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Verizon's Share of New Subs Declines
Comcast Racks Up 23 Percent of New Subscriptions in Quarter
Boston, MA - June 18, 2008 - Of the 2.1 million new residential broadband connections up for grabs in the first quarter of 2008, Comcast racked up an impressive 23 percent, compared to 18 percent in the previous quarter, according to "US Broadband Insight Q1'08," a report just released by Strategy Analytics. Verizon, on the other hand, decreased its sequential share of new subs from 16 percent in Q4'07 to 12 percent in Q1'08.
Comcast and AT&T together accounted for over 40 percent of all new residential broadband subscriptions in the first quarter of 2008. And AT&T's 15 percent growth rate over the past twelve months is a good indicator that they will hold on to their number two slot-and potentially challenge market leader Comcast.
"Despite the fits and starts of AT&T's U-Verse product, the company is still performing solidly," noted John Lee, Analyst in the Strategy Analytics' Digital Consumer Practice. "We see them on-track to reach 13.5 million subscribers by year-end."
Meanwhile, Time Warner Cable, which will officially split from parent Time Warner, Inc., in the fourth quarter, continues to battle for the third place slot with Verizon. The New York-based cable provider added 304,000 new subscribers in the first quarter.
"We are beginning to witness a modest deceleration in the US residential broadband market," said Ben Piper, Director of the Strategy Analytics Broadband Network Strategies service. "While we won't likely be seeing double-digit growth as we have in the past, the market is by no means stagnant."
In addition to reporting and analysis on US first quarter results, covering both DSL and cable platforms, this report includes Strategy Analytics' latest near-term subscriber performance projections for major US operators, including AT&T, Comcast, Verizon, and Time Warner Cable.
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