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

AI's Handicap Isn't Chips, It's the Power Grid

We know artificial intelligence consumes huge amounts of energy. The power grid is now a major concern in enterprise technology strategy, and it's reshaping decisions that used to belong entirely to the CIO. For three decades, capacity planning meant negotiating with a cloud provider or a colocation vendor. Today it increasingly means understanding utility interconnection queues, local zoning battles, and the willingness of hyperscale operators to build faster than the grid can comfortably absorb. New research from Synergy Research Group puts deep market data behind a trend every large enterprise buyer has already felt: the constraints are real, but the AI  infrastructure build-out is not slowing down. Electric Power Grid Market Development Synergy's tracking shows that total U.S. data center capacity is on pace to double within the next three years, even as power availability and local opposition create genuine friction for new projects. It's a striking signal that demand ...