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M:Metrics report shows static mobile games consumption

Price increases cause concern for industry watchers

The latest report from mobile consumer consumption analysts M:Metrics shows a static wireless games market, suggesting that the widespread increase in the number of games available is failing to increase gaming downloads.

According to the report, mobile gaming consumption has remained steady, with approximately 5-6 million mobile subscribers downloading at least one game per month, while the number of games and the price per download continues to increase.

"Our data shows that more games do not yield more gamers," commented Seamus McAteer, M:Metrics chief product architect and senior analyst. "In fact, an examination of the title mix across competing carriers reinforces the lack of any correlation. It is apparent that other factors, such as subscriber demographics and pricing, play a bigger role."

The company's research revealed that carriers have increased their game portfolios significantly since September, US carriers adding on an average of 59 titles for the leading devices used to download content over a five month period since September 2005.

In spite of this increase in the selection of games available, wireless consumer's appetites for gaming remains largely unchanged. The concern stretched into pricing too, with an increase of 3 per cent for one-off downloads since September 2005, subscription services increasing by 22 percent over the four month period.

"As all carriers more aggressively promote subscription-based models, they are also testing price inelasticity by gradually inching up average pricing," McAteer added. "To grow the market, carriers must work in tandem with publishers to provide real value for a more expensive subscription, rather than treating it as just another pricing tactic."

Mobile gaming was the only sector covered in the report which showed any decline in usage, work-related email, personal email and the use of photo-messaging showing the most prominent rise during the period studied.

As the mobile market continues to grow and convergence between the traditional videogames market and the wireless space expands rapidly, carriers are going to have to start taking a serious look at the products they offer and the prices they charge, adapting the ethos from sheer quantity to genuine quality if mobile subscribers are to be in any way inspired to increase their wireless gaming consumption.

Further information on the latest M:Metrics consumer consumption survey can be found by visiting the www.mmetrics.come.

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