Sprint PCS expanded its visual data offering last week with the launch of its Video Mail service, which allows customers to send and receive video clips up to 15 seconds in length with full sound between handsets or to traditional e-mail addresses. The carrier said the service builds on its previously launched Picture Mail offering, which Sprint PCS noted racked up 23 million uploads during the third quarter of this year.
The Video Mail offering initially is available on the Sanyo VM4500 handset, which the carrier has offered for several weeks and includes both Video and Picture Mail capabilities, a camera flash that doubles as a movie light for the video service, a one-times zoom for video recording and compatibility with Sprint PCS’ recently launched Ready Link walkie-talkie service.
The handset, which retails for $380 before rebates, can capture video images at 15 frames per second and store up to 33 normal-quality 15-second video clips with resolutions of 96 by 128 pixels. Sprint PCS also provides free Web-based storage for videos similar to the online Picture Mail storage offering.
Sprint PCS said video clips can be sent directly between Video Mail-enabled handsets or as Web page links to the carrier’s non-Video Mail phones, though it expects most customers to choose the option of sending the videos to traditional e-mail addresses, which has proven most popular with its Picture Mail service.
An Audiovox Corp. Toshiba VM4050 Video Mail-enabled handset that will not include Ready Link capabilities, but will offer a rare two-times telescopic zoom lens for still photos as opposed to the traditional digital zoom currently available on most camera phones, is scheduled to be added by the end of the year.
The Video Mail service is priced at a $5 premium from the current $15 per-month PCS Vision Picture Pack option and combined allows for unlimited video and picture sending and sharing, the online storage, unlimited access to the Vision Web browsing service and a $5 credit per month toward premium downloads.
Sprint PCS noted that in connection with its recent data network offerings, including Picture Mail and Ready Link, Video Mail should help the carrier attract more data users who may not be looking specifically for data services.
“This is one of those services that gets people excited about wireless service,” said Jeff Hallock, assistant vice president of consumer product marketing at Sprint PCS. “It also allows us to sell data without having to say `data.’ “
Sprint PCS’ data services have experienced rapid growth during the past year with the carrier announcing at the end of the third quarter that more than 2.7 million customers had signed up for a PCS Vision data plan-about 15 percent of its total customer base. Those data customers contributed more than $2 per month to the carrier’s average revenue per user during the third quarter, which analysts noted led the industry.
While Sprint PCS does not report the amount of data transmitted over its network, the carrier brushed aside concerns that the greater adoption of data services would prevent it from continuing to guarantee quality of service for both its voice network and data applications if they are fighting over a fixed amount of spectrum.
“Network capacity or quality is not an issue,” Hallock said.
Recent consumer surveys have criticized Sprint PCS’ network quality. A Consumer Reports study earlier this year claimed Sprint PCS subscribers reported issues with dropped calls in five of the six metropolitan areas surveyed, and a J.D. Powers and Associates report gave the carrier a below-average ranking in network quality.
Sprint PCS countered those surveys with claims that its internal testing has shown marked improvement in network quality during the past year, with increased emphasis on expanding network coverage.
Analysts have noted Sprint PCS has one of the stronger spectrum positions in the industry thanks to the nearly 30 megahertz of average spectrum per market it controls nationwide, a relatively modest customer base of less than 20 million subscribers and its digital-only CDMA-based network technology that was upgraded to capacity-enhancing 1x capabilities with the PCS Vision launch.
“I think they wished they had a capacity problem,” said Iain Gillott, iGillottResearch founder and president, “but, it’s not an issue at this time.”
Others concurred, noting that in addition to Sprint PCS’ robust spectrum position, the picture applications that are proving popular on the carrier’s network can be transmitted in small enough packets as to minimize the impact on overall network capacity.
“The picture messaging is only very small packets of data, and I can’t imagine the video is that much more,” said Eddie Hold, vice president of telecommunication services at Current Analysis, who noted the additional charges associated with data services would also likely deter network-altering adoption.
Gillott added that even if data use ramps up considerably during the next several years, advancements to Sprint PCS’ CDMA-based network are expected to keep pace.
“There are technology enhancements to CDMA in the works that can handle the growth,” Gillott added.
Instead of network capacity concerns, Gillott said he is more concerned about Sprint PCS’ rapid-fire approach to launching advanced data services, noting consumers could lose track of what is available.
“I am not sure it’s a bad thing to always be on the cutting edge of technology, but they have to make sure the sales channels can keep up,” Gillott said. “Customers can easily become confused if they are constantly in need of a new handset to take advantage of the latest technology.”
