Commentary

Broadband Users Believe in Net

Broadband Users Believe in Net

According to the Yahoo!/ACNielsen Internet Confidence Index, overall US consumer confidence in the internet remained flat in Q3 2002 at 113 from the previous quarter. The two companies note that in Q3 2002, broadband consumers’ level of confidence in the internet stood at 156 -- 28 points higher than that of their narrowband counterparts. The index also indicates that broadband consumers in Q3 2002 intend to spend at least $75 more, per user, online than narrowband net users.

US Internet Confidence and Spending Online (Q3, 2002)

Confidence IndexIntent to Spend
Online Broadband consumers156$287.10
Narrowband consumers128210.90
Heavy internet users150255.90
Light internet users108196.90

Source: Yahoo!/ACNielsen September, 2002 The quarterly index number is determined from a baseline score of 100, which was set in June 2001. "Heavy User" is online every day, while "Light" is less than daily.

NetProfit estimated in August 2001 that there would be close to 22 million broadband subscribers in the US this year. However eMarketer pegs the number for 2002 closer to 17 million, projecting an increase to 30.5 million by 2004.

Broadband Households in the US (millions)

2002200320042005
eMarketer, 6/0216.823.330.5
GartnerDataquest 10/0118.525.832.2
Jupiter 12/0013.318.523.8
Yankee Group 4/0216.021.326.731.1

Source: eMarketer, June 2002 and various

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