Broadband is expected to reach 41% of all European homes by the end of 2008, growing from this year’s predicted target of reaching 20% (33.5 million) of all homes, says Strategy Analytics.
However, the report
Broadband In Europe: Competition Heats Up At Last shows, due to a lack of competition, the smaller ‘more nimble’ countries are going to outstrip the larger market, as the UK, Germany and Italy reached only 13% to 15% penetration at the end of last year, half the amount achieved by Belgium, the Netherlands and Denmark.
By 2008, Sweden, Switzerland and Belgium are expected to be the leading countries in terms of broadband popularity with penetration reaching between 55% and 60%.
Principal analyst, David Mercer said: “Europe’s smaller countries have demonstrated that loosening the grip on incumbent telecos is critical to faster, wider broadband adoption.”
Senior analyst, Martin Olausson added: “Broadband marketing is now entering the third phase in its evolution. Price tiering aimed at different user segments is now widespread but successful service providers will be those that embrace multiple broadband services such as voice-over-internet and video.”
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