Synopsis
The European broadband market has seen a considerable evolution during the last year, epitomised by the migration to higher-data services and from copper-based networks to fibre. Growth in many markets has slowed as a result of high broadband penetration, while the adoption of higher-rated services has in some cases been hampered by the lack of ‘killer’ applications to justify the additional access cost to consumers. Markets in the less developed southern and eastern countries have sought to catch up with their northern counterparts, and much growth is expected in coming years. Growth is still driven by intra-and inter-platform competition, by regulatory measures to improve access to incumbent networks, and by government and EC-level investment in backbone networks.
Technological developments in the cable, DSL and fibre platforms have helped transform broadband from a PC-based service to a fundamental component of many households’ entertainment, through services such as VoD and IPTV. The main growth driver is now fibre, particular with FttH which has emerged as the preferred albeit more costly architecture, followed by cable and DSL. Cable networks have seen considerable subscriber growth as a result of operator investment in DOSCSIS3.0 technology, and the widespread deployment of data services providing up to 200Mb/s. This report presents statistics and analysis on Europe’s fixed-line broadband market, including developments in ADSL, cable and fibre technologies, and noting the status of EU and government policies to encourage broadband take-up to the end of the decade.
Key developments:
State aid for broadband increases as economic stimulus continues; EC targets at least 50% of households to have 100Mb/s; EC promoting broadband as a universal service by 2013; Digital Agenda for economic recovery; DSL trials providing 700Mb/s; HFC networks taking larger share of super-fast connections; decline of DSL as customers adopt mobile broadband and FttH; economic benefits of broadband revealed; broadband reaches 95% of all citizens; EC plans to inject €9.2 billion in regional broadband infrastructure projects.