Broadband Providers Are (Mostly) Staying Ahead of the Demand Curve for Bandwidth

  • Broadband Competition
SCOTTSDALE, AZ — Downstream broadband speeds increased by an average of 34 percent in 2010, according to a new survey by In-Stat. In many of the U.S. households that consider broadband a necessity of life, In-Stat found, users are concerned most about their broadband speeds - and, apparently, service providers have been listening to them. New alternatives such as WiMAX seem to be keeping wireline providers on their toes.

“The survey also highlights that the majority of U.S. broadband subscribers are generally satisfied with the current speed of their broadband service,” says Mike Paxton, principal analyst for In-Stat. “This response indicates that, so far, broadband service providers are managing to stay ahead of the consumer demand curve for bandwidth.”

New research by In-Stat reveals the following:
  • The average download speed for the broadband subscribers in the survey was 9.54 Mbps, up from 7.12 Mbps just 12 months earlier.

  • Despite rapidly rising bandwidth, the average price for broadband service increased by just 4 percent.

  • Thirty-eight percent of survey respondents also had a mobile wireless broadband connection.

  • Average downstream speeds across all access technologies increased by 71 percent over the past two years. Cable modem and FTTH downstream speeds showed the greatest increases.

  • The appearance of newly competitive access technologies, such as mobile wireless broadband, acts as a driver for increasing overall broadband speeds.

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