Point Topic: UK Broadband Subs Down

UK researcher Point Topic sent out a release today stating they estimate that fewer than 200,000 new broadband lines were added in the UK in the Q4 2008, which results in less than half of what was originally predicted for the quarter.
 
Tim Johnson, Chief Analyst at Point Topic:
 
The main loser was BT Wholesale and its resellers who dropped almost 300,000 lines in 3 months according to our estimates. The local loop unbundlers, mainly Carphone Warehouse, Sky, Tiscali and Orange, did comparatively well in the quarter as consumers churned to their low cost bundles. LLU operators added over 420,000 lines in the period according to BT Openreach figures.
 
What does the future hold?
 
Johnson again:
 
The broadband market has been growing rapidly in the last few years and we project it will continue to add numbers through the recession, just much more slowly. In fact it is striking how falls in broadband growth have closely mirrored the UK's changing Gross Domestic Product.
                                        
By our calculations, even if the economy shrinks by a further 3% in 2009 then there still will be about 900,000 new broadband customers by next December. That would take the UK total to over 18 million.
 
 
 
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