Skip to main content

Price-Cutting in the Broadband Market

After falling rapidly for two or three years, broadband prices levelled off in the first half of 2005, according to Point Topic�s latest Tariff Benchmarks analysis. This could be a sign of maturity in the broadband market, or it could be just a pause before another round of price cutting. Most operators would prefer to keep prices stable, but they may yet be forced to reduce them by intensifying competition.

Most of the 34 broadband operators surveyed, supplying both DSL and cable modem services, held the prices of their 'entry-level' services static in the first half of 2005.

A total of 17 out of the 18 operators surveyed for DSL, kept monthly rental prices the same for Q2 2005 as they were in Q4 2004. The cable operators were slightly more inclined to cut prices. Out of the 16 cable modem surveyed, ten kept monthly rentals the same as in Q4 2004 five lowered them and one even put through an increase.

The results show growing stability in DSL and cable prices in the last 12 months, after a period of rapid falls. This stability points towards a maturing broadband market, as the emphasis could moves towards adding further value to �entry-level� services through speed and features other than price.

Popular posts from this blog

Think Global, Pay Local: The eCommerce Paradox

The world of eCommerce payments has evolved. As we look toward the latter half of this decade, we're witnessing a transformation in how digital commerce operates, with a clear shift toward localized payment solutions within a global marketplace. The numbers tell a compelling story. According to Juniper Research's latest analysis, global eCommerce transactions are set to reach $11.4 trillion by 2029, marking a 63 percent increase from $7 trillion in 2024. This growth isn't just about volume – it's about fundamental changes in how people pay for goods and services online. Perhaps most striking is the projected dominance of Alternative Payment Methods (APMs), which are expected to account for 69 percent of global transactions by 2029, with 360 billion transactions processed through these channels. eCommerce Payments Market Development What makes this shift particularly interesting is how it reflects the democratization of digital commerce. Traditional card-based systems ar...