The Mobile Entertainment Forum has called on the industry to end ‘revenue leakage’ and protect content rights by delivering an open and interoperable mDRM solution based on a clear open standard.
Lack of effective mDRM (mobile Digital Rights Management) will cost Europe €3.5 billion this year, according to Frost and Sullivan – over half the estimated annual turnover of the European mobile entertainment industry. The analysts say around 80% of mobile phone content has been hacked or downloaded on to mobile phones, illegally from websites, or through the use of Bluetooth, memory cards and other storage devices.
Patrick Parodi, Global Chair for the MEF: “the industry risks stunting the market”.
An open and interoperable mDRM framework would mean the industry can not only reduce the revenue loss, but would encourage the development of new business models and content distribution mechanisms. For instance, MEF suggests that the ability to forward subscription content between users will offer a powerful peer-to-peer marketing tool.
“The instinctive reaction is to try to bar consumers from sharing content”, observed Patrick Parodi, MEF Chair. “But by imposing cumbersome restrictions or by recommending proprietary solutions, the industry at large risks impairing the consumer experience and ultimately stunting the market.
“Encouraging legal and innovative peer-to-peer distribution is vital to driving the growth of the mobile entertainment industry; however we need to consolidate the numerous proprietary and open standards-based solutions being deployed and develop an industry consensus.”
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