Oöober showcases user generated content on mobile devices

User-created content is increasingly staking a claim for itself in the mobile space, with indie rock bands and DJ’s using the near-ubiquity of cell phone penetration in the 12-to-24-year-old age group to expand the reach of their brands. One Toronto firm is joining the ranks of those hoping to capitalize on the "you" media trend. At a recent event in Montreal, Simi Grosman, senior VP of business development at mobile content company Oöober, noted that five million of Canada’s 17 million wireless subscribers "are actively purchasing mobile content." The mobile content market in Canada is estimated to be worth approximately $180 million by the end of this year, with the majority of revenue coming from ringtone and wallpaper downloads, music and video clips as well as games and other digital content, according to Oöober’s figures. There’s a tremendous amount of content available for cell phone subscribers to access, said Grosman, including licensed content from the likes of BMG, Universal Studios, Warner Brothers and others. But there’s also a growing amount of user-created content coming from indie artists using the wireless space to reach fans, as well as individuals just wanting to share with friends their digital works of art, mobile blogs or photos. Grosman made the comments at the IP Telecom EXPO in Montreal on May 31 during a presentation where he underscored the growing significance of user-created content and Oöober’s ability to help content creators get greater exposure and make some money at the same time. The company has developed technology that allows users to easily post content onto websites accessible by cell phone subscribers. He likens the company’s business proposition as being similar to eBay – a global online marketplace for the buying and selling of goods – except Oöober deals in digital merchandise such as ringtones, photos, wallpapers, music and video. As well, users don’t need to worry about the technology issues such as the interface, device management or content manipulation. "The key role that Oöober plays is to eliminate a lot of the complexities that would normally be involved in trying to do this yourself," Grosman said. "That’s essentially what Oöober brings to the table." Oöober only recently emerged from stealth mode and has been offering commercial services for the past few months. Grosman said the company is making money through a revenue sharing model which gives content creators about 50% of the take, with wireless carriers getting a piece and Oöober taking its share. DJ Baba Kahn and Art of Dying are two examples Grosman cited as typical indie artists using the mobile space. They may be looking at the mobile space more as another distribution channel rather than as another revenue stream, but the groups do earn money when fans download full music tracks, ringtones, photos, or wallpapers. The success of this business model has been buoyed by the willingness of wireless operators to get involved, he said, adding that carriers are "extremely interested" in this evolution of mobile content. "What we’re finding in talking to some of the carriers is that they would love to be able to provide content that is more relevant for their local communities," Grosman said. He highlighted an example of Orange France wanting to offer content that is different from content offered in the United Kingdom. For the carriers, the ability to offer this type of localized or community-relevant content represents a good way of creating loyalty. "And, as we all know the thing that keeps all operators up at night is the idea of holding onto their subscribers and then being able to generate more revenue from those subscribers," Grosman said.

Oöober showcases user generated content on mobile devices

Broadcast | June 12, 2006

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