PRESS ARTICLE



YOUTUBE AND NETFLIX DRIVING BROADBAND TRAFFIC

22 Jul 2015 - According to the latest broadband report from Futuresource Consulting, video now accounts for the majority of broadband traffic. This is mainly being driven by the continued global growth of OTT services, such as YouTube and Netflix.

Futuresource expects bandwidth requirements to be further stretched with the increasing adoption of capacity-hungry 4K content, led mainly by online-based services.

According to the report, broadband consumption is also being driven by the proliferation of smartphones, which is at 37% global personal penetration, and tablet devices, with a global household penetration of 26%. This rapid growth in demand is being fuelled by a growing range of functionality and services.

In the coming years, a number of other services and devices will emerge, placing more and more demand on broadband provision. The Internet of Things (IoT) is rapidly turning into a commercial reality and will bring with it an explosion of connected devices, from light switches to watches, all demanding bandwidth.

Government intervention remains a key factor in growing broadband provision, with many governments encouraging network expansion beyond major cities to support economical, political, and social equality.

The broadband report also draws a detailed comparison of broadband provision across different regions and countries, with forecasts up to 2019. Beyond South Korea, which continues to lead the world in broadband technology, Western Europe contains the highest concentration of advanced countries with six of the top ten countries globally ranked for coverage and speed of access. Sweden is the top of those, with fibre-optic cabling connected to 43% of homes, providing over 35% of households with speeds in excess of 100mbps.

"The 'always connected', 'always on' mentality of consumers now dictates constant access to applications and multimedia through a range of devices," commented Tristan Veale, Futuresource Consulting. "With consumers and businesses relying more and more on broadband connectivity, there is a growing need to ensure not only coverage across all areas, but also high access speeds. Over the coming years, we will see the speed gaps between different regions significantly reduce, as government intervention encourages high speed roll out."

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Notes
Futuresource Consulting is a specialist research and knowledge-based consulting company, providing organisations with insight into consumer electronics, digital imaging, entertainment media, broadcast, storage media, education technology and IT. With a heritage stretching back to the 1980s, the company delivers in-depth analysis and forecasts on a global scale, advising on strategic positioning, market trends, competitive forces and technological developments. www.futuresource-consulting.com

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Futuresource Media Contact for industry comment, forecasting and trends:

Nicola Finn

e: nicola.finn@futuresource-hq.com