As network providers fight over Gs, few consumers demanding highest speeds
- Networking service providers are falling all over each other to race
to next-generation networks offering blazing speed - whether it's 5G
wireless networks (now encroaching into home Internet offerings) or "10G"
hybrid wireline networks from traditional wired broadband providers - but
those companies dependent on end consumers are getting a reality check
from
slow demand.
- All those Gs, and only a small fraction of the market is paying for
"one G," so to speak - that is, signed up for 1-gigabit capable service.
- Only 5.63% of the U.S. broadband market subscribed to that speed of
service in Q3, according to data from OpenVault via NextTV. The biggest
share of the broadband pie sits in the segment drawing download speeds of
100 Mbps-200 Mbps, with 36.4% of subscribers.
- The next most popular (almost 20%) is in the 50-75 Mbps range,
followed by a small slice (14%) in the 200-400 Mbps range.
- Cable Internet providers are commonly offering urban residents speeds
of 100-400 Mbps. And rural broadband is another challenge, one where
wireless may be offering a better buildout case.
- The wireless industry's 5G refers to its fifth-generation standards,
which can offer gigabit speeds at peak, but commonly offer 50 Mbps-plus.
And the cable industry began a "10G" marketing push to brand its
investment
cycle in hybrid fiber-coax networks it hopes will one day enable 10 Gbps
both downstream and up.
- Those kinds of speeds have more immediate relevance to industrial
applications, including factory automation and telehealth.
- As for consumers, though (whose top use case is often whatever's good
enough for a high-definition movie stream), they're not in a rush to add
top speed.
- Adding data volume might be another story; all of that streaming means
that within a couple of years, 5-10% of broadband subs will be what
OpenVault calls "extreme power users" soaking up more than 2 TB of data
per
month, vs. about 1% of users at that level now.
- Key customer-facing Internet providers: Comcast (NASDAQ:CMCSA),
Charter (NASDAQ:CHTR), AT&T (NYSE:T), Verizon (NYSE:VZ),
CenturyLink/Lumen (NYSE:LUMN), Cox, Altice USA (NYSE:ATUS), Frontier
(NASDAQ:FTR), Mediacom, TDS Telecom (NYSE:TDS), Windstream (OTCPK:WINMQ)
|Today, 6:31 PM|33 Comments
- Networking service providers are falling all over each other to race
to next-generation networks offering blazing speed - whether it's 5G
wireless networks (now encroaching into home Internet offerings) or "10G"
hybrid wireline networks from traditional wired broadband providers - but
those companies dependent on end consumers are getting a reality check
from
slow demand.
- All those Gs, and only a small fraction of the market is paying for
"one G," so to speak - that is, signed up for 1-gigabit capable service.
- Only 5.63% of the U.S. broadband market subscribed to that speed of
service in Q3, according to data from OpenVault via NextTV. The biggest
share of the broadband pie sits in the segment drawing download speeds of
100 Mbps-200 Mbps, with 36.4% of subscribers.
- The next most popular (almost 20%) is in the 50-75 Mbps range,
followed by a small slice (14%) in the 200-400 Mbps range.
- Cable Internet providers are commonly offering urban residents speeds
of 100-400 Mbps. And rural broadband is another challenge, one where
wireless may be offering a better buildout case.
- The wireless industry's 5G refers to its fifth-generation standards,
which can offer gigabit speeds at peak, but commonly offer 50 Mbps-plus.
And the cable industry began a "10G" marketing push to brand its
investment
cycle in hybrid fiber-coax networks it hopes will one day enable 10 Gbps
both downstream and up.
- Those kinds of speeds have more immediate relevance to industrial
applications, including factory automation and telehealth.
- As for consumers, though (whose top use case is often whatever's good
enough for a high-definition movie stream), they're not in a rush to add
top speed.
- Adding data volume might be another story; all of that streaming means
that within a couple of years, 5-10% of broadband subs will be what
OpenVault calls "extreme power users" soaking up more than 2 TB of data
per
month, vs. about 1% of users at that level now.
- Key customer-facing Internet providers: Comcast (NASDAQ:CMCSA),
Charter (NASDAQ:CHTR), AT&T (NYSE:T), Verizon (NYSE:VZ),
CenturyLink/Lumen (NYSE:LUMN), Cox, Altice USA (NYSE:ATUS), Frontier
(NASDAQ:FTR), Mediacom, TDS Telecom (NYSE:TDS), Windstream (OTCPK:WINMQ)
|Today, 6:31 PM|33 Comments
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