London, 12 Feb. 2005 — UK broadband market learning curve.

The UK broadband market representing one of the most dynamic ones from tariff perspective.

As a matter of the fact, the UK market is showing a perfect “S shape” learning curve. There are several factors which driving the broadband adoption trend in each country. Socioeconomic factors such as ICT expenditure, IT literacy, political situation, household disposal income structure, tariffs and regulatory bodies.
In the case of UK market, tariffs have a predominant role to determine the broadband adoption rate.

UK regulators are trying to juice the UK broadband market with efforts aimed at lowering prices for consumers and bringing in other broadband carriers to compete with dominant player BT.
Quantum-Web latest tariff research (European broadband Pricing) indicates that residential broadband prices in the UK have fallen substantially in recent months and are now as cheap as in France or Germany.
Residential tariffs have fallen 15.5 percent in the UK during the first nine months of 2004, while enterprise tariffs reduced by 28.4 percent during the same period.
Quantum-Web estimates that there is healthy competition between service providers in the UK which means that consumers will have cheaper broadband services by 15 percent and 20 percent in the residential and enterprise markets respectively during 2005.