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‘The consumer is ready for innovation on his mobile device’

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Sudipta Datta Posted: Nov 06, 2009 at 1521 hrs IST
As South Asia’s largest digital entertainment company, Hungama Digital Media has the rights to about 70-75 per cent of the entire mobile content that gets consumed in India . Think ringtones, caller-back tunes, mobile wallpapers, full song downloads, games, videos, news and so forth. But mobile apart, it is also present in gaming, Bollywood and other digital media. At this year’s annual ME Awards on October 1, Hungama Mobile was recognised in the ‘Outstanding Contribution to Mobile Entertainment’ category. While, fortunately, the areas of operations for Hungama, such as mobile and online services continue to grow despite the meltdown, the company anticipates pricing pressures on some of these services, Neeraj Roy, CEO and MD, tellsSudipta Datta. Excerpts

Is your mobile division alone seeing high levels of growth or are you seeing growth across platforms?
One of the highest growing platforms will be the Internet broadband both on the PC and mobile. We believe that the next few years will be significant from a convergence point of view and Hungama is well-placed across segments such as mobile, Internet, direct-to-home and IPTV services.

How big a player is Hungama in the mobile space? What are the numbers you are seeing?
Hungama has been in the business of digital entertainment for over a decade now. Our leadership in the mobile entertainment space is defined by the 305-plus strong partnerships with leading content providers. These partnerships enable us to provide a large variety of mobile entertainment to the consumers. We are a privately held company and cannot disclose numbers. However, the category is growing and far exceeding our expectations in an otherwise recovering economy.

How is the Indian mobile value-added services sector growing?
The Indian value-added services market is a increasingly important segment for telecom operators, media and entertainment companies and VAS service providers like us. With 3G and broadband services spreading, we expect the segment to grow in significance.

How many Bollywood films and music titles have you delivered on a digital platform and can you tell us on how many platforms are you making content available?
Hungama has created strong partnerships with over 305 content providers. The content created by these partners is not restricted to Bollywood, it pans across genres which include regional content in both northern and southern belts of India. We have been extremely successful in these pockets. Another big ticket category for Hungama is devotional which has a strong dominance in our share of categories. We also have access to International, Indipop, ghazals and other genres of entertainment. Therefore, our library has a massive collection of both film and non-film content. Currently, our library comprises close to 2 lakh pieces of music and nearly half a million pieces of mobile content.

Who are you working with in Bollywood?
We have worked with a vast number of film banners and music labels such as T-Series, Yash Raj, Dharma Productions, Eros, to name a few. Since we are the exclusive digital content partners for these banners, we have practically worked on all their releases. Again, the Diwali festival week of 2009 saw some big banner releases such as Blue, Main Aur Mrs Khanna and All The Best. All of these were distributed by Hungama on the digital platform.

What are some of the innovations in the mobile space?
Currently, the Indian mobile market consists of more than 400 million mobile subscribers. It is growing at 15 million new connections per month and will hit 700 million subscriptions by the end of 2010. With this exponential growth rate and the increasing demand for entertainment on the go, the consumer is ready for innovation on his mobile device. Based on this analysis, we launched the Bollywood Hungama Widget which empowers the consumer with means to use their phone beyond the basics.

How does a financial meltdown affect a company like yours?
Fortunately, the areas of operations for Hungama, such as mobile and online services, continue to grow. However, we do anticipate pricing pressures on some of these services.

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