The continuing escalation in smartphone adoption and corresponding rise in application downloads is driving the mobile entertainment market, according to a new report with mobile gambling and social media set to become the fastest growing product sectors.Valued at $33 billion last year, the market is set to rise to $54 billion in 2015, says Juniper Research.
Services such as social media, games, video and streamed music are now enjoying an unprecedented level of awareness in the mobile market, with niche players such as gambling and adult services flexing their muscles in the open mobile internet arena.
Major brands are also allocating increasing proportions of their digital budget to the mobile internet, due to the rise in consumer adoption of rich media content.
Content providers, in particular, are benefitting from the additional revenue stream created through in-app advertising.
And despite the erosion of the ringtone market, mobile music will remain the largest contributor to mobile entertainment content revenues over the next five years, says the report.
Report author Dr Windsor Holden, said: “We’ve witnessed a quite dramatic evolution of the mobile entertainment market over the past few years, in terms of type of content, scale of content and how that content is monetised.
“The challenge for the players across the redefined mobile ecosystem is to recognise how best to leverage their strengths to ensure that their respective revenue streams are optimised.”