The number of broadband subscribers worldwide will reach 84 million by the end of 2005, up from the 21 million expected by the end of this year. According to a new report from Cahners In-Stat Group, this rapid growth a direct result of increasing reliance on the internet as an information, communications, business and entertainment medium.
Digital Subscriber Line (DSL), fixed wireless, cable modem, and satellite broadband access services are becoming increasingly available to both businesses and residential users and offer much faster transfer speeds than dial-up modems.
InStat says that cable modems and DSL have the highest subscriber penetration rates and projects that these rates will increase rapidly in the near future. Even though satellite broadband and fixed wireless access show promise, high equipment and operating costs will keep their penetration rates well behind cable modem and DSL access over the next several years, says the report.
The report also found that total worldwide broadband service revenues will rise from $5.8 billion in 2000 to over $37 billion in 2005. From the end of 2000 until the end of 2002, total US broadband subscribers will almost triple, rising from 6.8 million to over 19 million.
North American cable modem subscribers will continue to out-number DSL subscribers through 2004. However, by the end of 2002, total worldwide DSL subscribers will surpass total worldwide cable modem subscribers. Strong growth in Europe, parts of Asia, and in the North American business sector will account for the lion’s share of new DSL subscribers.
