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IPX goes from strength to strength
The Ericsson IPX Internet Payment eXchange service breaks down barriers between content providers and consumers, allowing for broad mobile campaigns. Operators benefit, too.

Four years after its 2002 launch, Ericsson IPX has already connected about 95% of the mobile subscribers worldwide in order to provide global reach for serviceproviders that want access to the rapidly growing mobile advertising market.


Industry surveys suggest that close to half of major corporate brands have already used mobile text messaging to market products and services. Such research shows that a majority of companies plan to do so a few years from now,.

Operators that use IPX help mobile content providers distribute information to targeted audiences worldwide, via a text message, MMS, Web or WAP browser. The mobile subscribers - all of whom have consented to partaking in advertising drives - can order and download content by simply selecting a "confirm" button on their phone.

The IPX payment system charges directly via the customers' phone bill or prepaid account and is today connected to more than 70 operators globally.

Operators benefit from a rise in network traffic, in addition to the commission they earn each time a transaction takes place. Equally important, IPX allows operators to outsource their interaction with content companies to Ericsson - saving them both time and money.

How much operators stand to gain in increased revenue and cost reductions varies. But just the outsourcing part can be significant, says Björn Zethraeus, VP of Sales and Marketing for Ericsson IPX.

"There are operators who do everything themselves - they have staff who research and select content, who maintain technical relations, who do the clearing," he says. "I think operators know how costly this is."

That is why IPX is about a lot more than just mobile content traffic, he says.

“You have to look at the whole picture,” Zethraeus says. “We provide network operators with a vast portfolio of services that their subscribers can use . The content providers also benefit from IPX’s global reach, and from the quick and reliable collection of payment and revenues.”

 

Last month, IPX customer Airweb used the service to launch a mobile promotion of the new blockbuster movie, X-Men 3, in Spain, France, Mexico, Germany and Australia.

 

By marketing X-Men 3 directly to mobile users, operators managed to get future movie-related revenues into their portfolio. After the initial advertising, customers will be more likely to download games and other movie content on their phones, Zethraeus says.

 

Non-profit organizations also see opportunities in a service that can reach 95 percent of the global GSM market. Save the Children and the Red Cross have both held successful fundraisers using Ericsson's IPX service.