MOBILE VALUE ADDED SERVICES (MVAS)

BASIC DEFINITION OF MVAS :

VALUE ADDED SERVICES (VAS) in telecom industry refer to non-core services, the core or basis services being standard voice calls and fax transmission including bearer services.

Value added services are characterized as: • Not a form of core or basic service but adds

value in total service offering. • Stands alone in terms of profitability and also

stimulates incremental demand for core or basic services

• Can sometimes be provided as stand alone.

• Do not cannibalize core or basic service.

• Can be add‐on to core or basic service and as such can be sold at premium price.

• May provide operational synergy with core or basic services.

“Value Added Services are enhanced services which add value to the basic teleservices and

bearer services for which separate licence are issued”

FOR MOBILE TELECOMMUNICATION MARKET, A SIMPLE DEFINITION OF VAS WOULD BE‐

Mobile Value Added Services are those

services that are not part of the basic

voice offer and are availed separately

by the end user. They are used as a tool

for differentiation and allow mobile

operators to develop another stream of

revenue

GOVERNMENT OF INDIA ISSUES LICENSES FOR THE FOLLOWING VALUE ADDED SERVICES:‐  

1. Public mobile trunking service 2. Voice mail service 3. Closed users group domestic 64 kbps data

network via INSAT satellites system 4. Video tex service 5. GMPCS 6. Internet 7. Audio tex 8. Unified messaging service

MVAS ECOSYSTEM

Content Providers

Content Developers

Content Aggrerators

Technology Enablers

Mobile Services Providers (MSP)

CONTENT PROVIDERS :

Content Providers are the entities that own the original content.

They are typically media companies & movie studio who own rights for the movies & music.

In India the content providers are mostly production houses in Bollywood.

The biggest content providers in India are Rajashri Production,Sony Films etc.

CONTENT DEVELOPERS

Content developers tailor the content so that it con be viewed in the mobile phones.

There are several operating systems that are currently prevalent in the mobiles phones & it means that content development needs to be done for different operating systems.

CONTENT AGGREGATORS

The MVAS growth has given birth to a new entity which aggregates content originally designed for some other media, from different sources.

Some of the content aggregators also develop content especially for mobile phones for e.g. mobile games.

TECHNOLOGY ENABLERS

They provide the technical platform that helps the MSP’s to host the content .

The technical platform needs to be integrated with billing system of the MSP’s as well.

3G TECHNOLOGY:VAS ENABLER

Defining 3G: 3G networks are wide area cellular

telephone networks which have evolved to incorporate

high‐speed internet access and video telephony. 3G technologies enable network operators to

offer users a widerrange of more advanced services while achieving greater network capacity

through improved spectral efficiency. Services include wide‐area wireless voice telephony and

broadband wireless data, all in a mobile environment.

STRENGHTS WEAKNESS3G spectrum offers 4‐5 times the voice capacity of 2G spectrum and thus 3G is a cost‐effective tool to deliver voice

The high 3G spectrum and license cost may effect cost of service to the subscribers

In rural India, 3G can enable telemedicine,virtual marketplace and e‐learning

In Europe, 3G growth has not justified the cost of investment for operators

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