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[Satellite TODAY Insider 12-01-10] The global DSL fixed broadband platform contributed nearly 60 percent of the sector’s total service revenues at the end of the 2010 third quarter, but ABI Research Home Practice Director Jason Blackwell expects widespread market saturation to slow growth rates.
“This is especially true for Western European countries where DSL penetration is greater than 50 percent,” Blackwell told Satellite TODAY Insider.
The short-term picture for DSL is much brighter. According to ABI, the global fixed broadband services sector’s total revenues increased 10 percent to $44.4 billion by the end of the third quarter, compared to the same period in 2009, driven by steady growth in subscriber additions and service uptake. ABI’s market data projects fixed broadband service revenue should approach $186 billion by the end of 2011.
Fiber-optic broadband adoption also experienced a growth spurt in 2010. ABU Research Associate Khin Sandi Lynn said she expects fiber broadband services to generate revenue of more than $30 billion during 2011. “Customer demand is driving the push for faster and more reliable broadband access. For example, U.K. broadband operator Virgin Media has shown a 43 percent year-over-year increase in its high-speed broadband service customer base. Broadband operators will need to continue innovating to improve broadband speed in order to maintain ARPU growth and reduce churn,” she said.
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