Home Deals Broadband market now worth $2 billion but $$ growth slowing
According to estimates from Market Clarity, broadband revenue in Australia has passed the $2 billion market in 2006, from 3.52 million users (as at June 2006).

Market Clarity estimates the number of users will almost double to more than 6.8 million by June 2011 but says: "Intense competition between providers is likely to squeeze revenue growth, so...revenue will only rise to $3.24 billion by June 2011."

According to Market Clarity CEO, Shara Evans, "As service ARPU and margins decline, providers will need to pay more attention to retaining customers and offering them high-margin value-added services."

Evans expects ADSL to remain the dominant broadband technology in Australia for the foreseeable future, accounting for nearly five million of the 6.8 million services in operation by June 2011. The remaining customers will be spread between cable (HFC, wireless customers, and satellite broadband. "Other access technologies such as fibre-to-the-home and broadband-over-powerlines will struggle to attract a significant share of the market except in areas where ADSL is not available," she said.

Market Clarity' expects usage off today's 'entry level' broadband of 256kbps expected to peak next year.


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Stuart Corner


Tracking the telecoms industry since 1989, Stuart has been awarded Journalist Of The Year by the Australian Telecommunications Users Group (twice) and by the Service Providers Action Network. In 2010 he received the 'Kester' lifetime achievement award in the Consensus IT Writers Awards and was made a Lifetime Member of the Telecommunications Society of Australia. He was born in the UK, came to Australia in 1980 and has been here ever since.






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