|

US Residential Broadband Penetration Grows

US Residential Broadband Penetration Grows

Residential subscriptions to broadband internet services grew 20% in 2006 to exceed 50 million US households, according to Digital Lifestyles: 2007 Outlook, a new study from Parks Associates.

The report estimates that US residential broadband subscriptions will surpass 60 million households by the end of 2007, accounting for 55% of all US households.

Kurt Scherf, vice president and principal analyst with Parks Associates, said: “The foundations of digital lifestyle applications and products are built on access services, including broadband Internet and television.

“With the penetration of high-speed Internet exceeding 50% in 2007, we’re also witnessing shifts in the way companies are positioning their communications, entertainment, and information services as home technology solutions.”

The report reveals that providers are delivering both broadband and television services with greater emphasis on the value-added services they enable, rather than just the services themselves.

The report also finds that, in recent years, service providers have been partnering mores closely with equipment vendors to strengthen the linkages between digital lifestyle providers and the end under products that enable them, including set-top boxes, home computers, home networks and other fixed and portable consumer electronics devices.

Scherf added: “With the demarcation points in access services migrating closer to the customers, service providers can provide much more in the way of personalized and enhanced communications, entertainment, and information services.

“A key trend is the tightening of the value chains that enable end-to-end and seamless services. These stronger linkages will lead to greater choice and convenience in the ways customers interact with digital lifestyle amenities.

EMarketer recently released a report showing that the US remains the single largest internet market in the world with 181.9 million internet users in 2006 (see US Remains Largest Internet Market In The World).

Meanwhile, ABI Research predicted that broadband will reach almost half a billion subscribers globally by 2011 (see Global Broadband Subscribers To Increase).

Media Jobs