China Seen As World's Largest Broadband Market - InformationWeek

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China Seen As World's Largest Broadband Market

China is on track to overtake the United States next year as the world's largest broadband market.

China is on track to overtake the United States next year as the world's largest broadband market, a research firm said.

China's broadband sector has been growing dramatically at a compound annual growth rate of 79 percent over the last three years, Ovum said. As a result, the communist nation is expected to have 79 million subscribers by 2007.

Leichtman Research Group Inc. estimates that in the second quarter there were 51 million broadband subscribers in the United States.

Despite the strong growth in China, only 3.4 percent of the Chinese will have broadband next year, well behind many countries in the Asia-Pacific region, the researcher said. But with a projected CAGR of 75 percent, the company is expected to reach 139 million subscribers by 2010.

China Telecom and China Netcom are the dominant broadband providers, with a combined market share of 87 percent. The remainder is shared among China Tietong, China Unicom, cable and miscellaneous other operators. DSL is the fastest growing access technology, with 71 percent of the market, or 32 million subscribers, as of June 2006.

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