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Canada Telecommunications Report Q3 2009
Market |
Telecommunications |
Report Type |
Market Research |
Country |
Canada |
Published |
5 August 2009 |
Number of Pages |
61 |
Download |
|
Immediate |
|
Publisher |
Business Monitor International |
Canada broadband market looking set to reach 40% penetration by the end of 2013
Canada's broadband market saw slower growth in 2008 than the report had previously anticipated. A focus on higher speed services has led to subscribers that generate greater revenues but fewer net additions. That is not to say that there are fewer growth prospects. Indeed, BMI forecasts the fastest growth in the broadband market compared with other sectors, as internet services become an integral part of day-to-day life for both corporate and residential subscribers alike. Competition for the top spot in the broadband market is fierce with only a few thousand subscribers separating fixed-line operator Bell Canada from cable operator Shaw. Rogers Cable and TELUS are swiftly catching up making this a highly dynamic area of the telecoms market .
The opposite seems to be true for the fixed-line market which continues to decline. Although mobile services have yet to reach 65% penetration there is still a decline in the number of fixed lines in service .
The importance of fixed connections in more rural areas, however, means that fixed-line services remain an important part of the telecoms market. In some cities this is a less important issue with an increasing number of subscribers opting for mobile-only voice connections. Data from the Canadian Statistics Office show that an increasing number of households have access to a mobile phone and a growing proportion are now mobile-only. This is particularly a trend among younger subscribers and so is likely to maintain the downward trajectory .
The recession in Canada has inevitably affected the different sectors of the telecoms market. Growth across the board has been slower than BMI had previously anticipated and we expect that it will remain slow for much of 2009. However, there is plenty of potential for expansion of mobile services in Canada as well as the broadband market looking set to reach 40% penetration by the end of 2013 .
We have left Mobile Data Analysis unchanged this quarter owing to a focus on fixed-line and broadband services. However, forecasts and operator data tables have been fully updated with figures from Q109.
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