According to the latest IDC forecasts, 4.6% of the total Western Europe population will access financial services and information, including banking, investing, and insurance, via mobile connection by the end of 2007.

As far as the specific area of mobile banking is concerned, data shows that growth will continue to be slow over the first five years after launch, particularly compared to online banking.

In addition, IDC forecasts that the percentage of online banking users accessing online services using a mobile device will reach about 11% in 2007, showing an impressive growth from the 1% in 2001.

Major growth opportunities in Western European mobile banking are not expected until 2006 and 2007, due to the slow adoption of more advanced devices.

Currently, the main objective of mobile banking is to be an additional channel with a marginal role in a broader multichannel strategy, but these strategic purposes are expected to change in 2007.

"European mobile banking has experienced some difficult years due to low rates of adoption in almost all European countries. European players launched their initial offerings in 1999 and 2000, but the right application or suitable package that injects new growth into the market to reach sufficient critical mass for profitability has yet to emerge," said Mirko Corbetta, research analyst with IDC's European Vertical Markets expertise center.

According to IDC, the past and current flop of mobile banking also appears to be due to the present condition of the wireless communication market, characterized by rapid growth but still not able to support more complex services such as financial applications, which require speed and tariffs through a wide range of products and services.