Nokia has seen great publicity for its new Comes with Music service - essentially an all-you-can-eat music service tied to one of 2 Nokia mobile phones. It's a brave play (one journalist told me that the record labels know there's no money to be made, but they are along for the ride) but if Nokia's Ovi strategy is to succeed, they need to see the handset as the content gateway, rather than the operators. That's a view also supported by Ben Wood from CCS Insight:
"Firstly, the Nokia 5310 isn’t as cool as Apple’s products, and buyers have repeatedly proved they’re happy to pay a premium for cool gadgets. Secondly, many people don’t pay for much of the music on their iPods: they rip it from CDs they already own or find other free sources. This makes paying for unlimited music look expensive, even if it is only a one-time fee marketed as part of a mobile phone bundle. And finally, Nokia’s offer is tied to a particular phone or PC. Despite the generous limits placed on such usage, Comes With Music restricts users in a way that ripped CDs and other “free” music don’t."
Maybe to a consumer, content is only 'free' when it's both free from cost and also free from useage restrictions? Be interesting to see how this pans out...