EU Incumbents Dominate Broadband
Posted: 26th Sep, 2003 By: MarkJ
Incumbent European Telco's have once again been criticised for their overall dominance of the market. New research has shown that incumbents provide 70% of the 17.1m broadband lines throughout the continent, with just 5% provided by local loop unbundling (LLU):
In some countries, notably Europe's largest internet economy, Germany, incumbent telcos provide the lines for 95% of the market, while only in the UK and The Netherlands do cable companies provide any competition to DSL itself. Half of all cable broadband connections in Europe are in those two countries.
The figures also revealed that it is not only the provision of broadband that incumbents dominate, but also the retail market, with 81% of all connections provided over the incumbent DSL networks directly retailed to users by the incumbent.
Although encouraged by the increased take up of broadband by Europeans - 5m subscribers were added just this year - the statistics make grim reading for legislators in Brussels who have been keen to encourage the take up of broadband in Europe by promoting competition in wholesale markets.
To be fair the outcome was never going to be any different, previously national (government run) service companies can't be instantly turned into separate commercial operators without maintaining their dominance for many years to come. More @ netimperative.com .
In some countries, notably Europe's largest internet economy, Germany, incumbent telcos provide the lines for 95% of the market, while only in the UK and The Netherlands do cable companies provide any competition to DSL itself. Half of all cable broadband connections in Europe are in those two countries.
The figures also revealed that it is not only the provision of broadband that incumbents dominate, but also the retail market, with 81% of all connections provided over the incumbent DSL networks directly retailed to users by the incumbent.
Although encouraged by the increased take up of broadband by Europeans - 5m subscribers were added just this year - the statistics make grim reading for legislators in Brussels who have been keen to encourage the take up of broadband in Europe by promoting competition in wholesale markets.
To be fair the outcome was never going to be any different, previously national (government run) service companies can't be instantly turned into separate commercial operators without maintaining their dominance for many years to come. More @ netimperative.com .
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