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Universal, MTV to Make Music, Video Mobile

Posted on: Wednesday, 13 September 2006, 00:00 CDT

Universal Music Group in Santa Monica, Calif., is joining with MTV to allow music, videos and other content on mobile devices.

Though research has shown consumers are disinterested in getting entertainment from cell phones, cell phone carriers have invested at least $1 billion to create mobile content, the Los Angeles Times reported.

About 44 percent of 208 million cell phones are capable of playing videos and songs, but only 20 percent of owners have ever downloaded any, JupiterResearch said

Probably only 1 percent of cell phone owners regularly consume mobile videos and songs, Neil Strother, a wireless analyst at NPD Group, a New York market research firm, said.

The biggest deterrent is cost. Content on cell phones can be downloaded elsewhere for less.

Universal Music represents such artists as Mariah Carey, Eminem, Kanye West and U2, and Music Television's channels, including Nickelodeon, Comedy Central, VH-1 and MTV, might eventually help Universal reach a younger demographic.

MTV's agreements with multiple cell phone carriers might revive its relationship with teens who have gravitated to YouTube and MySpace, the Times said. But JupiterResearch analyst, Julie Ask, questioned, Why use a cell phone instead of an iPod?

Source: United Press International

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