Demand for high-speed internet access slackening in the UK
August 4, 2008Four of the UK’s big six providers announced that demand for high-speed internet access for the past three months is down on the previous corresponding quarter and also down on a yearly basis.
TalkTalk business, part of Carphone Warehouse is the UK’s third biggest ISP. It cut its prediction for yearly broadband customer growth by almost 50 per cent, to between 200,000 and 250,000, after stating it could sign nearly 44,000 new customers in the quarter (to the end of June) compared with 126,000 new customers last year, and 109,000 new customers in the first quarter this year.
The chief executive of TalkTalk, Charles Dunstone, stated:
It is a combination of factors like fewer housing transactions, since buying a house is a key time when people change their supplier, and that means more people buying mobile broadband instead of a mere fixed line access.
He added that the market is also maturing with more than 60 per cent of UK households having a broadband connection. The broader trend emerging is not very encouraging, but the ISPs are hoping for a turnaround, sooner or later.
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