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In Japan, Cell Phones Surpass PCs as Commerce Platform, Says Report

PORTLAND, Ore., Feb. 1 /PRNewswire/ -- In Japan, the cellular telephone has already surpassed the personal computer as a viable platform for digital content sales to consumers, according to a new research report from TKAI, Inc. (http://www.tkai.com). Digital content providers have won hundreds of thousands of paying subscribers, and are successfully collecting fees under a secure, robust, and cost-effective micropayment system that may well serve as a model for e-commerce throughout the rest of Asia, the report concludes. "Toy maker Bandai, for example, has won more than 600,000 subscribers to its cellular-based content services, and is taking in revenues well in excess of U.S. $300,000 each month. The combination of a satisfying online experience, especially for novice users, and a powerful cooperative settlement scheme has created an online content sales model of unparalleled success worldwide," according to TKAI's Kevin Schaer, lead writer for the new report. But caution is necessary when extrapolating trends in Japan to other markets, says Schaer. The extraordinary proliferation of Internet-enabled cellular telephones owes much to factors peculiar to Japan, including 1) NTT DoCoMo's dominant, "market maker" position, 2) consumer commuting patterns, 3) the high cost of social interaction in Japan, and 4) cultural and logistical factors that make Japanese consumers especially receptive to a handset-based online experience. Details of the report are available at http://www.tkai.com/. A leading professional services firm specializing in Japan-specific e-business work, TKAI's clients have included Amazon.com, British Telecom, Intel, Jupiter Telecommunications, Nokia, and Nynex.
SOURCE TKAI, Inc.
Web Site: http://www.tkai.com/

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