Contrary to ISP claims, UK broadband ‘holding up well’

Contrary to recent reports from ISPs, broadband analysis group Point Topic believes the UK broadband market is “holding up well in the face of the slowdown, for now at least.”

UK broadband analysts Point Topic were able to make a reliable estimate of the total number of broadband line is the UK at the end of June, following the publishing of figures by BT last week. Point topic claims the estimate of 16,735,000 “is actually a clear 225,000, or 1.3%, ahead of Point Topic’s forecast made in November last year.”

The November forecast was not predicting any change in economic conditions, and instead were based on the historic performance of the market. Point Topic did predict a dramatic reduction in broadband growth – however this was not in light of a slowdown. As Tim Johnson, Chief Analyst at Point Topic explains: “’The reasons for the drop are simple, the number of dial-up homes ripe for migration to broadband is rapidly dwindling, there are barely a million of them left now and they are an increasingly resistant minority.”

In response to claims by ISPs that the economy is affecting broadband sales he adds: “It is understandable that an ISP CEO should blame his shrinking broadband numbers on the economy rather than lack of foresight or declining market share.  It’s his job to put the best face on things. But it gives a misleading impression of how well the broadband business is doing,’

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