In 2008, Broadband Growth Slowed

7 Comments

broadband2008Broadband growth and net new additions in 2008 declined sharply, according to a report by Durham, N.H.-based Leichtman Research Group. For 2008, big telephone and cable companies added a total of 5.4 million new subscribers vs. 8.5 million in 2007 and 10.4 million in 2006. The large carriers accounted for a total of 67.7 million subscribers. The cable companies ended the year with 36.9 million broadband subscribers, after adding 3.2 million broadband subscribers in 2008.

The slowdown has continued in the first quarter of 2009 as well. With net new additions slowing down, cable operators are looking to up-sell higher speed packages and impose bone-headed metered broadband packages. Comcast recently boosted speeds on its offerings in the San Francisco Bay Area and started offering a super-pricey 50 Mbps service.

7 Comments

Sue Choppers-Wife

We all have to start somewhere…I just found your site yesterday, on PR 2.0, which I also just found :)

I do appreciate getting an answer though, most comments online seem to drop into a black hole somewhere. I’ll subscribe so I can get the full piece later.

Om Malik

@Sue Choppers-Wife

Well, if you were a regular reader you would have known that. But since you are not, the reason for slowing growth is the slowing economy. No new homes being built and no new net additions of broadband connections. It is also people switching to one service – say 3G or using WiFi at their local starbucks to save some money. Many reasons. I will do a full piece later.

Sue Choppers-Wife

Usually I prefer news to opinion, but in this case I would like to know the speculation as to why there is a downward trend…is it perhaps, as the other commenter mentioned…wireless is taking over Wireline?

Curtis

@Om,

I think a better headline for the post may be “In 2008, Wireline Broadband Growth Slowed” as wireless broadband has taken off. Just a suggestion, unless of course there still is a net decline when taking wireless broadband add/losses into account.

My $.02.

Best,

Curtis

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