Mobile Internet: Facebook has no advantage in the Battle of Chaos

The world's top Media Age magazine, published in a commentary on 20th, is particularly important in the mobile Internet race, and the social networking Empire Facebook does not have much of an advantage. Facebook founder and CEO Zuckerberg Zuckerberg should be aware that it is difficult for companies that dominate the PC market to continue to dominate the next generation computing device market. The following are the details from the media:

The rise of mobile games:

A major discovery at the beginning of the 2012 is that the human brain has more neural connections than the known cosmic particles. We humans are both complex and noble. But what if the fate of this most wonderful creature is just playing "Fruit Ninja" or "Angry Bird" on a smartphone?

The idea may be frustrating, but there is reason to believe that it is true-an idea that will have a profound impact on our future cultural, economic and commercial patterns. For example, in the area of mobile gaming, I believe that some of the more trendy game equipment comes from a handful of companies in the world that are currently challenging Facebook's social media dominance.

Mobile games are growing at an alarming rate. It creates more revenue than Nintendo and Sony, and the current mobile game is just in its infancy. The market for mobile gaming in the US last year reached $1.53 billion trillion, according to Gartner, a market-forecasting agency. By 2020, the scale is expected to reach $7.8 billion trillion. Gartner also predicts that global mobile game sales could reach $11.4 billion trillion by 2014, compared with 2010 sales of $5.6 billion.

Facebook has no advantage in mobile internet

Recently, Facebook and its social-gaming partner, Zynga, are highly concerned.

But Facebook does not dominate the mobile market, and Apple and Google's Android operating system are the dominant people in the market, profiting from sales apps and mobile Web ads.

According to Gartner, mobile apps and advertising grew nearly 160% a year, with global mobile apps and advertising generating $12 billion trillion last year, most of which were in Google and Apple.

Facebook, meanwhile, has been slow to adapt to the mobile Internet.

Only One-third of Facebook traffic is said to be from mobile devices, while Twitter is more than 55%. So the question is whether Facebook can be a big platform for independent game developers, posing a clear challenge for Google and Apple.

But Facebook doesn't necessarily win. Not only must Facebook compete with the two leading smartphone companies, but it must also compete with emerging social networking sites focused on mobile gaming, such as Gree, a Japanese mobile gaming company. The company's share price rose more than 130% last year. Gree says the number of users has reached 150 million and estimates that the number of users will increase to 1 billion after the launch of the Global Mobile social gaming network in the coming months.

Can gree achieve the goal? Of course the answer is possible. Facebook now has about 800 million users. This number, though large, accounts for only 12% of the world's population. At the same time, the global number of smartphones is roughly 800 million, compared with 5.6 billion of the world's traditional mobile phones. The pattern will soon change, and perhaps the most important technological change in the next few years will be the replacement of these features by a Low-cost smartphone that integrates gaming and social networking, a trend that will be led by Chinese handset makers such as ZTE.

ZTE has launched Low-cost smartphones, making it more affordable for consumers in developing markets to have a product like this. Analysts expect the global shipments of smartphones to reach around 650 million this year.

Mobile Advantage Market Area Facebook faces Gree competition

Where will new smartphone users go to find favorite game products and play them with friends? In the PC market, game developers like Zynga have been happy to use Facebook to find target groups, and Facebook has also reaped huge profits. Every time a Facebook user downloads a zynga game, Facebook takes a 30% percentage of its revenue.

But Apple and Google's Android apps offer similar deals, and their benefits to mobile gaming developers are more appealing than Facebook's. For example, Apple's 250 million credit card information makes payment easier. Moreover, because they control iOS and Android software, Google and Apple can provide better support for developers, so the game will run more smoothly and make better use of phone functions such as camera or motion control. In short, Facebook may have made a serious tactical mistake, not working with Apple or Google, and ultimately Apple's choice to reach a partnership deal with Twitter.

In addition, sites like Gree and Papaya Mobile are also hoping to move in the smartphone boom to gain access to the global smartphone market. They target a more focused audience than Facebook, including gamers and advertisers. In addition, these sites are poised to be ready. Late last year, Gree signed a cooperative agreement with PayPal for the mobile payment mechanism.

Last April, Gree paid $104 million to the US mobile gaming website OpenFeint, hoping to use OpenFeint's power to help achieve the goal of 1 billion registered users.

Of course Facebook is not idle, and the company has developed a network of mobile social games. But Facebook's CEO, Zuckerberg, must understand that it is hard for companies that dominate the PC market to continue to dominate the next generation computing device market. Facebook and Zynga face daunting challenges in catching up with fast-growing mobile gaming sites such as Apple and other smartphone makers and Gree and PapayaMobile.