Audience for Mobile Video Expanding Rapidly in the United States

Viral Content Posts Strongest Growth, at 36 Percent From January to August; Programmed Video Audience Grew by 28 Percent in Same Period SAN FRANCISCO, CA and LONDON--(Marketwire - October 23, 2007) - M:Metrics, the mobile media authority, today released its latest figures on the mobile video market in the United States, and reports that the audience is growing at an impressive rate. At eight million in August, the total audience for those who viewed mobile video, either from the carrier deck or video content sent by a friend or family member, grew by 34 percent from January of this year. With 6.8 million viewers, viral video is the most popular type of video content in the U.S., a figure that increased by 36 percent since January. The audience viewing programmed mobile video, meaning video content delivered on-deck over the carrier network, stands at 2.7 million, up 28 percent from the beginning of the year. U.S. Mobile Video Usage: August 2007 Percent mobile Frequency Subscribers subscribers --------------------------- ----------- -------------- Watched mobile Almost every day 726,910 0.3% TV and/or video At least once each week 1,994,419 0.9% Once to three times throughout the month 5,309,822 2.5% Ever in month 8,031,152 3.7% Watched Almost every day 345,959 0.2% programmed mobile At least once each week 877,886 0.4% TV and/or video Once to three times throughout the month 1,686,234 0.8% Ever in month 2,910,079 1.4% Watched video Almost every day 592,754 0.3% sent by family At least once each week 1,572,819 0.7% or friends Once to three times throughout the month 4,676,819 2.2% Ever in month 6,842,392 3.2% Source: M:Metrics, Inc., Copyright © 2007. Survey of mobile subscribers. Data based on three-month moving average for period ending 31st August 2007, mobile subscribers in United States, n = 33,271 "This data is very encouraging news for the growth of mobile as an advertising-supported medium," said Seamus McAteer, chief product architect and senior analyst, M:Metrics. "Clearly, there is the foundation of a market for premium paid video content, which underlies the potentially much more substantial opportunity for free ad supported material." Those who are tuning into mobile TV watch short-format or news-related content. Music videos are the most popular genre of on-demand TV content, followed by movie trailers, weather and sports. Still an early-adopter market, the audience skews toward young males. With 9.7 percent of 18-24-year-olds watching mobile video, this group is more than two and a half times more likely to watch video of some kind on their mobile device. Genre of content watched by on-demand mobile TV viewers in the US, ranked in popularity: August 2007 Genre of video content % video audience watching ---------------- Music videos 34.8% Movie trailers 29.0% Weather information 25.7% Sports action or news 25.7% Comedy videos 25.1% Local/National/World News 22.9% Entertainment/Celebrity News 22.5% Animations or cartoons 18.8% TV highlights 17.7% Amateur video clips 17.4% Full TV/film 15.3% *excludes those who don't know/don't remember Source: M:Metrics, Inc., Copyright © 2007. Survey of mobile subscribers. Data based on three-month moving average for period ending 31st August 2007, mobile subscribers in United States, n = 33,271 "The sizable growth of operator-programmed mobile TV in the United States, where the audience has expanded by 28 percent from January to August 2007, is due to the aggressive promotion of these services, broader diffusion of 3G handsets and a deeper focus from content companies," observed McAteer. "Sprint's performance is particularly noteworthy, as the carrier's subscribers comprise more than 36 percent of the total audience for programmed video. Its early entry into mobile video combined with its support of a multitude of video-capable handsets continues to pay dividends." M:Metrics applies trusted media measurement methodologies to assess the audience for mobile content and applications. As the world's most authoritative mobile media measurement firm, M:Metrics delivers the most accurate mobile market metrics through the world's largest monthly survey of mobile subscribers as well as automated data collection methodologies. Below are the findings of its July Benchmark Survey. French Mobile Subscriber Monthly Consumption of Content and Applications M:Metrics Benchmark Survey: August 2007 Activity Subscribers Percentage Percentage (1000s) Change ----------- ---------- ---------- Sent Text Message 33,111 73.60% 1.60% Used Photo Messaging 10,716 23.80% 5.20% Used Personal E-Mail 2,738 6.10% 5.60% Purchased Ringtone 1,876 4.20% 1.50% Used Mobile Instant Messenger 1,459 3.20% 2.10% Used Work E-Mail 938 2.10% 6.80% Purchased Wallpaper or Screensaver 759 1.70% -0.10% Downloaded Mobile Game 695 1.50% 10.70% Source: M:Metrics, Inc., Copyright © 2006. Survey of French mobile subscribers. Data based on three-month moving average for period ending 31 August, 2007, n= 12,710 German Mobile Subscriber Monthly Consumption of Content and Applications M:Metrics Benchmark Survey: August 2007 Activity Subscribers Percentage Percentage (1000s) Change ----------- ---------- ---------- Sent Text Message 38,024 80.10% 1.60% Used Photo Messaging 10,346 21.80% 2.30% Used Personal E-Mail 2,668 5.60% 2.40% Purchased Ringtone 2,036 4.30% -3.90% Used Mobile Instant Messenger 1,467 3.10% -6.10% Used Work E-Mail 1,358 2.90% -3.20% Downloaded Mobile Game 1,160 2.40% -3.10% Purchased Wallpaper or Screensaver 924 1.90% -3.60% Source: M:Metrics, Inc., Copyright © 2006. Survey of German mobile subscribers. Data based on three-month moving average for period ending 31 August, 2007, n= 16,084 Spanish Mobile Subscriber Monthly Consumption of Content and Applications M:Metrics Benchmark Survey: August 2007 Activity Subscribers Percentage Percentage (1000s) Change ----------- ---------- ---------- Sent Text Message 27,229 83.8% 1.2% Used Photo Messaging 10,510 32.3% 4.0% Used Personal E-Mail 2,726 8.4% -1.1% Used Mobile Instant Messenger 2,154 6.6% 3.7% Used Work E-Mail 1,693 5.2% 1.0% Purchased Ringtone 1,657 5.1% -4.4% Downloaded Mobile Game 1,590 4.9% 3.4% Purchased Wallpaper or Screensaver 685 2.1% -4.9% Source: M:Metrics, Inc., Copyright © 2006. Survey of Spanish mobile subscribers. Data based on three-month moving average for period ending 31 August, 2007, n= 12,789 Italian Mobile Subscriber Monthly Consumption of Content and Applications M:Metrics Benchmark Survey: August 2007 Activity Subscribers Percentage Percentage (1000s) Change ----------- ---------- ---------- Sent Text Message 39,105 85.9% 2.2% Used Photo Messaging 14,597 32.1% 5.1% Used Personal E-Mail 4,057 8.9% 0.5% Used Mobile Instant Messenger 2,646 5.8% 4.4% Used Work E-Mail 2,193 4.8% -2.7% Purchased Ringtone 1,800 4.0% -0.9% Downloaded Mobile Game 1,221 2.7% -1.7% Purchased Wallpaper or Screensaver 972 2.1% -7.7% Source: M:Metrics, Inc., Copyright © 2006. Survey of Italian mobile subscribers. Data based on three-month moving average for period ending 31 August, 2007, n= 13,809 U.K. Mobile Subscriber Monthly Consumption of Content and Applications M:Metrics Benchmark Survey: August 2007 Activity Subscribers Percentage Percentage (1000s) Change ----------- ---------- ---------- Sent Text Message 39,320 86.4% 0.9% Used Photo Messaging 13,930 30.6% 1.6% Used Personal E-Mail 3,439 7.6% -0.2% Used Mobile Instant Messenger 2,245 4.9% -1.7% Downloaded Mobile Game 2,176 4.8% 0.7% Used Work E-Mail 1,804 4.0% -0.2% Purchased Ringtone 1,561 3.4% -9.3% Purchased Wallpaper or Screensaver 737 1.6% -12.2% Source: M:Metrics, Inc., Copyright © 2006. Survey of U.K. mobile subscribers. Data based on three-month moving average for period ending 31 August, 2007, n= 15,960 U.S. Mobile Subscriber Monthly Consumption of Content and Applications M:Metrics Benchmark Survey: August 2007 Activity Subscribers Percentage Percentage (1000s) Change ----------- ---------- ---------- Sent Text Message 92,852 43.2% 3.5% Used Photo Messaging 41,344 19.2% 8.0% Used Personal E-Mail 20,077 9.3% 5.3% Purchased Ringtone 19,671 9.1% 0.7% Used Mobile Instant Messenger 14,679 6.8% 5.2% Used Work E-Mail 12,041 5.6% 8.3% Downloaded Mobile Game 7,161 3.3% 3.3% Purchased Wallpaper or Screensaver 6,340 2.9% 0.5% Source: M:Metrics, Inc., Copyright © 2006. Survey of U.S. mobile subscribers. Data based on three-month moving average for period ending 31 August, 2007, n= 33,271 About M:Metrics M:Metrics is the mobile media authority. As the only research firm to measure the audience for mobile media, M:Metrics provides the most accurate metrics on actual mobile content consumption by applying trusted media measurement methodologies to the mobile market. M:Metrics' monthly syndicated data service gives clients the critical insights and intelligence required to inform smart business strategies and the competitive benchmarks needed to evaluate the performance of competitors and partners. M:Metrics is a private, venture-funded corporation headquartered in Seattle, with offices in San Francisco and London. About M:Metrics Data Based on continually refreshed samples of nationally representative mobile phone consumers, M:Metrics reports summarise market size, device reach, and key demographic and mobile phone usage characteristics. The data presented here is drawn from an extensive survey questionnaire that collects specific device model and carrier subscription information from each month's sample of mobile phone subscribers, and also drills down into specific details related to current and past usage of various mobile phone applications and content. Data collected from each sample are statistically balanced and projected to the total national population of mobile phone subscribers. Authorized Uses Members of the press may cite research data or a portion of text provided that each is sourced to M:Metrics, for example, "Source: M:Metrics, Inc." or "According to M:Metrics, . . .". Copies of graphs, data tables or slides must include the following copyright notice affixed to all material: "Copyright © 2007, M:Metrics, Inc." Contacts: US Jaimee Minney M:Metrics Tel: +1 206.757.1360 Email: jminney@mmetrics.com EU Tina Lorkin M:Metrics Tel: +447867 860 942 Email: tlorkin@mmetrics.com UK Richard Fogg CompanyCare Communications Tel: +44 (0)118 939 5900 Email: richard@companycare.com