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China Multimedia (music & video) Mobile Handset Market Report, 2005

Published: Aug/2005

Hard Copy  USD $ 1,900
Pages: 165 Electronic(PDF)  USD $ 2,000
Report Code: Enterprisewide  USD $ 3,000
 

Multimedia handsets refer to mobile phones capable of obtaining and handling data, including such functions as Text, Graphics, Image, Animation, Audio and Video, in addition to voice services.

The handset industry has undergone three typical stages in its development, characterized by the upgrading of multimedia functions. At least another two upgrading stages are expected in the near future. Mobile phones will gradually turn from a communication tool to multimedia terminal.

Development Stages of Multimedia Handsets

The former three stages of technology progress have reshaped the image of handset as simply a communication device, with multimedia elements flowing in, the function of entertainment highlighted subsequently.

At the beginning of 2001, as chord ring tones satisfied people’s psychological needs, there occurred a tide of chords competition, led by Samsung. The upsurge, lasted to 2003, eventually resulted in a ring tone downloading market of great potential.

In 2003, the occurrence of camera phone caught people's attention from chord ring tones. Thanks to the hot sale of camera phones, a competition of camera module upgrading occurred in 2004. However, as the entertainment function of camera phone (photos) failed to perform as widely as ring tone downloading, combined with the intervening of extra factors, users at present remained cool to the camera phone pixels. Overseas brands with 0.3 mega pixels sell better than domestic brands at mega pixel levels.

MP3 phone became the mainstream in the marketplace in 2005.

At the inception of 2005, the market share of MP3 phones accounted for only 7.5 percent, compared with the 17 percent at the end of the year. In 2005, the complete sale volume would touch 15 million units. Year 2006 will see a burst of growth in music phone industry.

 Market Share Growth of MP3 Phones, Jan–July 2005

The development of music phones remains only a step through the multimedia handset development as a whole, the focus is bound to shift to video field followed music phones, and the next bestseller in the market will be DV handset, MP4 handset, TV and game phones.

Classification of Multimedia Handsets

Multimedia will no longer be the exclusive function of high-end handsets but the standard configuration for mainstream handsets in the future. The main reason is that the cost to add these multimedia functions is becoming lower and lower. As soon as the cost declines to below 10 dollars, users will accept completely and consider it worthy for buying it. Color screen, chord ring tones and cameras have become standard configuration one by one. And MP3 player is most likely to become the next standard configuration of mobile phones.

 


 



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