MUMBAI: Mobile gaming in Asia/Pacific has been successfully established, with revenues reaching $1.56 billion in 2005, reports In-Stat.

According to the high-tech market research firm, Japan and South Korea have been largely responsible for the revenue thus far, accounting for around half of the region's total in 2005. Future growth drivers, however, will be the large, growing mobile markets of China and India.

In-Stat analyst Bryan Wang said, "While there is great growth potential with expected increases in mobile subscribers and gaming-capable handsets, current problems are proving difficult to surmount."

"In-Stat's user survey reflects low penetration of mobile games among Asia/Pacific mobile phone users. Fragmentation of the mobile gaming industry, revenue sharing issues, poor user experiences, competition from dedicated portable gaming devices, and game piracy are all issues needing to be addressed," he added.

Recent research by In-Stat found the following:

-- Mobile gaming in Asia/Pacific will reach $4.4 billion in 2010.

-- 3G users spend 70 per cent more per month on mobile gaming than 2G users.

-- Interest levels in mobile gaming are low, with more than half of both 2G and 3G users indicating they would be unlikely to play mobile games within the next six months.

The research, Mobile Gaming in Asia/Pacific: Room for Improvement, covers the market for mobile phone gaming in Asia/Pacific. It includes forecasts for mobile gaming revenues in the region, and in four major markets, through 2010. It also includes analysis of results of an In-Stat mobile phone user survey on attitudes and behavior regarding mobile gaming.