Macromedia to bring Flash Lite to India

Enters into strategic tie up with Nokia and Samsung

Indian mobile phone users will soon be able to experience the Flash Lite technology with Samsung and Nokia deciding to import GSM phones with this feature in six month's time.

This Macromedia application is expected to vastly improve the mobile user interface and allow the service operator to provide innovative applications and enhance the gaming experience.

After its success in Japan where Flash Lite was introduced two years ago, the company is eyeing the global market and is bullish on India as it is the fastest growing mobile market and is second only to China in terms of size.

The fact that the 41.03 million GSM customers account for 78.6 per cent of mobile subscribers makes India attractive for Flash Lite.

"Nokia and Samsung will begin shipping phones with Flash Lite within the next six months," Shiram Krishnamachari, country manager, Macromedia R&D, India, said.

The company recently signed up with Nokia for licensing Flash Lite in addition to the agreement it signed with Samsung earlier this year.

With mobile operators' average revenues per unit (ARPUs) falling below Rs 400 for the first time in October-December 2004 from Rs 523 in June 2003, Macromedia is confident that Flash Lite would give a fillip to data services.

"We will introduce applications for Flash Lite as soon as there are enough handsets in the market with the software. In terms of potential revenue source, applications in mobile commerce, gaming and bollywood stuff would be the top bets," Mohit Bhatnagar, vice president, value added products, Bharti Televentures, said.

As part of its plans, Macromedia is also ramping up its R&D team here (the only such centre outside of US) and has recently picked up 8.1 per cent stake in Mumbai-based India Games for a consideration of $1.8 million.

"Our strategic stake in India Games is aimed at building strong gaming mobile applications.

"We are increasing the headcount of our R&D team in India to 250 by the end of this year from the existing 150," Krishnamachari said.

Macromedia's Mobile and Data services (MAD) has already notched up revenues of $26 million in the Japanese mobile market where it launched Flash Lite two years ago.

With revenues per mobile ranging anywhere from fifty cents to $2, the company is hoping to rake in sizable profits from the business.

Last year, MAD accounted for 11-12 per cent of Macromedia's total revenues of $436 million.

What does Flash Lite do

Today, SMS requires you to remember the destination number and what you need to key in as the message but with Flash a visual interface would take over.

For example, in case of voting for TV shows, users can be shown visual options and clicking on one would automatically send the SMS.

T-mobile in Europe recently used Flash Lite to enhance its News Express service which delivers general news, sports, show business, lifestyle, and weather information to users.