Adult Mobile Video Chat Slated to Take Off, Study Says

LONDON — Mobile video chat is where it’s at.

That’s what a Juniper Research study released Wednesday says in its claim worldwide revenue from mobile adult video chat services will jump to $1.5 billion by 2012.

Juniper forecasts that video chat will comprise 33 percent of adult mobile service revenue by 2012, compared with just 8 percent in 2007.

Western Europe is expected to remain the largest regional market for mobile adult services throughout this period, with revenues rising from $78 million in 2007 to $453 million by 2012.

The study also said that the average monthly spend of the adult chat market is 10 to 20 times higher than for other adult services. Customer retention and average usage is higher for chat than most adult mobile sites because more surfers return to the same host or hostess and develop a virtual relationship with him or her, the study said.

“With 3G penetration expected to exceed 25 percent in many developed markets by the end of 2008, there is a significant opportunity for service providers to launch and monetize live chat services," Juniper analyst Windsor Holden said.

Juniper found that offering subscription services at a reduced price for a trial period greatly increases revenue, because it allows the customer to decide whether or not the content is worth a greater investment.

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