In-Stat: Cable modem subs closing in on 30 M
Cable's upgrade investments for two-way broadband services are starting to pay dividends. Global cable modem subscriber levels reached 27 million by mid-year, and will extend to 34 million by the end of 2003, said research firm In-Stat/MDR.
North America led all regions with 14.6 million subs, followed by the Asia-Pacific (6.6 million) and Europe (3.7 million).
In-Stat, a sister company to CED magazine, estimates that there will be 68 million cable modem subs worldwide by 2007.
MSOs "are particularly enthusiastic about cable modem service because of [its] attractive operating margins," said In-Stat Senior Analyst Mike Paxton, in a release. "With the cost of cable modem equipment rapidly decreasing, many North American cable operators are enjoying monthly operating margins that range from 50 percent to 100 percent."
Regarding the bottom line, MSOs collected $11 billion in cable modem service revenues in 2002, an amount that will jump to $15 billion this year, In-Stat said.
Despite cable's ability to generate consumer broadband customers, it's having a tougher go in its pursuit of the telco hold on commercial subscribers.