TELECOMS & MOBILE
EU's top broadband performers race ahead
15-10-2007
by
There is a growing gap between the strongest and weakest performers in terms of broadband penetration in Europe, while Ireland continues to languish below the EU average.
That's according to the latest European Commission report, which examined broadband penetration rates among Member States from January to July 2007. The report found that Denmark has the strongest broadband penetration at 37.2 percent, while, with more than a 30 percent difference, Bulgaria has the worst at 5.7 percent.
"Broadband growth remains strong with the top EU countries now world leaders in broadband penetration," said EU Telecoms Commissioner Viviane Reding. "However, it is unacceptable that the gap between the strongest and weakest performers in Europe is growing. Europe must act now to get its broadband house in order."
Ireland remains at 14th place for European broadband penetration at 15.5 percent. The report also found that Ireland has had the third highest proportional growth rate in the EU with 6.7 new broadband lines being installed per 100 people from January to July 2007. Only Luxembourg at 7.1 and Denmark at 7.7 installed more fixed broadband lines per person in the same period.
"While our growth rate is good, it doesn't really matter. We are not actually going up the table in places because the growth rate isn't fast enough. There are still tens of thousands of people who want broadband, who can't get it. The future doesn't look too bright," said industry commentator Damien Mulley, speaking with ENN.
In the best performing countries -- Denmark (37.2 percent) and the Netherlands (33.1 percent) -- one third or more of the population has broadband. In contrast, in the worst performing countries less than a tenth of the population has broadband, with Bulgaria scoring just 5.7 percent, and Romania and Greece not far off at 6.6 percent and 6.8 percent.
The Commission also reported that the average penetration rate has grown from 14.9 percent to 18.2 percent, some 2.7 percent above Ireland.
It cited lack of competition and regulatory weaknesses as the main obstacles to broadband growth in certain Member States and believes more needs to be done to stimulate broadband investment. The latter will form a key part of next month's reform proposals of the EU Telecom rules.
The report also found that on 1 July 2007 there were over 90 million fixed broadband lines in the 27 EU Member States. Twenty million of these were added since July 2006, an increase of 28.7 percent. Romania and Bulgaria's figures were included from January 2007 onwards, after their accession to the EU.
Digital Subscriber Line (DSL) remains the EU's main broadband technology, with some 72.5 million lines. However, the report found DSL growth has slowed by 6.1 percent compared to July 2006, while alternative technologies such as cable, fibre to the home and wireless local loops are more widely used, totalling some 17.7 million lines.
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