Content Sales Surge for Qpass As Games, Video Push up Tickets

Qpass Inc., whose software handles mobile-commerce transactions for wireless networks, processed almost $500 million in digital-content sales, up 50% over the like period in 2005, according to Amdocs Inc., Qpass's parent company. Transaction volume grew at an average quarterly rate of 12% in the period, Amdocs said. The St. Louis-based company credited strong consumer demand for premium content as well as the “continued evolution” of the Qpass platform for the growth. Ring tones dominated the mobile transaction mix in the first half of the year, accounting for 54% of sales. But games (19% of sales), video (2%), and ring-back tones (1%), are growing fast, Amdocs said. The surge in newer content can be seen in average tickets, as well. Qpass's average sale processed at the end of June was $3.17, up from $2.54 a year earlier, with the increase coming largely from the rise in sales of games and video, which typically carry heftier price tags than $2 ring tones. At the same time, consumers are downloading more content from so-called off-deck sites, or mobile storefronts operated and branded by merchants. Off-portal transactions accounted for one-third of Qpass's dollar volume in the first six months, compared to just 1% in all of 2004. Amdocs now estimates off-portal transactions will hit 40% of volume by year's end. All told, Qpass has processed more than 590 million transactions worth more than $1.5 billion since 2003, Amdocs said.