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Digitimes Research: Broadband Internet user bases in ASEAN countries growing fast
Benson Wu, DIGITIMES Research, Taipei [Wednesday 24 September 2014]

All of the 10 ASEAN (Association of Southeast Asian Nations) countries except Laos and Myanmar have started nationwide fixed-line broadband Internet-access networks and the total number of subscribers increased to 19.9 million at the end of 2013, with a 2003-2013 CAGR ate of 40%, double the global average for the same period, according to Digitimes Research.

Despite the fast growth, broadband Internet user densities (divided by population) in all ASEAN countries except Singapore are lower than the global average of 37% and download speeds in 70% of ASEAN countries are below 6Mbps, Digitimes Research indicated.

High charge to income ratios and little differentiation in services have negatively impacted development of broadband Internet services in ASEAN countries. In 2013, ratios of service charge rates to gross national income in ASEAN countries except Singapore stood at 5-15%, much higher than below 2% in most developed countries. In addition, value-added services for market differentiation are generally not available.

In the future, population growth, high economic growth and growing OTT (over the top) demand are expected to support continued development of broadband access in ASEAN countries, but substitution by LTE mobile communications is likely to bring negative impact on the development.

This article is an excerpt from a Digitimes Research Special Report (Wireless broadband developments in Southeast Asia markets). Visit our latest Special reports.

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