[Nokia releases results from a study entitlwd 'A Glimpse of the Next Episode' constructing a global picture of where entertainment it going in the next five years. Results show support for the growing 'Circular Entertainment' phenomenon.]

Up to a quarter of the entertainment consumed by people in five years time will have been created, edited and shared within their peer circle rather than coming out of traditional media groups. This phenomenon, dubbed 'Circular Entertainment', has been identified by Nokia (NYSE: NOK - News) as a result of a global study into the future of entertainment.

The study, entitled 'A Glimpse of the Next Episode', carried out by The Future Laboratory, interviewed trend-setting consumers from 17 countries about their digital behaviors and lifestyles signposting emerging entertainment trends. Combining views from industry leading figures with Nokia's own research from its 900 million consumers around the world, Nokia has constructed a global picture of what it believes entertainment will look like over the next five years.

"From our research we predict that up to a quarter of the entertainment being consumed in five years will be what we call 'Circular'. The trends we are seeing show us that people will have a genuine desire not only to create and share their own content, but also to remix it, mash it up and pass it on within their peer groups - a form of collaborative social media," said Mark Selby, Vice President, Multimedia, Nokia.

Selby continues, "We think it will work something like this; someone shares video footage they shot on their mobile device from a night out with a friend, that friend takes that footage and adds an MP3 file - the soundtrack of the evening - then passes it to another friend. That friend edits the footage by adding some photographs and passes it on to another friend and so on. The content keeps circulating between friends, who may or may not be geographically close, and becomes part of the group's entertainment."

Tom Savigar, Trends Director at The Future Laboratory added, "Consumers are increasingly demanding their entertainment be truly immersive, engaging and collaborative. Whereas once the act of watching, reading and hearing entertainment was passive, consumers now and in the future will be active and unrestrained by the ubiquitous nature of circular entertainment. Key to this evolution is consumers' basic human desire to compare and contrast, create and communicate. We believe the next episode promises to deliver the democracy politics can only dream of."

Of the 9,000 consumers we surveyed:

- 23% buy movies in digital format

- 35% buy music on MP3 files

- 25% buy music on mobile devices

- 39% watch TV on the internet

- 23% watch TV on mobile devices

- 46% regularly use IM, 37% on a mobile device

- 29% regularly blog

- 28% regularly access social networking sites

- 22% connect using technologies such as Skype

- 17% take part in Multiplayer Online Role Playing Games

- 17% upload to the internet from a mobile device

As part of the research we have identified four key driving trends; Immersive Living; Geek Culture; G Tech and Localism. These trends are currently sitting on the edge, but as these trends become more mainstream, they will have a collaborative, creative effect on the way people consume entertainment and, we predict, will lead to the Circular Entertainment phenomenon.

Immersive Living

Immersive Living is the rise of lifestyles which blur the reality of being on and offline. Entertainment will no longer be segmented; people can access and create it wherever they are.

Geek Culture

This triumph marks a shift as consumers become hungry for more sophisticated entertainment. Geek Culture rises, consumers will want to be recognized and rewarded - the boundaries between being commercial and creative will blur.

G Tech

G Tech is an existing social force in Asia that will change the way entertainment will look. Forget pink and sparkly, it is about the feminization of technology that is currently underway. Entertainment will be more collaborative, democratic, emotional and customized - all of which are 'female' traits.

Localism

The report uncovered a locally-minded sprit emerging in entertainment consumption and Localism will become a key theme of future entertainment. Consumers will take pride in seeking out the local and home-grown.

The extensive research identifies the trends, along with the technologies, that will be pivotal in the next episode of entertainment. In conclusion, the results of the survey lead Nokia to believe in the next episode; entertainment will be circular.

The research took place between July and September 2007. 9,000 consumers, who are active users of technology and own a mobile device [not restricted to Nokia] aged 16-35 were questioned. In addition 17 correspondents from the Future Laboratory's LifeSigns Network were interviewed. LifeSigns network is a community of 3,000 'superconsumers' thinkers, doers, creators and authors of culture. Interviews were also conducted with 10 leaders in different areas of entertainment who provided us with in-depth proven insights into this subject and what lies ahead. Experts were chosen from the areas of radio, internet, gaming, device developments, mobile telecoms, music, computing, legislation and marketing.

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