Light Reading

AlcaLu Unveils Mobile Ad Platform

Light Reading
LR Mobile News Analysis
Light Reading
4/14/2010
50%
50%

Alcatel-Lucent (NYSE: ALU) has unveiled a new hosted platform that, it believes, will be the missing link in the mobile advertising value chain, and which one industry executive described as "Blyk on drugs." (See AlcaLu Launches Mobile Ad Solution and Blyk Exits UK Ad-Funded MVNO.)

The Optism platform can be used by advertisers, media agencies, and mobile operators to set up and conduct advertising campaigns across mobile networks. According to Thomas Labarthe, VP for mobile advertising at the vendor, the Optism platform has been developed to enable "permission-based marketing" on mobile networks.

This means advertisers and media agencies will be able to use SMS and MMS messaging to spread the word about products and new campaigns -- but only if a user, in response to incentives such as discounts and special offers, has opted in (Optism... oh, I geddit!).

That sounds as if there might be an element of spamming to get the ball rolling, but nothing's perfect.

The platform will be hosted by AlcaLu and offered as a "white label" service to mobile operators, which will be able to stamp their brand on the platform as they engage with advertisers and agencies. "Alcatel-Lucent’s brand will not be visible to the consumer," Labarthe assured attendees at a media and analyst briefing in London.

This model, whereby a large vendor hosts and manages a service delivery platform and mediation platform is becoming more and more common, with Ericsson AB (Nasdaq: ERIC) taking the same approach with its app store offer for mobile operators. And AlcaLu, with its new focus on applications enablement, is clearly looking to play ever more critical roles as the trusted partner linking operators to essential partners. (See AlcaLu Shows Off Its Apps Abs, AlcaLu CEO Ben Verwaayen, Part II, and MWC 2010: Ericsson Opens App Store.)

It also plays into one of the potentially most lucrative value-added services markets in the mobile sector, as operators, vendors, device firms, and media companies the world over figure out how to boost revenues from mobile advertising models. (See Apple: Ads Get the i Treatment, Orange Is Mad for Ads, Nexage, Unanimis Team on Mobile Ads, Opera Acquires AdMarvel, Amobee to Buy RingRing, and Quattro Confirms Apple Acquisition.)

Labarthe pointed out, though, that Alcatel-Lucent would not be treading on the toes of existing mobile advertising specialists. "We are not going to compete with AdMob Inc. by delivering banner ads within applications," he stated. (See Google Buys AdMob for $750M.)

The business model will be based on revenue-sharing agreements between the vendor and the mobile operators, although Labarthe adroitly dodged questions about the vendor's cut of any advertising spend. He said the platform would be offered to as many mobile operators as possible, and there will be no preferred partners or exclusive deals. Orange Austria and Germany's E-Plus Mobilfunk GmbH have already been announced as users.

Labarthe, who believes operators will be attracted by the lack of upfront capital investment, said AlcaLu has hired marketing and advertising specialists "who know creative ways to keep end users engaged" to help inject industry expertise into the platform's functionality.

The functionality is certainly exciting Tim Jones, sales director at mobile marketing specialist Blismobile Media, who participated in a panel session during the media event. “It’s Blyk on drugs!” enthused Jones, who was previously the entertainment and media account manager at Blyk, the former advertising-funded MVNO (mobile virtual network operator) that's now trying to sell its mobile marketing capabilities to mobile operators, just like Alcatel-Lucent.

[Ed. note: And kids? Don't do drugs.]

— Anne Morris, freelance editor, special to Light Reading

(3)  | 
Comment  | 
Print  | 
Newest First  |  Oldest First  |  Threaded View        ADD A COMMENT
digits
50%
50%
digits,
User Rank: Light Beer
12/5/2012 | 4:39:46 PM
re: AlcaLu Unveils Mobile Ad Platform


So the technology may be in place, but what's the optimum model for the carriers to make money/profits from advertising that won't turn off their customers?

James_B_Crawshaw
50%
50%
James_B_Crawshaw,
User Rank: Blogger
12/5/2012 | 4:39:40 PM
re: AlcaLu Unveils Mobile Ad Platform


Er, didn't telecom operators have an advertising business model before called Yellow Pages or Directories? Most seem to have sold off these profitable but low growth cash cows. Are the telcos now looking for high growth but unprofitable and cash consuming advertising businesses? AlcaLu has the solution ...

pilchard
50%
50%
pilchard,
User Rank: Light Beer
12/5/2012 | 4:39:32 PM
re: AlcaLu Unveils Mobile Ad Platform


hmmm....let's examine that


permission based, profile driven, SMS/MMS ads, aggregated across MNOs to reach the mass market = higher CPMs than traditional display ads, so much better on the revenue side


the solution appears hosted by AlcaLu = little or no cash consumption on the MNO side


...maybe the old french lady is onto something after all.


