So going back to our question - What's next for the mobile phone industry?  I think the closest innovation and the next killer application that will bring communication to new heights and will make 3G the defacto mobile network would be "Video Conferencing or Video Phones" wherein we will be able to see and talk to the person on the other line.  3G will bring a lot of changes in the way we use our phones, we will see more interactivity, multi-player gaming, faster file-sharing, more business and entertainment application.

Future developments: Mobile phones with a built-in digital TV receiver; Mobile Instant Messaging (MIM); IP Multimedia Subsystem (IPS); Push-to-talk Over Cellular (PoC); Mobile satellite communications; Audio/Video Streaming; and the Fourth-generation mobile service.

Consulting and analyst firm Gartner said convergence and bundling of services as well as Asia/Pacific domination of subscriber growth will be the prevalent trends in the mobile and wireless industry over the next five years.  Gartner estimates that there will be Three (3) billion mobile subscribers in the world by 2010 and most of the growth will come from the Asia/Pacific region.  The report also indicated that majority of mobile users will have lower incomes and demand cheaper handsets which means mobile manufacturers should produce more lower cost handsets and less functionality than the new generation phones that we see today.  The high subscriber base will present the biggest growth opportunity for infrastructure and handset providers and will become a hotbed of mobile technology and application innovation according to Gartner.

Gartner also urged CIO's to look beyond mobile workforce assisted projects like field and sales force automation to a more innovative applications such as wireless enabled intelligent products and services.

If the estimate of Garner will become a reality and mobile innovations will come into place, mobile advertising or wireless marketing will just be around the corner.  Currently, mobile advertising is confined to the annoying Short Messaging Service (SMS) or text blast where target and quality potential market is left to chance.   In other countries, McDonald's and Dunkin' Donuts are beaming coupons to U.S. cell phones resulting to coupon-redemption rates as high as 17%.  Mobile-marketing firm Enpocket President Michael Baker said that mobile phone marketing today is where Internet advertising was in 1996.  Mr. Baker added that there are already more mobile phones in use worldwide than televisions and computers put together.  Enpocket is the company that handles the Dunkin' Donuts campaign.

Mobile phone advertising brings a new type of campaign and opportunity to advertisers.  Target marketing has been a perennial challenge to advertisers - selling the right products and services to the right consumer and in the right time.  Mobile phones in a way can ease that problem.  Consumers carry their mobile phones almost everywhere that advertisers can actually follow them wherever they are in world.  The remaining challenge is in determining who the users are and their spending power.

Advertisers however should realize and understand that mobile users are a different breed of consumers - what they want and what they don't want will play a major factor in an effective mobile campaign.  In a survey conducted by Choicestream, mobile users wants personalization and privacy fears remains a concern.  I believe mobile users won't mind receiving ads or contents for as long as it is relative or beneficial to them.  Discounts, promotions or any offerings that will them save more money will be a welcome.  On the other hand, intrusion of their privacy and time will be an annoyance and will surely end your mobile campaign.

Mobile phones brings new and big opportunities to companies but challenges will also escalate.  A totally different business strategy is required.  Companies who will be able to combine the advantage offered by mobile phones and the power of traditional and new media (TV, radio, print, Internet) will emerge as the winner in this highly competitive market.

To ordinary users like us, the future of mobile phones will keep us on the edge of our seats.  New types of entertainment and information delivery will definitely change our lifestyle.  All I am hoping for is while new generation mobile phones are exciting, it should come with a reasonable cost (handsets and service) so that more people can enjoy and participate in this new wireless world.

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