Western Europe in Investment Phase of Broadband Deployment, IDC Says

LONDON – JUNE 8, 2000 – The market for broadband access services is among the fastest growing and most dynamic of all telecommunications markets. According to recent research from IDC, cable modem, digital subscriber line (DSL), and fixed wireless access (FWA) are currently the three front-runners in the area of emerging fixed broadband. Cable modem is currently the widest deployed technology, with DSL expected to exhibit the highest annual growth, in both consumer and business sectors, during 2000. FWA has yet to be rolled out across Europe and will not make an impact until 2001.


"All broadband technologies require investment in infrastructure, and Western Europe can currently be characterized as being in that investment phase," said Eric Owen, senior director of IDC's European Telecommunications program. Cable operators are upgrading their networks to support bi-directional communications; PTOs and in some countries competing local loop operators, are installing DSL equipment in exchanges; and licenses for portions of the radio spectrum are in the stages of being granted.

Broadband markets and technologies are complex – most services are nationally focused and operate within the very different regulatory environments across Western Europe. Currently most work is being undertaken by national operators – PTOs and CaTV companies – that need to concentrate on home markets before expanding across borders. In addition, the access methods (DSL, cable, and FWA) differ significantly in the customer site connection interface, level of traffic sharing among customers and transport medium. "For these reasons, the Western European broadband market cannot be viewed as a homogenous whole, but rather a patchwork of differing developments, services, pricing strategies, and competitive environments," Owen said.

DSL, Cable, and FWA: European Broadband Access Services Forecast and Analysis, 1999-2004 (IDC #HT01G) gives market sizes and forecasts for broadband access in both consumer and business sections. Issues affecting the deployment of broadband services relating to technology, national market conditions, and regulatory and local loop unbundling status are discussed. In addition, this study forecasts broadband connections and revenues by technology for consumer and business users for each country. This report is available to purchase from your local IDC office.

About IDC

IDC delivers dependable, high-impact insights and advice on the future of ebusiness, the Internet, and technology to help organizations make sound business decisions. IDC forecasts worldwide markets and trends and analyzes business strategies, technologies, and vendors, using a combination of rigorous primary research and in-depth competitive analysis. IDC provides global research with local content through more than 500 analysts in 43 countries worldwide. IDC's customers comprise the world's leading IT suppliers, IT organizations, ebusiness companies, and the financial community. Additional information can be found at http://www.idc.com.

IDC is a division of IDG, the world's leading IT media, research and exposition company.

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