Mobile Communities: Is There a Business Model That Works?

For mobile communities to approach even a fraction of the popularity that social networking has in the fixed internet world, both carriers and mobile community vendors need to overhaul their go-to-market strategies. Community vendors such as MySpace that are going mobile have the most at risk—their esteemed brand names and loyal followings (see Exhibit 1). Startup mobile communities face the biggest barrier to entry— creating a community from scratch. In either case, these vendors need to satisfy their two customers—the consumer and the carrier—who sit at opposite ends of the needs spectrum.