Originally posted by TeleGeography
October 09, 2014
Data from TeleGeography’s new Business Broadband Research Service reveal that business broadband prices vary widely, not just by country, but also within countries.
Western European markets are among the most competitive in the world. The median monthly price of a fixed-broadband plan with between 10 and 16 Mbps of downstream bandwidth is $47 in Germany, while comparable plans cost $28 in Spain and $34 in the Netherlands.
Business broadband service is also relatively inexpensive in many East Asian economies, such as Taiwan, where the median price of 10-16 Mbps service is $37 per month; Japan, where it’s $39 per month; and Vietnam, at $29 per month. However, due to the diverse levels of broadband infrastructure availability and competition in the region, prices can be far higher in other countries. In Malaysia for example, the median price of a 10-16 Mbps plan is $140 per month. Business broadband service can be particularly expensive in Africa, where 10-16 Mbps median prices are $93 in South Africa, $161 in Nigeria, and $352 in Kenya.
Broadband prices can also vary widely within countries. In Chile, where the median price of a 10-16 Mbps plan is $41 per month, the highest price is two times the lowest price. In the United States, where the median price is $90 per month, the high price is seven times the low. Similarly, the high price in Germany is three times the low price, while the high price in South Africa is an astonishing 24 times the low.
Business broadband services are priced for the local market. Price differences between countries reflect competition, geography, population density, and the local cost of wholesale IP transit. Price differences within countries reflect similar characteristics, with the greatest differences coming between urban and rural markets. For a single geography and downstream speed, product features such as upstream bandwidth, multiple static IP addresses, data limits, and domain hosting have the greatest impact on price.
TeleGeography’s new Business Broadband Research Service is an extensive database of broadband service providers, plans, and prices, including:
- Business broadband plan prices and specifications for 731 providers and 103 countries
- Analysis of business broadband prices by region, subregion, country, capacity, and access type
- Geographic comparisons of plan features and access types
- Business Broadband Market Summary providing market trend analysis and insight
To view this article, please visit the TeleGeography website at http://www.telegeography.com/press/marketing-emails/2014/10/09/business-broadband-prices-vary-widely-by-geography/index.html