DSL outpaces cable in broadband price war

Prices for access falling across the board but cable lagging behind in cost terms

The latest research into worldwide broadband prices shows DSL prices are falling much faster than cable internet access since this time last year.

The survey, carried out by analysts at PointTopic, found worldwide DSL prices fell by an average of 9.3 per cent, over double the 4.5 per cent fall in cable costs. The price falls were even more extreme in some areas.

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"Among the 18 DSL operators included in Point Topic's tariff benchmark survey, 5 of them (primarily in North America and EMEA) reduced their monthly tariffs by up to 50 per cent," said the analysts in their "Broadband tariff benchmarks - Q206" report.

"Bell Canada was the only operator increased its entry level package up by 16.9 per cnet. This is due to a service upgrade of its 256Kbps BASIC package to a faster 1Mbps download speed. Overall, the average DSL monthly tariff was US$27.44 with Chunghwa (Taiwan) still being rated as the cheapest DSL provider."

Meanwhile prices remained unchanged at the premium end of the market. Costs for Fibre to the Premises (FTTP) or Fibre to the Home (FTTH) remained unchanged at a little over $35 per month. FTTP gives much faster internet access than traditional connections by using optical fibre but the report found in some parts of the world it is actually cheaper than the local cable provider.

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