Abstract
This report examines the state of the global broadband market and analyzes the drivers, demand, deployments, and critical enabling technologies for broadband value-added services. It includes six international case studies, profiles of twelve key solution providers, consumer analysis, market forecasts, and recommendations.
“Broadband value-added services other than IPTV and VoIP are still largely under-monetized,” said Yuanzhe (Michael) Cai, Director of Broadband and Gaming with Parks Associates. “Broadband service providers with a comprehensive and consistent approach to deploying various VAS will benefit from lower churn rates, additional revenues, and higher trust with subscribers.”
Table of Contents
The Bottom Line
1.0 Methodology
2.0 Global Broadband Market Update
- 2.1 North American Broadband Market Update
- 2.2 European Broadband Market Update
- 2.3 Asian Broadband Market Update
- 2.3.1 Japan
- 2.3.2 South Korea
- 2.3.3 China
3.0 Broadband Value Added Services: Beyond Bandwidth
- 3.1 Commoditization of Bandwidth
- 3.2 Changing Broadband Business Models
- 3.3 Converged VAS Drive Bundled Services
- 3.4 Marketing Strategies
- 3.5 Consumer Demand for VAS
- 3.6 Broadband VAS Roadmap
- 3.7 Relevant Technology Development
4.0 Service Provider Deployments of Value Added Services
- 4.1 Broadband Entertainment
- 4.2 Digital Home Support
- 4.3 Digital Home Control and Monitoring
- 4.4 Storage/Backup/Remote Access
- 4.5 User-Generated Content (UGC)
- 4.6 International Case Studies
- 4.6.1 British Telecom - Providing Experience in an Open Environment
- 4.6.2 France Telecom/Orange - Gateways, Content and Web 2.0
- 4.6.3 Free/Iliad - Freebox Fuels Growth
- 4.6.4 Comcast - Playing the Content Card
- 4.6.5 Verizon -- 360 Gaming
- 4.6.6 China Telecom - a Controversial Push Strategy
5.0 Market Forecast
- 5.1 Forecast Methodology
- 5.2 Detailed Forecast
6.0 Implications and Recommendations
Resource Book
Section I: Growth of Internet Adoption
Section II: Demographics Analysis of Broadband Households
Section III: Narrowband-Broadband Migration
Section IV: Broadband Satisfaction Analysis
- Satisfaction Ratings by Providers in the US and Canada
- Drivers for Satisfaction
Section V: Value-Added Services
- Broadband Entertainment
- Home Networking
- Adoption and Usage of Home Network
- Home Networking Services from Service Providers
- Internet Security
- Online Storage
- Automated PC Maintenance - “the Dashboard”
Section VI: Demographics Analysis of VAS Customers
- Broadband Entertainment
- Digital Home Services
Section VII: Profiles of White-label Solution Providers
- Axentra Corp.
- Casero, Inc.
- Exent Technologies
- Hiwired, Inc.
- Intamac Systems
- Motive Inc.
- Oberon Media
- RadialPoint
- SupportSoft
- Synacor, Inc.
- ThePlatform
- Xanboo Inc.
Figures
The Bottom Line
- Residential Broadband Penetration among U.S. Households
- Market Share of Leading Broadband Service Providers at YE 2007
- Strong Growth of FIOS Broadband
- Forecast of FTTx and Mobile Wireless Residential Subscribers (2007-2012)
- Major Canadian Broadband Providers' Subscribers Growth 2004-2007
- Growth of Broadband Penetration Rate per Capita
- Growth of Broadband Households Among Major Asian Countries 2003-2007
- Comparison of Broadband Rates (Cost per MB/Month of data transmission) Among Selected Countries in 2005
- Top Broadband Activities in Japan - 2007
- Popular Internet Activities in S. Korea (Q4/07)
- Growth of Broadband Households in China 2003-2008 Compared to the U.S.
- Declining ARPU among Chinese Broadband Households 2003-H1 2007
- Most Frequently Used Internet Applications in China
- Commoditization of Bandwidth
- Forecast of Broadband Subscribers Receiving 10 MBps or Higher Services
- Bundled Services: DSL vs. Cable in Subscriber Numbers (Q1/07)
- Online Entertainment Activities (Q3/07)
- Utility and Communications Activities (Q3/07)
- Consumer Interests in Selected Digital Home Services (Q1/06)
- Segmentation of Broadband Service Provider Value-added Services
- Online Entertainment Activities (Q3/2007)
- Major Broadband Entertainment Deployments
- Major Digital Home Support Deployments
- Interest in Home Control Features (Q1/07)
- Major Digital Home Control and Monitoring Deployments
- Willingness to Pay for an Online Storage Solution
- Major Digital Storage/Backup Deployments
- Major UGC Deployments
- U.S. Forecast of Broadband VAS Revenue (2006-2012)
- Detailed Breakdown of Forecast Numbers
- U.S. Forecast of VAS ARPU among Broadband Users (2006-2012)
Resource Book
- Internet and Broadband Adoption
- Internet Penetration by Gender
- Internet Penetration by Age
- Internet Penetration by Education
- Upgrade Internet Access (Q1/07)
- Breakdown of all U.S. Households by Internet Access and Intent to Subscribe (Q1/2007)
- Broadband and National Demographics: Gender Comparison
- Broadband Users among All Age Groups
- Broadband and National Demographics: Income Comparison
- Broadband and National Demographics: Education Comparison
- Likelihood for Narrowband Users to Upgrade to a Broadband Service
- U.S. Broadband Customers: Rating Satisfaction with Provider
- Canadian Broadband Customers: Rating Satisfaction with Provider
- High and Low Satisfaction: U.S. Broadband Carriers
- High and Low Satisfaction: Canadian Broadband Carriers
- Broadband Service: Important Factors in Driving Satisfaction (U.S.)
- Broadband Service: Important Factors in Driving Satisfaction (Canada)
- Number of Hours Spent on Activity
- Media Activities
- Penetration of Home Data Networks
- Most Valuable Applications for a Home Network (U.S.)
- Offered and Accepted Home Networking Offer from BSP: U.S.
- Offered and Accepted Home Networking Offer from BSP: Canada
- What Factors were Important in Accepting a Home Networking Offer from the Broadband ISP? (U.S.)
- What Factors were Important in Accepting a Home Networking Offer from the Broadband ISP? (Canada)
- Respondents Experiencing Security-related Maladies
- What Internet Security Solutions are Used?
- Rating Internet Providers on Responsiveness to Security Issues (U.S.)
- Rating Individual Internet Providers on Responsiveness to Security Issues (U.S.)
- Rating Internet Providers on Responsiveness to Security Issues (Canada)
- Rating Individual Internet Providers on Responsiveness to Security Issues (Canada)
- Interest in Online Storage Solution: By Weekly Multimedia Activities
- Willingness to Pay for an Online Storage Solution
- Frequency of PC Maintenance Functions
- Interest in PC Maintenance “Dashboard”
- Broadband Entertainment Activities I (Q3/07)
- Broadband Entertainment Activities II (Q3/07)
- Consumer Interest in Automated Maintenance and Online Storage (Q1/06)
- Consumer Interest in Whole-home protection, software & support, and unlimited tech support (Q1/06)
- Motive Solutions
- SupportSoft Overview

