LAS VEGAS – QuickPlay, which runs on- and off-deck mobile TV and video, announced this week it will branch into satellite radio with XM Radio Mobile. The company’s OpenVideo service delivery platform will make XM Radio available across all Research in Motion’s (RIM) Blackberry smartphones. While other carriers like AT&T offer the service for their subscribers, this is the first time the service can run across any US wireless carrier’s networks.

The service, which offers subscribers 20 XM channels of commercial-free music or comedy for $7.99 per month, was announced as RIM has been increasing its focus and marketing campaign to move from being an enterprise handset into the lifestyle-focused consumer handset of choice. In the first week of its launch, Samir Ahuja, QuickPlay’s vice president of engineering, said the uptake has been phenomenal.

Like Apple’s iTunes on the iPhone, the service runs seamlessly with voice calls and allows the user to check email, text message or use other applications simultaneously. QuickPlay is also providing RIM with audio streaming servcies, QuickPlayer, and video streaming services, called VideoStreams. As of now, the video streaming service is free, but QuickPlay is experimenting with moving towards an ad-supported model, according to Ahuja.

QuickPlay’s concentration on radio services for the wireless device comes as the mobile TV market continues to lag in the US. According to an online study released this week by QuickPlay, the majority of wireless carriers now offer a mobile TV and video service, yet only 47% of consumers are aware of it. With the advent of all-you-can-eat data plans, coupled with the growing availability of advanced mobile devices and higher speed networks, carriers are charged with improving marketing of their TV services to increase the uptake.

“Carriers have taken a real step forward in adopting mobile video,” Ahuja said. “Now, they just need to increase their marketing of it.”
Despite the advent of all-you-can-eat data plans, a majority of survey respondents indicated they would prefer the ad-supported model for mobile video and TV. The study included respondents age 18 to 34, many of whom may not be subscribers to $99 unlimited plans, aimed primarily at those premium, often enterprise, users. Still, 83% had never seen a mobile ad, despite its growing popularity as an alternative business model.

As ad acceptance grows, QuickPlay is looking into the blooming mobile video ad market more. The company, which offers everything from filtering and transcoding content to managing the user experience and running analytics on the success rate for ads, has built a platform for targeting and inserting video ads onto video devices and networks. The targeting works through extensive tagging of video content.

“On top of the life cycles we manage, we have an administration console built over the ecosystem,” Ahuja said, adding that QuickPlay can determine how many seconds of a clip or advertisement someone has viewed. He said any business model from ad supported to subscription would make sense for carriers.

The study also found that for those who are using a carrier’s TV or video service, 71% prefer mobile content “snacking” in lieu of setting aside time for full-length video viewing. The majority of these respondents view content in between daily activities, while waiting in line or while in transit. About 57% consider the ability to pause and resume content a deciding factor in whether they’d devote their time to longer form content. The bottom line for most respondents, however, remains cost. About 43% said perceived cost was the number-one reason they have not tried mobile TV and video. Of those who took the survey, 54% said they would be willing to watch a short, targeted advertisement on their mobile device to have free access to mobile TV and video content.