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Content pricing key for operators, MVNOs

CAMBRIDGE, United Kingdom-Mobile operators and mobile virtual network operators could lose up to 16 percent of revenue if they adopt the wrong pricing policy for messaging, content and entertainment (MCE) services, according to a new report from U.K. consulting firm Analysys.

“The pricing that operators adopt for MCE services could substantially affect not just their revenue from those services but also their overall service revenues,” said Eddie Murphy, author of the report. “Choosing the right strategy will be key, and the right strategy will vary from operator to operator according to their approach to content, their position in the market and the strength of their international alliances.”

MCE services currently make up 12 percent of total mobile revenues in the Western European mobile market, according to Analysys, and that percentage is expected to rise to 23 percent by 2008.

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