MocoNews quotes from a WR Hambrecht report:
its not a good outlook, with the analysts pointing to recent changes in carrier policies pushing revenues down dramatically, and encouraging a move away from subscription revenues to one-off sales which have lower ARPU and less repeat business.
They also think that carriers plan to sell content directly, with obvious negative effects on the aggregators, citing some examples:
— Mobile Video: China Mobile and China Unicom recently signed agreements with CCTV to provide video clips of the TV stations programs.
— Mobile IM: The carriers are building in-house instant messaging applications.
— Mobile Search: both China Mobile and China Unicom have apparently struck a deal with start-up Cgogo for white label services…Cgogo reportedly received a $20 million investment recently from Hong Kong tycoon Li Ka-shing. Of course, China Mobile also has a deal with Google.