T-Mobile USA became the first carrier to offer ringback tones nationwide Wednesday.
The carrier launched CallerTunes, enabling subscribers’ phones to play music instead of the traditional ring callers hear before a mobile phone is answered. Users paying a $1.50 monthly subscription fee for the service can then buy 40-second music clips for $2 each, and can assign different songs to different callers, or change them depending on time of day.
The buzz surrounding ringback tones has become deafening in recent months as North American and European operators take note of the service’s popularity in the East. Asian carriers are reporting increased average revenue per user of up to $2.44 per month, and U.K. analyst firm Ovum believes the global ringback market could reach $2.4 billion by 2008.
Last month, Verizon Wireless became the first nationwide carrier to launch the service, but made it available only in Southern California and Sacramento. Verizon expects to roll out the application nationwide next year, and other carriers are expected to launch services in the next few months.
Industry insiders say the appeal of ringbacks reaches far beyond consumer uses.
“You could record specific messages, including advertising messages,” said Adrian McAloon, director of marketing for Ztango, a subsidiary of Korea’s WiderThan that is providing T-Mobile’s service. “We’ve had some people who’ve approached us for that. I think you’ll see that” as a marketing tool.
