Report: Free mobile TV to erode revenue

330 mil TV-enabled handsets expected by 2013

BRUSSELS -- Free mobile broadcast TV services will cut into consumer spending on other mobile TV services, though revenue for the market is still set to reach $2.7 billion by 2013, according to forecasts by Juniper Research.

Operators are hoping that advertising will make up for revenue they would forfeit by delivering free TV programming, the report said.

Although 330 million wireless subscribers are expected to own a broadcast TV-enabled handset by 2013, less than 14% will pay for mobile TV services, Juniper predicted.

Juniper also predicted that the success of free-to-air mobile TV will create opportunities for streaming TV services, giving carriers a gap in the market to offer streamed VOD services over 3G cellular networks.