Mobile Social Networking

Mobile Social Networking is already an established service in some regions, but in 2008 and beyond, new features are attracting larger numbers of users, and permitting new business opportunities. Mobile Social Networking is now a global phenomenon with expansion in all directions.

Informa has just published a ground breaking report entitled “Mobile Social Networking: Communities and Content on the Move”. The research concludes that the number of mobile social networking users exceeded 50 million, approximately 2.3% of the global mobile user population, on December 31 2007. Some of these users were registered in multiple mobile communities, engaging with friends, having fun and sharing their passions with others. By 2012, in the most conservative scenario it is estimated that there will be 12.5% penetration of mobile social networks among mobile users globally, and 23% in the high growth scenario.

Mobile Social Networking is approaching critical mass among mobile subscribers in South Korea and Japan. The US, the Nordic countries, and Western Europe are experiencing high growth, and other geographies are following. Much of the recent additions have been responses to new WAP-based services which offer engaging communities and exciting features with low obstacles to entry. The latest mobile community platforms are providing rich media experiences that users want on their mobile handsets.

In 2006, Mobile Social Networking revenues exceeded US$1.5 billion and more than doubled in 2007. The revenue growth will accelerate in the next two years but after that point, much depends on mobile network operators' policies and the interests of users. By 2012 revenues generated from all business models in this industry is forecast to reach US$28.9 billion in the most conservative scenario, and $52 billion in the high growth scenario.

Over the next 24 months communities which foster friendships will continue strong growth in users and revenues. Entertainment community segment revenues will overtake in some regions in 2010. Other community segments focusing on productivity, fame, and social shopping are beginning to emerge on mobile platforms, diversifying the offers and attracting people of different socioeconomic and demographic profiles to Mobile Social Networking services.