REDWOOD CITY, California, June 24 /PRNewswire/ --

- Industry analyst firm MSearchGroove discusses how service providers and 
mobile operators can compete and win against the Internet giants

Market trends are converging to create a major opportunity for service
providers and mobile operators -- mobile email for the mass market. To seize
this opportunity, service providers can deploy a solution that is based on
open source for the broadest device compatibility, and supported by
advertising to foster adoption among cost-conscious users. This is the key
message in a new white paper released by Funambol, Inc., the leading provider
of Mobile 2.0 messaging software powered by open source.

The white paper -- entitled "Free For All: The Untapped Opportunity For
Mass Market Mobile Email" and authored by Peggy Anne Salz, founder and chief
analyst of MSearchGroove, an online source of analysis and commentary on
mobile search, mobile advertising, and social media -- contends that the
arrival of flat-rate data plans and the advance of mobile advertising
strategies create perfect Petri dish conditions for companies to offer mobile
email services subsidized by relevant advertising.

In addition to the white paper, Funambol is hosting a webcast on July 8th
at 8am PT / 11am ET / 5pm CET with Peggy Anne Salz to discuss the white paper
and its findings, including a Q&A session. To sign up for the webcast, please
visit the Funambol events page at http://www.funambol.com/news/events.php.

"As we talk with service providers, mobile operators and portals around
the world, many are trying to further monetize their user bases," said
Fabrizio Capobianco, Funambol CEO. "They are interested in ad-supported
mobile email for the mass market but don't know where to begin. This white
paper and webcast are excellent educational opportunities to learn how to
generate significant revenue with a free ad-supported mobile email service."

There are two billion email accounts worldwide, and 3.3 billion people
who own cell phones, yet less than 2 percent of people get email on their
mobile phones. What about the remaining 98 percent? Salz explains: "User
demand is not the bottleneck. Cost has been the primary barrier, which is why
it is crucial for companies to offer this service free supported by
advertising. Research confirms that consumers will accept mobile advertising
in return for free content services, provided that advertising is targeted
and tailored to their needs. Anything else is spam."

The white paper points out that a business model which is powered by open
source and funded by mobile advertising is the most effective way to deliver
mobile email and PIM (Personal Information Management) sync 
services -- services that allow users to maintain and update personal
information such as address books, calendars and other content -- to a mass
market.

The open source approach is ideal to address the market for mobile email
because, in contrast to proprietary software, it enables increased reach at
reduced cost. Put simply, open source unites teams of developers working
together who share a common goal to constantly improve the software and
deliver the most up-to-date capabilities. This means service providers and
mobile operators -- even those with the most limited resources -- have the
capability to manage mobile email services across myriad devices without
making huge investments in support. "Using open source allows mobile
operators and service providers to compete successfully against proprietary
solutions, and drive differentiation where it matters most -- providing
compelling new mobile services to a mass market," Salz says.

The ad-funded business model is the only approach that gives people the
service they want at minimal or no cost, while allowing mobile operators and
service providers to generate significant revenue.

To download the free white paper from the Funambol product library,
please visit http://www.funambol.com/solutions/library.php (registration
required).

About Funambol

Funambol provides mobile 2.0 messaging software powered by open source.
The company is the leading provider of open source push email and PIM sync
solutions for the mass market. Funambol open source has been downloaded more
than two million times by 50,000 developers and project participants in 200
countries. The commercial version of Funambol has been deployed at service
providers, mobile operators, portals, device manufacturers and ISVs including
customers such as 1&1, Earthlink and CA, Inc. Funambol is headquartered in
Redwood City, CA with an R&D center in Italy. For more information, please
visit http://www.funambol.com.

About Peggy Anne Salz and MSearchGroove

Peggy Anne Salz is the founder and chief analyst of MSearchGroove, an
online source of analysis and commentary on mobile search, mobile advertising
and social media. Her report, Mobile Search & Content Discovery, was regarded
as the first in-depth study of its kind, establishing Peggy as a leading
authority on mobile search and content discovery technologies enabling media
companies and mobile operators to monetize content and services. Her drive to
spark debate about issues impacting the industry at all levels has won her
international recognition as a brave new voice in the mobile content market.
She has established a successful consulting career based on vision, insight,
versatility, and over 15 years of industry experience.

MSearchGroove.com provides analysis and commentary on mobile search,
mobile advertising, and social media. Through primary research and interviews
with c-level executives and industry luminaries, MSG is the essential read
for companies seeking ways to monetize their digital assets, drive mobile
advertising revenues, and harness the power of empowered consumers.

Media Contact:
    Shelly Milam, Page One PR
    +1-415-875-7491, shelly@pageonepr.com



Web site: http://www.funambol.com