Tuesday, October 14, 2008

A Quarter of Broadband Homes to Be Mobile-Only by 2013

Wall Street Journal's Market Watch reports today...

Fixed operators need to come up with strategies for dealing with a rapid and invasive expansion of mobile broadband into their core growth area, consumer broadband, according to a new report, Mobile broadband: another substitution threat for fixed operators?, published by Analysys Mason, the premier advisers on telecoms, IT and digital media.

The report forecasts that by 2013, 47% of European broadband subscriptions will use mobile networks and nearly a quarter of broadband-equipped sites will use mobile-only. The speed of take-up of broadband via mobile USB modems has surprised many in the fixed broadband business - and, indeed, the mobile business - and the early indications are that consumers in Europe are using mobile broadband as a substitute for fixed. DSL subscriber net additions are drying up, and headline prices for mobile broadband are frequently lower than those for DSL.

Nearly half of fixed broadband users currently have a usage profile that is no higher than the average usage on mobile broadband, making the size of the addressable market for mobile broadband as a substitutive consumer proposition enormous.

Read the full report.

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