Mobile TV Sees Little U.S. InterestMobile TV Sees Little U.S. Interest

The major U.S. wireless carriers have poured billions into their mobile TV offerings, but customers haven't been buying. A new report from JupiterResearch shows only 1% of U.S. cell phone users have adopted mobile TV.

Over the last few years, the major wireless U.S. carriers have struck deals with TV content companies to offer a mobile video service. Verizon Wireless has its V Cast Mobile TV, Sprint has Sprint TV, and AT&T rolled out its service earlier this year based on the MedioFlo network. All three let wireless subscribers view clips and full-length shows on their mobile handsets for a monthly fee.

But the report found that overall interest in all types of mobile TV has dipped since 2006. The main reasons adoption and interest remain unimpressive are poor networks, costs, and limited channel lineup.

It takes a high-speed mobile broadband connection to get clear, uninterrupted video to mobile handsets, and the carriers haven't been able to offer the service in every market. While the mobile operators have large 3G networks, consumers may have to wait for 4G networks to be rolled out for high-quality, consistent mobile TV.

Those surveyed also said that mobile TV services have been too expensive, as they generally cost an additional $10 to $25 per month. With a looming global economic slowdown and consumers looking to cut costs from their monthly bills, the report said value proposition of mobile TV doesn't appear to be strong.

Users also complained of the relatively limited channel lineup of mobile TV services, but that may change as content providers see mobile devices as increasingly viable platforms. For instance, the National Football League recently agreed to a $500 million deal to stream live games on Sprint handsets.

But the report did find some positive news for TV on cell phones, as about 15% of those surveyed showed interest in being able to record shows and view them later on mobile handsets. This bodes well for the likes of Sling Media, which creates products that can beam TV shows off a DVR to a customer's smartphone.