Jupiter: Eight in 10 On Broadband By 2010

The falling price of broadband helped propel 8.2 million new households to subscribe to high-speed Internet access last year, bringing to 31.9 million the total number of U.S households with broadband--a 35 percent increase from 2003--according to a new Jupiter Research report.

In all, 43 percent of online households in the United States connected via broadband in 2004, according to JupiterResearch.

The report, "Broadband Forecast, 2005 to 2010," predicted that up to 69 million households--78 percent of U.S. online homes--would have broadband by 2010, assuming that providers continue to lower the price. "Early broadband growth was restrained partly by the belief that it was a luxury," stated the report. "This is changing in consumers' minds, as lower pricing, compelling benefits, and greater familiarity from friends and neighbors with broadband all shift perceptions."

Cable companies, which still account for 63 percent of the market, were responsible for slightly more than half of the growth in 2004, providing service to 4.4 million new broadband households. The other 3.7 million new broadband households connected via DSL, which is responsible for 35 percent of the market.

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Comcast had a far larger market share than any other provider, accounting for 22 percent of broadband households. SBC-Yahoo! came in second, with 13 percent, while Time Warner was responsible for 12 percent and Verizon had 10 percent. Other companies with notable market shares include Cox (8 percent), Bell South (6 percent), Charter (6 percent), Adelphia (4 percent), and Cablevision (4 percent).

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