Movio moves for multi-mode

BT Movio launched its wholesale mobile broadcast entertainment service just over a month ago. Virgin Mobile is the first, and for now exclusive, mobile operator to use BT’s wholesale service, offering its customers mobile TV and digital audio broadcasting (DAB) radio services alongside voice.

Dominic Strowbridge, marketing director of Movio, says no subscriber numbers have been released but Virgin is seeing “good quality” customers, meaning the majority are monthly subscribers rather than prepaid users.

Movio has chosen Chinese vendor ZTE as the first supplier of a dual-mode 3G/ DAB-IP handset. The handset will allow users to receive TV and radio broadcast channels over DAB, while selecting catch-up TV programmes via the 3G network. BT has not said when Virgin’s exclusivity period will end, or whether Virgin will be the first operator to use the ZTE dual-mode handset but Strowbridge does not rule it out. What he did admit was that the handset would be available in 2007.

“We are encouraging handset makers to go down the multi-mode route,” says Strowbridge. By using DAB-IP, BT argues, mobile operators can get in early and re-use their investment. “You can do TV over DAB, over 3G, over DVB-H and in future over WiMAX – and all have IP as the common denominator.”

BT is thus encouraging chip vendors such as Siano Mobile Silicon and Frontier Silicon to support its Movio service alongside DVB-H.

Market research firm, Sound Partners, points out that DAB has limited spectrum available, and it less spectrally efficient than DVB-H. Hence BT needs such multi-mode handsets to give its service an evolutionary path, as well as remain competitive if DVB-H, TDtv or other technologies come along offering much more. There are also economies-of-scale benefits given that DAB-IP is only likely to be adopted in a few markets.