Business broadband tariff benchmarks – Q4 2013

Global benchmarks for business broadband services

This free report provides global and regional benchmarks for business broadband tariffs and the average downstream bandwidth offered by copper, cable and fibre services in Q4 2013.

Global business broadband tariffs in Q4 2013

In Q4 2013, the average monthly charge for business broadband services was $213. The average bandwidth provided by business services was 35 Mbps. This means that the average global cost per megabit was $6.04 at the end of December 2013.

As in the residential market, copper services provide the poorest value for money given the speeds available. For all services, business users pay much more than residential users. This reflects the higher usage and average bandwidths that businesses need as well the service level agreements and increased customer service costs generally associated with business services.

This analysis excludes the highest cost and highest speed business fibre services, offered by companies such as China Telecom in China and Gigaclear in the UK. These services cost in excess of $10,000 (PPP) a month and have been excluded to avoid skewing the results – but higher speed fibre services are available for businesses at a significantly higher cost.

Figure 1: Average cost per megabit for business broadband services in Q4 2013. Source – Point Topic.

Regional tariffs and bandwidths

The lowest priced business tariffs are offered in Europe and the Americas. Asia-Pacific offers the fastest broadband services to businesses, but at a higher cost than in Europe and the Americas.

Western Europe and Asia-Pacific continue to be ahead of the rest of the world in terms of business broadband speeds. Again, this is due to the introduction of very high-speed dedicated business services, mostly reported for the United Kingdom and Japan.

South and East Asia and Middle East and Africa sell the most expensive broadband services to businesses.

 

Figure 2: Business broadband tariffs by region in Q4 2013. Source – Point Topic.

Find out more

The full version of this report and access to Point Topic’s business tariff database is available to subscribers of the Broadband Operators & Tariffs service. To find out more, please telephone +44 (0)20 3301 3303 or e-mail oliver.johnson@point-topic.com.