Mobile Entertainment

A process that started (at least publicly) with the unveiling of the first Nseries 'multimedia computers' in April 2005 has finally arrived at a point the industry was waiting for (and some of it dreading) - Nokia's transformation into a services and software provider.

Here at ME we take pride in distancing ourselves from all the hype surrounding a big news event. Not this time. This is the big one. A real game changer.

Quite simply, with 900 million people around the world already using its phones across hundreds of operators, Nokia is the only company on the planet in a position to deliver mobile multimedia services in a uniform way on mass market scale.

For operators Nokia's move means they face some stark choices. Orange UK has already withdrawn support for the N81 over fears that the Finnish company's music store will compete with its own. 3 UK has also passed on the device.

But with big brand off-deck search boxes popping up on operator decks and flat rate data becoming commonplace that horse has already bolted - the N81 may be barred but Ovi services will work across a whole range of Series 60 devices and punters will be free to seek it out.

For the more open-mided operators, Ovi may well present an opportunity. O2 UK went on the record with ME in August to say it wouldn't be hostile to having an N-Gage channel on its Active portal - it was also one of the few operators present (and speaking) at yesterday's Ovi launch event.

Nokia's competitors in the handset space will also be doing a fair bit of navel-gazing this morning. Most already have optimised devices for various types of content (SE Walkman et al), but should they dirty their hands delivering media to them? Do they have the stomach or the resources to do it?

Moreover, do they even have to? With some operators shunning Nokia phones in light of Ovi they may be able to steal in a grab a percentage point or two of market share by pandering to carrier whims.

For content providers the picture is a little less clear. The major labels support Nokia's music download service. And games publishers love N-Gage - it gives them the clear and standardised mass-market mobile publishing platform they've been waiting for.

But in a sense, for games at least, they are merely swapping one gatekeeper for another. Nokia conceded to ME yesterday that eventually financial terms will end up dictating precious N-Gage 'deck space' - the very thing that publishers are scrambling over most in the operator world.

Finally, what does Ovi mean for the the pretenders to the mobile software and service provider crown? Well, Apple now has some answers to the questions posed by iPhone, that's for sure.

Of course what Nokia needs to do now, having promised the world, is deliver the goods. CEO Olli-Pekka Kallasvuo was probably - hopefully - yanking our chains a bit yesterday when he said the company doesn't actually know what Ovi will look like 12 months from now (its up to the users to decide, you see).

All things considered, Ovi makes the fuss about a few ringtones being sold on Club Nokia seem a bit silly now. I bet Nokia wishes it did this years ago.

PS - It's a mobile phone that Kai Oistamo touches last thing at night and first thing in the morning to set and turn off its alarm. Shame on you if you thought anything else.