Fox Mobile has struggled following News Corp.‘s announcement last year that it was overhauling its mobile division after buying the remaining 49 percent stake in Jamba from VeriSign (NSDQ: VRSN). As part of the restructuring, News Corp (NYSE: NWS). created the Fox Mobile Group, and planned aggressive new initiatives, including a new U.S. brand that has been delayed multiple times over the past year. Those initiatives included a mobile video service on smartphones. Despite these departures, a Fox Mobile spokesperson said the initiative is still moving forward and they expect to launch something in the first half of the year.

The group’s main source of revenue comes from selling ringtones and other content through its Jamster brand in the U.S., Jamba in Europe, and through carriers around the world. Of course, that market has plunged as more people re-use content they already own to personalize their phones. Plus, the trend has also turned to smartphones, and Fox Mobile has failed to keep up.

In June, the Fox Mobile Group confirmed the new video experience was set to “debut in the coming months.” At the time, it hired Markus Thorstvedt as CTO of Fox Mobile Group, and Joe Bilman as SVP, Global Products of Fox Mobile Distribution, who were both previously at New York-based Thumbplay. Thorstvedt and Bilman are still at the company.

Now, with a skeleton crew of executives, it’s difficult to believe that a new brand could launch. The biggest hurdle is that the brand may conflict with Hulu.com, the joint venture between Fox and NBC, which has already made a name for itself among consumers online. If Fox and NBC were interested in building a mobile video application, why wouldn’t they use the Hulu brand? The two companies may also decide to tread lightly into mobile since lucrative business models have yet to be figured out.