This is a link to Rajesh Jain’s blog; Emergic. I am glad that he has started blogging again, although he is doing to promote his venture called as Netcore. He used to post across links daily to various tech columns and had amassed a good amount of readership. One of his employees is Atanu Dey who blogs regularly on his own site on Deesha. I am not sure how they are joined in the scheme of the things but Rajesh Jain does have his own crack team.
He does some numbers on the mumbo jumbo that is Value added services and I am more inclined to believe these stats as compared to the crap that gets dished out in the media. All in all, it is not the billion dollar industry but a more sedate estimated $200 million dollars. The number of subscribers may be “booming” but the real revenues are not. The mobile industry is playing a volume game and the new entrants realise it.
I feel that as the market matures and regulation becomes more pro active (i.e. there are no two centres of power- TRAI and DoT), it would be more fruitful for the customers. For starters, we would have more representation in the regulation from the customers; a real watchdog on lines of Ofcom who would penalise the lousy shit heads called as honchos and fair play instead of favouritism to likes of Reliance.
VAS (value added services) would help to extend the utility of the handset. Instead of downloading ringtones (which is an absolute no brainer), the likes of m Commerce might take roots. I had written an article on the same ages ago; Tata had plans to launch it in India. Somewhere along the line, the lost that game and became just another company with a fancy mobile telephone infrastructure.
If the market has to grow, there has to be a shift towards the basics. m Commerce can happen via secure sms based transactions. If the acceptance grows, I am sure there would be a good amount of money to be made in this.
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With the launch of 3G, there will be a greater need of VAS to be provided to the subscribers. Because it is not voice anymore which generates revenue. It has to come through VAS. Therefore, here the content developers need some incentive which the current revenue sharing scenario is not. There has to be a change in the regulations with respect to the revenue sharing model for VAS for 3G.
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