Overall Internet traffic seems to be going up? This is why:
- Spending on high-speed Internet access services in the United States will reach an estimated $17.0 billion in 2004, up 30.5 percent over 2003, according to TIA’s 2004 Telecommunications Market Review and Forecast. By the end of 2007, spending is expected to reach $24.8 billion, representing a 17.5 percent compound annual growth rate (CAGR), 2004-2007. U. S. high-speed subscribers will also expand at double-digit rates, growing from an estimated 28.5 million in 2004 to more than 47 million in 2007.
High-speed Internet access consists of cable modems, digital subscriber lines (DSL), fixed wireless (i.e. local multipoint distribution service (LMDS)), fiber-to-the-home (FTTH), satellite and third-generation (3G) wireless. Cable operators continue to dominate the high-speed access market as a result of their early entrance and widespread availability.
The cable modem market expanded to 12.9 million subscribers in 2003, with revenues increasing 44.1 percent to $6.9 billion. TIA expects double-digit increases in cable modem subscribership through 2006, with growth dropping to 8.7 percent in 2007. Cable modem subscribers will total an estimated 22.4 million in 2007, representing a 14.8 percent CAGR from 16.0 million in 2004. Cable modem service revenues will grow from an expected $8.4 billion in 2004 to $10.5 billion in 2007, increasing at a 10.9 percent CAGR. [SpaceDaily]