|Fixed broadband subscribers to approach 1 billion by 2019|
|Submarine Cable NewsFeed - Market Snapshot|
|Thursday, 30 April 2015 16:11|
Global broadband subscriber growth is driving the demand for greater and greater Internet bandwidth, which in turn drives demand for submarine fiber optic cable systems. Broadband growth has been increasing at a dynamic pace and there is no indication that it will slow.
Technology market research firm Infonetics Research, now part of IHS Inc., forecasts a 5 percent compound annual growth rate (CAGR) from 2014 to 2019 in the number of global fixed broadband subscribers. By 2019, there will be nearly 1 billion subscribers. The company says that the number of subscribers in 2014 grew by 8 percent, reaching 733 million.
Geographically, the Asia Pacific holds 50 percent of the world’s fixed broadband subscribers and continues to experience significant subscriber growth thanks to China, Southeast Asia and emerging markets where broadband penetration continues to increase. China, Russia, Brazil, Mexico, Argentina, Indonesia, Thailand and Vietnam will lead way in new growth.
“Broadband has become a consumer-driven industry. Consumers essentially saved the fixed broadband business by binging on Netflix and other streaming video services, and now broadband providers are consistently investing in higher-end FTTX and DOCSIS 3.0 technologies to keep those innovators happy,” said Jeff Heynen, principal analyst for broadband access and pay TV at Infonetics Research.