Social Networks 4G

...Will provide operators main income

Cellular phone operator Verizon plans to launch communications fourth generation (4G) by the year 2010, expecting that it would be a substantial revenue yield users social networks such as MySpace and Facebook. Analysts warn that Verizon is not the only operator that has found new market.

All it need to do to social networks have become a hit in mobile networks is to select the correct network. So believes Verizon Wireless technical director Dick Lynch. Verizon plans to launch 4G- network in 2010. They will be interested in the possibility of including users and social networks. "Those who today enjoys Facebook and YouTube or other social networks will be the main consumer services wireless networks in the future," Mr. Lynch believes.

"4G Network is no longer transfer of voice or text messages. This is interactive applications that enjoyed success with customers," confident Dick Lynch.

Verizon was moving in the right direction focusing on the younger audience of social networks - they will be more likely to download music or video to mobile phones, than older users. Sites MySpace and Facebook quickly became popular by the fact that users can create files online, communicate with each other and share video, music and photos. Move their ability to cellular phones is a good idea. But the networks third generation (3G) data transmission speeds low and operators maintain high rates of traffic. And to a market puts Verizon network 4G.

Rather than develop their own social networking products the majority of operators have chosen to work with the existing popular sites like MySpace and Facebook. Many of the new projects, such as Intercasting, Juice Wireless, AirG, Frengo and Twitter, also plan to provide social services in mobile networks, said Rajeev Chand, Rutberg and Co analyst.

Verizon is not the first operator interested social networks based on the mobile Internet. Despite its ambitious plans the company may miss returning to the market. In 2006, Social MySpace network has reached an agreement with a provider AT&T/Cingular and with a startup Helio, owned by SK Telecom and EarthLink. AT&T is negotiating with other social networks, including Facebook, launches mobile videoservis based network 3G. Helio sells phones with pre-installed software to facilitate access to the functions of MySpace and YouTube. In September, American cellphone operator T-Mobile also easier access to the functions of MySpace with its popular Sidekick phone. T-Mobile will launch network 3G one or two years, and also focuses on social networks.

Last quarter revenue from Verizon data services grew by 63%, to 2 billion USD. Like other operators, the main part of the proceeds of Verizon receives from the transfer text messages and downloading ringtones. John Fletcher, an analyst marketing agency SNL Kagan, sure that the social network increase operators revenue. "Today, data transmission revenue fluctuates around marks in 20% of the total revenue," he says, "although most of the revenue from data provided business users, BlackBerry owners and laptops. Revenue from private users is much lower."