Nokia and Microsoft agree deal to boost file-sharing

Move aims to increase viewing of media on mobile phones

Mobile TV is expected to boost the mobile entertainment market

Mobile phone maker Nokia is to use Microsoft's copy protection software to boost the use of file sharing between phones in a new move to generate revenue.

The world's largest cellphone supplier will build Microsoft's digital rights management (DRM) technology into its software, used on all Nokia phones.

In 2005 the two companies signed their first co-operation agreement to take Windows Media Player on to Nokia phones, raising eyebrows at the time as the two had been fierce competitors in the mobile software industry.

In June this year, Nokia said it would reshape its organisation to better focus on software and services. As mobile phone prices fall, handset vendors are looking to generate new revenue from software operations.

Music has been the main driver for mobile entertainment so far, but a new boost to the market is expected from breakthrough of mobile television broadcasts.

'Mobile television, that's going to be a much more mainstream thing than today's entertainment features,' said Chadd Knowlton, general manager for content access and protection at Microsoft.