Study: DSL Continues to Outpace Cable

DSL penetration continues to increase and close to half of all broadband users use the technology in the United States, the DSL Forum said Tuesday. From June 2005 to June 2006, 46 million new DSL subscribers were added worldwide, and in eight countries 25 percent or more of the landlines were used to deliver high-speed Internet.

The technology continues to be extremely popular in Europe, where cable television is less prevalent, with 56 million subscribers or over one third of the global total. The region added 18 million subscribers in the 12 months ending June 2006, the study said.

China led all other countries with 33 million subscribers, followed by the United States' 23 million. In all, 16 countries now have two million or more DSL subscribers, with Australia, Turkey and Mexico joining those countries during the past year.

"These latest subscriber figures are further evidence of DSL broadband's remarkable rate of growth across the world," said Michael Brusca, chairman and president of the DSL Forum. "Broadband is increasingly a key entertainment and information tool in homes, businesses and organizations worldwide."

In North America, DSL growth continues to outpace cable modem growth, giving the technology a 46 percent share. 6.46 million DSL subscribers were added to cable's 5.45 million. Cable's continued weakness here may finally begin to spur some cable companies into taking action and lowering prices - something many have not done while DSL providers have cut rates several times over the past few years.

In eight countries, more than a quarter of all landlines deliver DSL, with that number at a third of all French landlines, and as much as 40 percent in Finland. But with these faster adoption rates also come broader responsibility to maintain high levels of service, Brusca said.

"It is vital that carriers evolve their access infrastructures and remote management systems to scale to customer demands and provide Quality of Service (QoS) for delivery of a mix of data, voice and video services," he added.