Broadband roll-out

Expansion of broadband

Broadband roll-out in Europe has increased in some parts, while others still lag behind. In Central and Eastern Europe, the broadband market is still low compared to Western Europe, but it's predicted that will change.

A report by Pyramid Research has predicted that between 2009 and 2014, broadband roll-out will increase 20 percent in Central and Eastern Europe (CEE), and increase 13 percent in Western Europe. The growth in CEE is due to there being more room for organic growth because of the lower broadband penetration there, but also to governments being increasingly focused on bringing internet connectivity to a wider public. More affordable laptop and netbook bundles will also play a part in enabling broadband growth. It is predicted that growth in CEE countries will outpace that in their Western counterparts.

The report's author, Sylwia Boguszewska, estimates that total broadband (fixed and mobile) penetration in CEE was just 10 percent at the end of 2009, compared to an average of 28 percent in Western Europe, Light Reading Europe reports.

According to the report, those CEE countries that have now joined the European Union will have a greater opportunity to catch up with western markets if they take advantage of EU funds. This includes financing from the European Economic Recovery Plan, which aims to help expand broadband networks to rural areas in poorer countries.

Bulgaria development

One relative EU newcomer is Bulgaria, which has an extremely undeveloped broadband market, with a penetration rate of just 15 percent at the end of 2009. The country's economy has suffered during the recent global crisis, but is expected to recover this year with GDP growth forecast at one percent in 2010 and 3.4 percent in 2011.

Pyramid expects broadband penetration in Bulgaria to rise to 38 percent in 2014, with EU funds expected to help the country's expansion. The EU has committed to support Bulgarian broadband deployments with €29 million in 2009 and €32 million in 2010, while the country will also have access to the €1 billion EU pot that has been earmarked for less developed EU countries.

100mbps broadband

In a seperate report, it was found that the availability of 100mbps broadband across Europe, and the number of people signing up, grew significantly in the second half of 2009. Consulting and research firm IDATE has issued its latest report, commissioned by the Fibre-to the-Home (FTTH) Council Europe, showing the growth rate has increased from 19 percent in June 2009 to 29 percent by the end of December.

The Scandinavian countries topped the charts when it came to the percentage of homes with broadband access, with Norway leading the way with 64.9 percent penetration and Sweden in second with 41.4 percent.

The UK didn't get a look in on the charts. That said, its plans to rollout the faster technology by the likes of Virgin Media and BT are in much earlier stages than many of our European counterparts, ITPRO reports.

The report highlighted that although the connectivity access is growing successfully, the main issue remains in convincing consumers to sign up for high-speed connections.

Jodie Humphries

Jodie Humphries graduated from Bath Spa University with a BA Hons in Creative Writing in 2008. She has worked for GDS Publishing for the digital group since July 2009. She has previous experience with writing for the web, running her own website since April 2007.

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