Broadband value added services generated $25.7 billion worldwide in 2007, an increase of 62% on 2006, according to new data from Point Topic.
John Bosnell, senior analyst at Point Topic., said: “Value added services are growing strongly and are increasingly significant in overall revenue terms.
“We estimate that value added services were 10% of total broadband revenues, which includes subscriptions, in 2003 but by the end of 2007 that has increased to over 30%. As it gets harder to make a profit in the hyper competitive line rental market the operators and suppliers have to look to add value, and revenue, with their service offerings.”
Fifty six percent of the service revenues generated worldwide come from the combination of voice over IP (VOIP) and security. They are followed, in order of global revenue generated by online gaming, home networks, music downloads and video over broadband.
Recent figures from the Office of National Statistics revealed that of all UK households, 56% have broadband internet access, an increase from 51% in 2007, while of the UK households with internet access, 86% have a broadband connection (see 16.5m UK Households Have Internet Access).
In July, JupiterResearch forecast that the number of worldwide internet users will increase 44% between 2007 and 2012, reaching 1.8 billion users (see A Quarter Of The World’s Population Will Be Online By 2012).
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