PRESS


London, 7 May 2007— Annual European broadband tariffs fell by 8.7%.

According to the last report published by Quantum-Web, the broadband tariffs in Europe dropped on annual basis by nearly 8.7% since the first quarter of 2006 which is the lowest ever annual drop.

xDSL technology and Cable modem with over 97.5% of broadband subscribers as the favorite access technologies in Europe have followed their own trajectory but at the same time there was an asymmetry in their trend.

Table 1- Broadband tariffs' trend (Euro/Mbps) stratified by access technology, Q1 2006- Q1 2007

 

xDSL tariffs decreased by 22.% since Q1 2006, while the highest decrease has been registered in Satellite technology segment where tariffs fell by 81% in Euro for 1Mbps bandwidth terms.

 

Graph 1- European average amortized uncapped tariffs (Euro/Mbps), Q1 2006- Q1 2007

 

 

FTTx with a sustainable adoption rate by Europeans has seen a sharp decrease in prices of 22% since the first quarter of 2006. Finally the cost of Cable modem bandwidth which traditionally is lower than xDSL, was more fluctuated and prices with launch of bundled services in the fist half of 2006 were increased and consequently fell taking the Compound Annual Growth Rate (CAGR) of tariffs to 40.76 Euro per 1Mbps.

 

This report provides insight into the status of the broadband tariffs in Europe. It analyses the trend of tariffs and speed of over 1300 packages in Europe and briefs pricing policy and bandwidth offered by 148 operators in 39 counties (table below). In addition, it quantifies the competitive situation for tariffs for the main bandwidths and for bundled and unbundled packages separately. For pooled analysis all tariffs are calculated in local currency, Euro, US Dollar and in PPP terms.

 

 

For more information about this press release or the reports, please contact Pauline Vahey at:pauline.v@quantum-web.com

 

 

 

 


 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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