It was revealed yesterday that the US broadband market is mirroring that of the UK, with sharp drops in the rate of growth in the industry. The broadband market analysis firm, Leichtman Research Group Ltd., reported that the growth in broadband connections in the US in the second quarter of this year marked the lowest percentage ever recorded by the company. The New Hampshire-based analysis firm reported that the downturn in the online economy could be to blame for the slump, and it is hoped that if the recession eases off, the broadband market will continue to grow at a steady rate, as previous figures have suggested.
However, the number of total broadband subscribers in the US remains healthy, with 65.1 million registered users, with cable MSOs dominating the market over more traditional phone-based ISPs. The president and principal analyst at Leichtman, Bruce Leichtman, said that the decline in the usage of traditional phone-based providers was probably due to the move to new fibreoptic cables by the largest providers, such as Virgin. This widens high-speed, versatile access to many users, and makes the slower connection offered by phone lines obsolete. It is thought that this new technology may solve the problem in growth witnessed this year.