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Business Modelsfor Mobile Broadband Media Services: Case Study Indonesia Telecom Market
KTH, School of Information and Communication Technology (ICT).
2012 (English)Independent thesis Advanced level (degree of Master (Two Years)), 20 credits / 30 HE creditsStudent thesis
Abstract [en]

The increase mobile data traffic from the emerging Internet services, especially multimedia, has posed considerable challenges for the telecom industry. Their initial mobile data services business models are generally not compatible with these emerging Internet services. Thus, there is a substantial need to investigate the suitable options to make media as a profitable telecom business sector. However, there are different challenges and opportunity factors in developing sustainable mobile media business in each market, due to the unique circumstances applied as the result of customer characteristics, mobile market situation and regulatory/law enforcement.</p><p>The first purpose of this thesis is to explore the business model options to deliver media services on top of mobile broadband. Although, we limit our focus to Indonesia, we first analyzed the worldwide patterns toward the media services in order to get a broader view of the current trend. We mapped multitudes of actor involved in digital online / on the top (OTT)media service, which together they form different types of constellation in the value network,as well as service, delivery and revenue model. We also put our focus to get the lessons learned from Spotify's business model, by framing it using Chesbrough and Rosenbloom's model.</p><p>The second purpose is to understand the Indonesian mobile user's characteristic toward the mobile media services. We conducted survey to 119 Indonesians, analyzed the result with one sample T-tests and validated it with the correlation tests (Cronbach Alpha and Pearson correlation), within the Unified theory of acceptance and use of technology (UTAUT)framework. Our findings confirm the low willingness to pay, but an open attitude for the services. The mobile device and network quality are not the barriers for them to adopt the services, and there is a tight connection between the decisions to adopt the services with the perception that the service is popular.</p><p>Through those findings, we assessed the feasibility of the identified options and formulated the recommendations. We used our understanding about Indonesian market structure (telecom and media), regulation, and mobile user, as well as the lesson that we got from media services provisioning in Sweden and worldwide trend. We found that the pricing tiers, adjustable pricing, and differentiated features are some of the key success factors.Meanwhile, being part in the point-to-multipoint partnership with the well-known OTT player is the potential position that the Mobile network operators (MNOs) in Indonesia should take in provisioning OTT media services, rather than deliver the services by their own.

Place, publisher, year, edition, pages
2012. , 70 p.
TRITA-ICT-EX, 2012:305
Keyword [en]
business model, mobile Internet, multimedia services, mobile broadband
National Category
Engineering and Technology
URN: urn:nbn:se:kth:diva-121299OAI: diva2:618116
Educational program
Master of Science -Communication Systems
Available from: 2013-04-25 Created: 2013-04-25 Last updated: 2014-10-10Bibliographically approved

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