United Kingdom - Broadband - Fixed Network Insights, Statistics and Forecasts

Synopsis

The UK’s broadband infrastructure is characterised by excellent cross-platform competition, with comprehensive DSL complemented by cable networks which reach about half of all households. The DSL network has been upgraded during the last few years as a result of BT’s migration to its new 21CN, and by early 2011 more than five million users could access wholesale ADSL2+. Virgin Media has emerged as the best provider in terms of realised speeds –the company has rolled out a 100Mb/s service across much of its footprint, and it intended to launch a 200Mb/s service later in 2011. In addition, BT’s FttC/VDSL service should cover 66% of the population by 2015.

The market remains fiercely competitive as a result of regulatory measures to provide competitor access to BT’s exchanges, while during 2010 similar measures were undertaken to ensure equal access on fibre networks. Broadband has also been characterised by falling prices and by a gradual increase in average data speeds. This report profiles the overall UK broadband market in 2011, covering broadband technologies and including the latest statistics, an update on recent commercial initiatives, an assessment of Next Generation Access, and forecasts to 2020.

Key developments:

Virgin Media trials the world’s fastest cable broadband, at 1.5Gb/s, 100Mb/ service extended to one million households; government allocates £363 million for regional broadband schemes; Fujitsu, Virgin Media, TalkTalk and Cisco announce plans for open-access FttH platform to five million homes; Virgin Media’s 100Mb/s platform reaches a quarter of all UK homes; BT to extend ADSL2+ to 90% of premises by mid-2013, plans to double FttC download to 80Mb/s in 2012; community fibre deployment gaining traction; Rutland Telecom plans for county-wide FttH platform; BT to develop 300Mb/s service in 2012; regular’s 2010 market report and data to Q1 2011; operator data to June 2011.

Companies covered in this report include:

Virgin Media, BT, Kcom, Orange, Carphone Warehouse, BSkyB, O2.

Table of Contents

• 1. Synopsis
• 2. Overview
  • 2.1.1 Broadband statistics
  • 2.2 Emerging trends
    • 2.2.1 E-Health initiatives
  • 2.3 Government support
    • 2.3.1 Digital Britain
    • 2.3.2 Wholesale broadband
    • 2.3.3 Access to cable networks
• 3. Cable modems
• 4. Asymmetrical Digital Subscriber Line (ADSL)
  • 4.1 DSL providers
  • 4.2 ADSL2+
  • 4.3 SDSL
  • 4.4 Very High Data Rate DSL (VDSL)
• 5. Fibre-to-the-Home (FttH) networks
  • 5.1 BT
  • 5.2 Virgin
  • 5.3 KCom
  • 5.4 Other developments
  • 5.5 Costing fibre
• 6. Broadband Powerline (BPL)
• 7. Forecasts – broadband subscribers – 2007 - 2012; 2020
  • 7.1 Scenario 1 – higher broadband subscriber growth
  • 7.2 Scenario 2 – lower broadband subscriber growth
  • 7.3 Notes on scenario forecasts
• 8. Related reports

• Table 1 – Fixed-line broadband retail revenue – 2001 - 2012
• Table 2 – Broadband connections by type – 2002 - 2010
• Table 3 – Internet connections by consumer group – 2003 - 2010
• Table 4 – Market share of broadband subscribers by type – 2002 - 2009
• Table 5 – Share of fixed and mobile broadband subscribers by provider – 2006 - 2010
• Table 6 – Market share of broadband subscribers by provider – 2005 - 2010
• Table 7 – Broadband penetration by technology – 2004 - 2012
• Table 8 – Cable and DSL broadband subscribers – 2004 - 2010
• Table 9 – Dial-up Internet subscribers – 2004 - 2012
• Table 10 – Broadband subscribers by type – incumbent or other provider – 2008 - 2010
• Table 11 – Percentage Internet access by dial-up and broadband – 2000 - 2010
• Table 12 – PC, broadband and internet household penetration – 2003 - 2012
• Table 13 – Value of e-commerce sales – 2007 - 2012
• Table 14 – Internet daily traffic – 2007 - 2010
• Table 15 – Consumer broadband download speed by market share – 2005 - 2009
• Table 16 – BT Openreach LLU lines – 2007 - 2011
• Table 17 – Virgin Media subscribers by sector – 2007 - 2011
• Table 18 – Virgin Media ARPU – 2007 - 2011
• Table 19 – Virgin Media revenue – 2007 - 2011
• Table 20 – xDSL subscribers – 2000 - 2012
• Table 21 – BT retail and wholesale broadband subscribers – 2004 - 2010
• Table 22 – BT retail and wholesale revenue – 2009 - 2011
• Table 23 – Estimated cost of fibre by deployment technology – 2011
• Table 24 – Forecast broadband subscribers – higher market growth scenario – 2007 - 2012; 2020
• Table 25 – Forecast broadband penetration – higher market growth scenario – 2007 - 2012; 2020

• Chart 1 – Broadband connections by type – 2002 – 2010
• Chart 2 – Internet connections by consumer group – 2003 - 2010
• Chart 3 – Market share of broadband subscribers by type – 2002 - 2009
• Chart 4 – Cable and DSL broadband subscribers – 2004 - 2010
• Chart 5 – Virgin Media subscribers by sector – 2007 – 2011
• Chart 6 – BT retail and wholesale broadband subscribers – 2004 - 2010
• Chart 7 – BT retail and wholesale revenue (year to Mar) – 2009 - 2011
• Chart 8 – Forecast broadband subscribers – higher market growth scenario – 2007 - 2012; 2020
• Chart 9 – Forecast broadband subscribers – lower market growth scenario – 2007 - 2012; 2020