Entering a market where there are already several well established players Nokia’s
Preminet open service model solution is being heralded as the next generation
of content delivery systems for wireless devices. In this article we review Preminet’s
features and its prospects.
From the perspective of operators and developers featurephones and smartphones
without content are little more than expensive toys, full of promise but offering
little more than their “dumb” cousins. So in many ways the success of the smartphone
market is dependant on efficient and effective systems which take content and
applications from their developers through mobile operators to the end customer.
A number of companies whose business started with web sales of software, notably Handango and Motricity (formerly PowerByHand), have extended their original web based sales paradigm to encompass delivery directly to mobile devices. These systems range from simple extensions of the web model, with the addition of payment via premium SMS through to full operator branded solutions with integrated billed though the customer phone account. These systems also vary in the extent to which they use open rather than proprietary technology standards. Amongst the several messages Nokia’s considers key with Preminet is that it is based on open standards, specifically Java and OMA download and DRM standards.
So what is Preminet, firstly it is a modular service consisting of three components:
- Preminet® Master Catalog
- Preminet® Service Delivery Platform
- Preminet® Purchasing Client

The master catalog is built by Forum Nokia from content sourced from Forum Nokia
Pro developers and for applications to be accepted they must have received appropriate
certification, through either the Java Verified or Symbian Signed programs. In
addition to the application installation or content files developers submit metadata
and thumbnail images (where appropriate) to describe the content. This metadata
will ultimately form the basis of the catalog details seen by the end customer.

Individual operators can supplement this content with additional material from
their own catalog or content aggregators. Once the content is assembled in the
Master Catalog an operator’s content management team can pick and choose the content
they will make available to customers.
Selected content is made available through the Service Delivery Platform using
a SOAP based interface from the Master Catalog. The Service Delivery Platform
is then able to feed content to any “store front” capable of receiving an XML
feed. These “store fronts” could an operators existing SMS, WAP, Web store or
on device storefront application which neatly brings us to the final component
in the model the Purchasing Client.
The Preminet Purchasing Client is a free, operator brandable front end to the
Preminet offering, available as either a Java (MIDP 2) client for Nokia Series
40 devices or a Symbian OS application for Series 60 devices. A Java MIDP 1.0
version will be offered to operators who request it. The available customization
options for the Purchasing client are extensive as shown below. One thing is clear,
there need be no mention of Nokia anywhere in the UI, so at least in this one
area Nokia has recognized the need to provide operators their own branding.

Through the Service Delivery Platform the Purchasing Client, and indeed any shop
front, is fully integrated with the operators billing system, This means that
the whole purchase process will, from the customers perspective, appear to be
delivered by their operator; no third party involvement, helping maintain the
integrity of the operator brand and experience.
While the technology underlying Preminet is important its ultimate effectiveness
is largely dependant on the underlying business model. Developers face huge issues
in entering the mobile market. One Java game developer we spoke to recently was
maintaining literally hundreds of distribution JAR files for a single game to
satisfy the demands of multiple operators, their certification processes, file
naming requirements, language variants and phone variants. While Preminet will
not eliminate all these issues entry via Java Verified or Symbian Signed to a
standard content management system will help significantly reduce the number of
supported packages developers need to maintain.
In the area of contracts Preminet also simplifies the process with Developers
and Operators entering into a master agreement with Preminet to supply or purchase
content respectively. The only direct interaction that the Developer and Operator
then may undertake is a negotiation over the application price – here Preminet
offers two models, one where the developer sets a wholesale price and the operator
then adds a mark up, and the second option is that the developer agree to a retail
price and revenue breakdown. If the second option is pursued then the negotiation
between the operator and developer can be conducted electronically through the
system.
While Nokia have not spoken specifically about the revenue breakdown, which splits
three ways to the developer, operator and Nokia, from a discussion we had with
Lee Epting, vice president of Forum Nokia, Nokia intends to set the split competitively.
While conventional wisdom dictates that being first into the market provides
significant benefit, allowing a company to get and stay ahead of the competition,
technology enabled many late entrants to leap-frog the competition by understanding
the weaknesses of those competitive product offerings. Preminet certainly looks
like it could catapult Nokia beyond the companies currently offering wireless
delivery platforms. Preminet is based on open standards, which on face value,
provide operators with the ability to opt in or out of parts of the offering while
at the same time providing an end-to-end solution which fully integrates with
an operators existing billing and delivery infrastructure. More importantly, Nokia
are not seeking to brand the solution’s front end, so operators can maintain their
relationship with the customer.
Preminet also closes a significant gap in the offering around Java and Symbian
OS devices. One of the strengths of BREW has been that it integrates content delivery
into the platform offering. Preminet bring the same class of delivery solution
to Nokia’s supported technology platforms, and probably to the entire Symbian
OS ecosystem as Lee indicated that a UIQ Purchasing Client will be developed once
Preminet has been proved in the market for Nokia’s core technologies. From that
perspective Lee indicated that Nokia will be concentrating on implementing Preminet
for a few key markets initially before contemplating more widespread deployment.
Application and content sales will be a key in making or breaking the smartphone
market. Nokia certainly feel that there is a huge pent up demand already in the
marketplace. Preminet seems to have both the technical architecture and business
model to unlock this demand.
More information on Preminet can be found here www.nokia.com/preminet. .
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