In a recent analysis of the Asia-Pacific broadband market, SNL Kagan found that despite recessionary pressures, the region’s broadband subscriber base grew 17.7 per cent to 181.4 million in 2009 compared to 154.1 million in 2008, with a household penetration of 22.2 per cent at year-end 2009. SNL Kagan forecasts the market will continue to grow, increasing from 208.8 million households at year-end 2010 to 352.5 million by 2015, a five-year CAGR of 11 per cent.
According to analysis, the 12 fixed broadband providers under review, in aggregate, saw steady growth in average quarterly subscriber net additions between 2006 and 2009, increasing from 4.5 million subscribers per quarter in 2007 and 2008 to 6.4 million in 2009. However, the market was not completely immune to the recession. Outside China and India, in aggregate, Asia’s top fixed broadband providers experienced a 50.8 per cent decrease in average quarterly subscriber net additions in 2009. Continued growth in 2009 was driven primarily by China Telecom, China Unicom and India’s BSNL.
“Chinese and Indian telco giants have weathered the global financial crisis far better than their regional peers,” said SNL Kagan Senior Analyst Ben Reneker. “Stronger macro-economic fundamentals as well as consumer confidence and high telecommunications market growth potential allowed telcos in these countries to achieve the highest growth rates among the operators surveyed.”