As
worldwide economies remain sluggish, mobile device hardware vendors
and service providers are searching for new ways to combat sagging device
sales and increase subscriber revenues. According to new research from
IDC, Moving Pictures: The Future of Mobile Devices and Imaging, the
integration of digital imaging capabilities into
handsets and PDAs may be just what the doctor ordered. Worldwide shipments
of
these devices will reach 151 million in 2006.
"The
component technology of both handheld devices and mobile phones has
now reached a point where embedded imaging is possible," said Chris
Chute,
senior analyst for IDC's Digital Imaging Solutions and Services research.
"Most device buyers will increase their investment for a product
with imaging
capabilities."
Improvements
in high-speed wireless data networks will also make imaging-
enabled devices more appealing to potential buyers. "Increased
bandwidth from
2.5G and 3G networks make multimedia transmission possible," said
Alex
Slawsby, research analyst for IDC's Smart Handheld Devices research.
"Combining these network capabilities with advanced imaging-enabled
mobile
devices will drive future growth in revenues, subscriptions, and shipments."
Key Findings
* Over 900 million individuals are expected to subscribe to a wireless
service worldwide by the end of 2002.
* Worldwide shipments of imaging-enabled handhelds will grow from 617,440
units in 2002 to 11.1 million in 2006.
* Leveraging 2.5G wireless connectivity in Japan, imaging-enabled mobile
phones are driving strong subscriber and revenue growth for NTT DoCoMo,
KDDI, and J-phone: other carriers in Asia and Europe are poised to
follow suit with similar services throughout the next year.
* Secure Digital and Memory Stick are vying to be the media of choice
for
imaging-enabled device vendors.
* To be successful in this space, devices must incorporate camera
functionality, while leveraging carrier subsidies to reach price points
that will attract consumer volume purchases.
IDC's study Moving Pictures: The Future of Mobile Devices and Imaging,
includes a high-level view of the drivers and inhibitors affecting the
implementation of imaging technology in the mobile device market.
