Could Video Kill the Mobile Web?

Gareth Spence
Multiple screens

Video’s record for causing disruption and widespread panic in the technology and media industry is nothing new. In the 1980s, video was accused of killing the radio star (escaped jail on a technicality). In the 1990s, it was implicated in bringing down cinema (thrown out of court). Yet in 2010, video faces its toughest allegation yet: killing the mobile web.

Although this may appear a bold statement, the concern over video’s impact on mobile broadband is starting to take hold and is supported by a wealth of new research that highlights the dramatic growth in mobile data, driven by continued strong sales of smartphones and tablets.  Recent figures from the Office of National Statistics reveal that there’s been a 20-fold increase in mobile data in the past year, with over 31% of Internet users now connecting to the web via a mobile device. These figures will only increase as more tablets enter the marketplace and video-centric applications move from WiFi to cellular networks. In a recent post, I discussed the challenges posed by Skype and FaceTime as they prepare for mobile mass adoption.

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Most mobile operators would agree that mobile data is growing at exponential levels, at least doubling every six months. Three, a mobile provider in the UK, claims to be carrying over 100 terabytes a day and expects this to dramatically increase with the growth of the tablet market. While a little more conservative, the FCC shares these concerns and has released a paper indicating that mobile broadband will increase by 35 times today’s demand by 2014. So concerned by this rise, the FCC now believe that the US is in real danger of running out of spectrum to accommodate the growing bandwidth demand.

To combat this, the FCC has issued a number of proposals designed to rally US mobile providers into action. One of these measures is the development of the much-discussed white-space networks. However, as I recently posted, there is a long way to go before these networks will be ready for commercial use. Other action items include experimenting with ways to bring spectrum online quicker.

Research from Bytemobile shows the FCC has reason to be worried, particularly when it comes to video consumption on the iPad. Until now, video consumption on smartphones has mostly been around 240p in quality. With iPads and other tablets, the quality jumps to at least 480p. This represents a dramatic increase in quality and, more importantly, the associated bandwidth demands.

These figures were further compounded by a recent Nielsen study highlighting that iPad owners not only spend more time engaging with media than other users, but they’re also willing to pay for services to do so. Although this is great news for Netflix and other over-the-top services, mobile operators are left to consider how to respond.

Looking at these figures a number questions spring to mind. How are mobile operators going to develop networks at the same speed as the demand for mobile broadband? And do it in a meaningful way that doesn’t only target urban areas. Also, how will the pricing for mobile data change as we continue to absorb increasingly more data on the go? Will there be renewed demand for unlimited data packages? As always, I’d be interested in your thoughts here.

PS, at time of publishing, video is still being questioned on the charge of killing the mobile web and is currently seeking legal representation.

Read more on this topic here: Mobile Backhaul Evolution

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