±±¾©Èü³µpk10

Mobile experts predict, however, that the new service could be very quickly superseded by even more advanced technology, which will make the new launch purely a shortterm move by the telecoms giant.

Rather than 3G leading the way, all the major mobile phone operators are trialing new DVDH (digital video on demand - handheld) systems, which look set to be launched in time for next year's World Cup.

"There are major issues with showing television on the 3G network, not least of which is the bandwidth problem," said Thomas Husson, a mobile analyst with Jupiter Research.

"Showing TV uses a huge amount of bandwidth which they can do at the moment because not that many customers have signed up to 3G, but in the future it would pose a big problem.

"It's also very expensive. I think they are doing this to show off what the phones are capable of, but it's not the future of mobile TV we're looking at."

However, the fact that Orange has launched the services, with the likes of 3, Vodafone and O2 also spending fortunes testing mobile TV devices, has convinced many that 2005 could be the year 3G and mobile in general really kick in as an audio-visual entertainment and branding vehicle – and not simply a platform for established mobile services such as SMS.

Orange TV includes content from nine broadcasting channels, such as ITN News, CNN and Cartoon Network, as well as dedicated Big Brother and Celebrity Love Island channels.

Alexis Dormandy, chief marketing officer for Orange, said: "This signals the start of a huge new opportunity for our customers, broadcasters, handset manufacturers and production companies."

Husson said the arrival of DVDH – and other technological breakthroughs foreseeable – would prove to be more significant.

O2 is among those exploring such a service, along with cable company NTL, as well as Vodafone and T-Mobile.

Husson said: "It's probably not going to be mass market for another couple of years, but already I think it offers, rather than a threat, a real opportunity for broadcasters to extend their range of services and their reach."

Powerful branding device 

Although most trials of mobile television have focused on programming, rather than advertising, analysts believe that 3G and future generation phones will eventually open up massive new opportunity for marketers.

The Hutchison 3G-owned operator, 3, last week launched through a tie-up with Flytxt the first advert on its service, a downloadable trailer for the movie, It's all Gone Pete Tong.

Julian Smith, mobile marketing analysts at Jupiter, said: "We are now seeing 3G services take off and many people are predicting that Christmas 2005 will be a 3G Christmas.

"Broadcasters are beginning to wake up to the potential of audio-visual content, over the internet and now over 3G as well, and there will be great opportunities for it to become a powerful branding device for advertisers.

"Initially these are likely to be the sort of young, go getting companies that reflect the early adopters of the phones themselves, the likes of Nike, Reebok and also some of the automotive clients, but I'm sure others will follow".