Home broadband growth steady in U.S.

June 22, 2006

Broadband penetration in the United States has reached 72 percent of active home Internet users compared to 57 percent a year ago.

Nielsen/Netratings said Thursday the numbers indicate that the U.S broadband market still has room to grow.

"Although we are not seeing the explosive month-over-month growth we once were, the market for broadband Internet connection has not yet reached saturation," said Nielsen's Jon Gibs.

Broadband connection in a work setting has reached 90 percent compared to 82 percent in May 2005.

Nielsen also noted that consumers with broadband tend to make greater use of the Internet, and the access to services is the major incentive for upgrading to the faster speeds.

"We're past the point where decreasing prices and increasing availability will move the needle for providers," Gibs observed. "The remaining consumers will be pushed to broadband as the Internet continues to move beyond text-based information to a comprehensive source for video."

Copyright 2006 by United Press International

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