 


 


 

Flash Poll
From The Founder
Network architects aiming to upgrade their networks to support agile, open, virtualized services in the 21st century need to consider new criteria when choosing between technology suppliers.
Live Streaming Video
BTE 2015 Sponsor Keynote: HP
Dr. Prodip Sen, CTO, Network Functions Virtualization, HP
LRTV Custom TV
Red Hat Demo

7|2|15   |   10:53   |   (0) comments


Red Hat's Nicolas Lemieux demonstrates how Red Hat is driving innovation through open source communities.
LRTV Custom TV
Red Hat's Approach to OpenStack Adoption

7|2|15   |   5:17   |   (0) comments


Red Hat's Radhesh Balakrishnan outlines his company's open source strategy for both enterprises and telcos.
LRTV Custom TV
The New IP Goes Mobile With vEPC

7|2|15   |   1:12   |   (0) comments


Heavy Reading's Gabriel Brown discusses results of a Light Reading survey sponsored by Brocade that shows a clear commitment by mobile operators to move quickly to virtual EPC deployment.
LRTV Custom TV
Making Business Sense of SDN

7|2|15   |   1:42   |   (0) comments


Results of a Brocade-sponsored survey show that CSPs have a clear sense of SDN use cases but are wrestling with the business case. Sterling Perrin of Heavy Reading looks behind the numbers.
LRTV Custom TV
NFV Will Be Here Sooner Than You Think

7|2|15   |   2:22   |   (0) comments


Forget the usual ten-year cycle for new technologies – NFV will be a core part of CSP networks in five years, based on results of a Brocade-sponsored survey, says Heavy Reading's Caroline Chappell.
LRTV Custom TV
The New IP Gains Traction With CSPs

7|2|15   |   1:42   |   (0) comments


Roz Roseboro of Heavy Reading analyzes results of a Light Reading survey sponsored by Brocade showing that CSPs are getting serious about making the transition to the New IP era.
LRTV Custom TV
It's (Real) Time for Analytics

7|2|15   |   1:42   |   (0) comments


Heavy Reading's Jim Hodges looks at how CSPs say they plan to use analytics to deploy new services in real time as part of The New IP, based on results of a survey sponsored by Brocade.
LRTV Documentaries
IoT in Action

6|30|15   |   1:39   |   (8) comments


Two co-workers discuss the benefits of IoT technology.
LRTV Interviews
Ericsson Opens Up on OPNFV

6|30|15   |   14:16   |   (2) comments


Martin Bäckström, VP and head of industry area Datacom at Ericsson, talks to Light Reading founder and CEO Steve Saunders about the emergence of OPNFV, the importance of standards and Ericsson's OPNFV plans.
LRTV Custom TV
NetNumber Founder Discusses NFV/SDN Impact on SP Networks

6|26|15   |   4:15   |   (0) comments


NetNumber Founder Doug Ranalli examines why SPs need a new network infrastructure for service agility. While NFV and SDN are the tools, the old ways of thinking about signaling control are inhibitors. Doug provides his recommendations.
LRTV Custom TV
Orchestrating NFV vCPE Services Across Multivendor Networks

6|26|15   |   5:46   |   (0) comments


Nirav Modi provides an overview of vCPE, the fastest-growing NFV use case, showing how Cyan's Blue Planet orchestrates vCPE services across a multivendor infrastructure to rapidly deliver new managed services for business customers.
LRTV Custom TV
ZTE at LTE Summit Amsterdam 2015

6|26|15   |     |   (0) comments


As one of the leading global telecommunications providers, ZTE presented its cutting-edge technology at LTE World Summit 2015 in Amsterdam. On display at ZTE's booth were the latest R&D achievements in wireless, 5G development, HetNet, deep convergence of FDD and TDD, and RCS/IMD/iSDN/vCN.
Upcoming Live Events
September 16-17, 2015, The Westin Galleria Dallas, Dallas, TX
September 29-30, 2015, The Westin Grand Müchen, Munich, Germany
October 6, 2015, The Westin Peachtree Plaza, Atlanta, GA
October 6, 2015, Westin Peachtree Plaza, Atlanta, GA
October 14-15, 2015, New Orleans Ernest N. Morial Convention Center, New Orleans, LA
November 5, 2015, Hilton Santa Clara, Santa Clara, CA
All Upcoming Live Events
Infographics
Hot Topics
Who's Feeding Fiber to LinkNYC Hotspots?
Mari Silbey, Senior Editor, Cable/Video, 6/29/2015
What's a Gigabit Good For?
Carol Wilson, Editor-at-large, 7/1/2015
Colt to Jettison Ailing IT Business
Iain Morris, News Editor, 6/30/2015
Eurobites: Activist Investor Takes Stake in AlcaLu
Paul Rainford, Assistant Editor, Europe, 6/30/2015
Like Us on Facebook
Twitter Feed
Webinar Archive
BETWEEN THE CEOs - Executive Interviews
Casa Systems has been going from strength to strength over the last couple of years. In 2013, it became the first vendor to ship an integrated CCAP device -- the ...
Cedrik Neike, SVP of Global Service Provider, Service Delivery, at Cisco, talks to Light Reading founder and CEO Steve Saunders about solving service provider customer problems in a virtualized, DevOps world, including multivendor support and the future of network procurement.
Cats with Phones