With no NBN, ADSL2+ will drive the “next five years of broadband”

Alex Zaharov-Reutt
Wednesday, 03 December 2008 16:57

IT Industry - Strategy

Telecommunications research firm Market Clarity says that Aussies are switching to high-speed ADSL 2+ services, “with or without the government’s NBN”, in a trend that “will drive the next five years of broadband market development”.

Market Clarity has launched its latest report, the “December 2008 edition of Market Clarity's The Australian Internet Market: Market Tracker 2000-2013”, which looks at the future of broadband in Australia.

Shara Evans, the CEO of Market Clarity, pointed out the obvious when saying she “expects higher speed services to continue dominating the broadband services market.”
 
Evans noted that: “Already, 54.6 percent of residential users are on plans faster than 1.5 Mbps. We expect the burgeoning ADSL2+ segment to become the driving segment in the broadband market in the near- to mid-term future."
 
By June 2008, Market Clarity says that 26.1% of residential Internet users had subscribed to ADSL2+ plans, with another 4.7% having moved to technology plans that supports speeds above 24 Mbps.

As you’d expect, Market Clarity has forecasted a :continuing flight to speed over the next five years”.

Because there’s no fibre based National Broadband Network as yet, Market Clarity says that users are moving to ADSL2+ services and, “depending on the NBN process, they will move towards FTTx or other higher-speed technologies towards 2013.”

Given that an NBN is expected, “ADSL/ADSL2+ growth will therefore peak, before falling to around 43.5 per cent of the broadband market by 2013 as higher speed networks become available”, with a range of factors to drive the shift.
 
Evans said: "Already, ADSL2+ plans are price-competitive with older services, and are backed by higher download allowances. At the same time, users are becoming more aware of content services like the ABC's iView, and service providers are expanding their content portfolios.
 
"The combination of price and service features will make higher-speed services compelling to Australia's Internet customers. By the time the NBN rollout takes place, users will already be habituated towards high-speed services, and will move enthusiastically to FTTx or other high-speed offerings."
 
So, what does Market Clarity have to say about 3.5G mobile broadband offerings? Please read on to page 2.