2007 to see FTTx subscribers up and costs down

"We think that 2007 will be the year of FTTx, at least as far as tariffs go", says Vince Chook, Research Analyst at Point Topic. "As the demand for bandwidth keeps on growing with the increasing uptake of IPTV, VoIP and other high bandwidth services the conditions look right both for increased deployment of FTTx and downward price pressure," continues Chook.

"For example Chunghwa in Taiwan has grown its FTTB (fibre to the building) subscribers from Q2 to Q3 2006 by 55% well above the current growth rates for DSL and cable."

"And FTTx pricing is pretty competitive too, you can get 50Mbps from Korea Telecom for as little as US$40/month."

From our representative sample (some tracked since March 2000) Point Topic is able to reveal the changes over time in the absolute and comparative prices of cable, DSL and FTTx (fibre to the ‘x’).

"Q306 was a quiet quarter in tariff terms, FTTx and DSL prices are pretty stable at the moment and while a number of cable operators have been introducing cheaper entry level services they come with download limits that exclude them from our analysis," concludes Chook.