.

Verizon's BroadbandAccess wireless Web service, whose performance matches a
slow wireline broadband connection, is now available in 32 markets, having
been expanded Friday to Chicago, Boston and 10 other cities. By year's end,
the operator expects the network to be available to 150 million Americans,
making it the largest third-generation, or 3G, network in the United States.

Verizon is trying to take advantage of a major weak spot of new No. 1 cell
phone operator Cingular Wireless--the relatively paltry reach of its
wireless broadband network. Cingular--which overtook Verizon as the largest
U.S. carrier when it purchased AT&T Wireless last year--offers 3G service in
just a half-dozen cities.

"This is not a plan for services on the horizon, this is about now," Verizon
Wireless CEO Denny Strigl said in a prepared statement.

Wireless broadband subscriptions is a new market for U.S. carriers, which
are losing revenue--years of hyper-competition have driven down the cost of
cell phones and voice calling minutes. But U.S. sales of such wireless
baubles have been disappointing because, unlike in Asia and Europe,
Americans are more apt to turn to their PCs to cruise the Internet. While
both Verizon and Sprint say wireless data sales topped $1 billion last year,
the revenue falls far short of that pocketed by carriers outside the United
States.

Figuring content will kick-start the market, on Feb. 1 Verizon Wireless will
begin selling Vcast, which the operator claims is the first multi-media
service designed for third-generation cell phone networks, such as the one
supporting BroadbandAccess. Vcast subscribers can choose from 300 shows,
with the programming lineup centered on what Fox programming honchos have
dubbed "mobisodes," specially made shows for the cell phone's small screen
and limited processing prowess. Vcast's line-up includes version of Fox's
popular "24" (sans star Kiefer Sutherland) and other mobisodes from Comedy
Central, MTV and NBC News programs. Subscribers also get a new array of
three-dimensional games and music videos.

As telephone industry analyst Jeff Kagan points out, what consumer get is
not "mobile TV" per se. Rather, customer select what they want to see, push
the button, it buffers for a few seconds, then the playback occurs. "Its
like watching loads of short, high-quality bursts of information in a
variety of areas," Kagan wrote in an e-mail.

Verizon's new service will challenge one offered by rival Sprint, the
nation's third-largest carrier that recently announced its intention to
merge with Nextel Communications. Sprint began selling a mobile TV service a
year ago.

According to market analysts InStat, cell phone video services in the United
States generated $32.7 million in revenue in last year. That could more than
quintuple over the next four years as carriers like Verizon Wireless enter
the market, higher-speed networks that make the services much more palatable
are expanded and handset with video players become more widely available.

"TV in a handset is a whole new paradigm," said Bill Krenik, manager of
wireless advanced architectures at Texas Instruments, which supplies chips
for cell phones. "The whole face of TV is likely to change. On your living
room TV, prime time is at night. Prime time on a mobile phone might very
well be commutes."




You are a subscribed member of the infowarrior list. Visit 
www.infowarrior.org for list information or to unsubscribe. This message 
may be redistributed freely in its entirety. Any and all copyrights 
appearing in list messages are maintained by their respective owners.

Reply via email to