Commentary

Broadband Households and Presidential Preference Parallel

Broadband Households and Presidential Preference Parallel

Leichtman Research Group, Inc., in their updated report, Broadband, Cable and DBS Across the US 2005, found that at the beginning of 2005 broadband penetration of households in the US stood at close to 29% nationwide.  Significant state-by-state disparities in broadband penetration remain, however.  While these disparities are largely related to variations in household income across the states, these differences are strikingly similar to the state-by-state splits in the 2004 presidential election.

  • Eight states had broadband  penetration over 35% - all voted for John Kerry in 2004
  • Eleven states had broadband penetration at or below 20% - all  voted for George Bush in 2004
  • Cumulative broadband penetration in states that voted for Kerry was  33% - compared to 25% in states that voted for Bush

Overall Broadband Penetration

States voting for Kerry in 2004

33.0%

States voting for Bush in 2004

25.1%

US Overall

28.6%

Sources: Federal Communications Commission and Leichtman Research Group, Inc.

In related broadband research, LRG found that as of the end of the second quarter of 2005, the twenty largest cable and DSL providers in the US, that represent 94% of the broadband market for cable and DSL, accounted for about 37.6 million high-speed Internet subscribers. Other key findings for the quarter include:

  • Combined net additions in the second quarter of 2005 totaled 1.8 million subscribers
  • The top DSL providers added  about 938,000 subscribers, representing 52% of the net broadband additions for the quarter versus cable, which added about 866,000 broadband  subscribers
  • The top cable broadband providers maintain a 6.4 million subscriber  advantage over DSL, representing a 59% share of the total market versus  DSL

Broadband Internet

Subscribers at end of  2Q 2005

Net Adds in 2Q 2005

Cable

Comcast

7,705,000

297,000

Time Warner

4,323,000

201,000

Cox

2,846,438

97,779

Charter

2,022,200

43,800

Adelphia

1,556,567

70,537

Cablevision

1,519,864

79,285

Bright House Networks*

785,000

22,000

Mediacom

426,000

19,000

Insight

391,300

23,500

RCN

229,000

0

Cable One

209,600

12,200

Total Top Cable

22,013,969

866,101

DSL

SBC

5,968,000

360,000

Verizon**

4,142,000

278,000

Bell South

2,473,000

124,000

Qwest

1,190,000

68,000

Sprint

590,000

39,000

Covad

554,400

7,000

All Tel

319,315

36,189

CenturyTel

194,847

21,079

Cincinnati Bell

145,000

4,400

Total Top DSL

15,576,562

937,668

Total Broadband

37,590,531

1,803,769

Sources:  The Companies and Leichtman Research Group, Inc.

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