Thursday, November 3, 2011

1/2 of New Virgin Media, BT Broadband Connections are for 30 Mbps or Faster

About half of new connections for high-speed broadband service at Virgin Media and BT in the United Kingdom are for service at 30 Mbps or faster. That is a pretty big deal, as up to this point, take rates for "super fast" service have been fairly minimal. 

This level of service, as a stand-alone product, retails for £35 ($56) a month on Virgin Media networks.  That's an important fact. Many have argued that even when "super fast" services are available, price is a barrier. 

Virgin Media is still on target to meet its coverage target of its 100 Mbps service being available to its complete cable network by the middle of 2012, this represents roughly half of U.K. households. 1/3 of UK Virgin Media customers can get 100 Mbps

By way of comparison, in Denver Comcast sells 20-Mbps connections for about $68 a month on a standard basis. CenturyLink sells a 40 Mbps connection for about $80 a month, where it is available, as a stand-along product. The Comcast Xfinity service running at up to 100 Mbps costs about $200 a month. 

The Xfinity 50 Mbps service costs about $150 a month. 50 Mbps Xifinity Most observers would say the 50 Mbps and 100 Mbps services are purchased mostly by business users.

German cable network operator Kabel BW claims that around 40,000 customers are using broadband with speeds of 50 Mbps or 100 Mbps. About three million homes are able to buy service at those rates. So buyers represent about one percent of customers. 100-Mbps demand

Also, the price for the 50-Mbps access service is about $41 a month. Kabel BW has found only about one percent take rates, at prices of $41 a month. 

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