Helio Launches YouTube 2.0

| Dec 14, 2007 | Wireless Services - U.S. | Competitive Intelligence Report

| Analyst: Deepa Karthikeyan

Current Perspective: Positive
Vendor Importance: High
Market Impact: Moderate

Event Summary

On December 12th Heliolaunched an enhanced version of its YouTube service for its Ocean users. The new application boasts of features like the ability to log into a YouTube account, upload pictures and videos, post comments, rate and gps tag videos. Subscribers will also be able to access their personal favorites from the convenience of their cell phones. This feature is available free to All-In subscribers and a la carte members are required to pay $0.50 per kb.

Recommended Competitor Actions

• Verizon Wireless should realize that it is quickly losing ground as the connoisseur of mobile user generated content, a position it enjoyed last year with the launch of exclusive services like YouTube and Revver. Helio’s YouTube service is equipped with better features than the mobile version of the same on Verizon Wireless’s deck. The carrier should take stock of its offerings and dive into the social networking pool before its competitors swim past it.

• Virgin Mobile, Helio’s main contender in the MVNO segment, should point out that it recently launched Intercasting’s Anthem platform on its deck, offering access to eight focused niche social networking sites. The carrier also offers Facebook on most handsets, providing a wider array of networking sites for its customers to choose from.

• Carriers planning to launch YouTube’s service over their networks should consider including the upcoming LG KU990, also known as the YouTube phone, to their handset portfolio. The LG KU990 boasts of features like 120 gps video recording and a single-click connection to YouTube.

• As mobile social networking sites become pervasive, carriers should move away from forging exclusive deals, because subscribers will increasingly want to correspond with network members who are with other carriers. Wireless carriers should jointly strive to make the mobile space an open playground for user-generated content.

Recommended End User / Customer Actions

• Existing Helio subscribers looking to access the new YouTube site should be aware that the service is only supported by the Pantech Ocean.

• Potential and existing Helio subscribers should be aware that they will be charged a hefty $0.50 per kb access fee if they do not subscribe to the carrier’s All-In plans. This $0.50 per kb fee could get costly for customers who regularly access the application on a limited use basis.

CLIENTS ONLY

Analytical Summary

Current Perspective

Competitive Positives and Concerns

Recommended Vendor Actions

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