Western music and mobile phone companies are eyeing the rising potential of Asian markets.
The promising outlook on the Asian market, particularly in China and India, has been continuously cited by the speakers at the ongoing MIDEM music trade fair in Cannes, France. The event, which started on Sunday, will last for five days.
While Japan and South Korea already have an established digital music industry, China and India’s music, as well as gaming, video, and mobile phone markets are still at an early stage of development.
China and India comprise two of the world’s three largest markets as far as mobile phone development is concerned, with each country estimated to have one billion units already.
The outlook is more promising for China as its citizens are devoting their extra money for mobile phone purchases. Other mobile phone services, especially music and ringtone downloads, are proving to be very lucrative for network operators as well.
3G mobile phones are already set to be introduced in China and robust sales are expected as 3G handsets are faster and less complicated than the ones currently available in the market. On the other hand, 3G phones have yet to be introduced in India.
While both Indian and Chinese markets are full of potential for new and existing players, piracy remains to be a problem that unfairly competes with the legitimate companies.