PARIS – The number of broadcast subscribers in the Organization for Economic Co-operation and Development (OECD) reached 235 million at December 2007, an increase of 18% from 200 million subscribers a year earlier, according to a report on broadband penetration released Monday. The growth means that 20 of 100 inhabitants subscribed to broadband in December 2007 versus 16.9 of 100 a year earlier.
The report notes that Denmark, the Netherlands, Iceland, Norway, Switzerland, Finland, Korea and Sweden lead the OECD with broadband penetration well above the OECD average, each surpassing the threshold of 30 subscribers per 100 inhabitants.
The strongest per-capita subscriber growth over the year, according to the OECD, was in Luxembourg, Germany and Ireland. Each country added more than 5 subscribers per 100 inhabitants during the past year. On average, the OECD area increased 3 subscribers per 100 inhabitants over the year.
The upgrade to fibre-based connections continues in the OECD, noted the report. Fibre-to-the-home (FTTH) and Fibre-to-the-building (FTTB) subscriptions comprise 8% of all broadband connections in the OECD. Fibre connections account for 40% of all Japanese broadband subscriptions and 34% in Korea.
The United States has the largest broadband market in the OECD with 69.9 million subscribers. U.S. broadband subscribers represent 30% of all broadband connections in the OECD.
On Monday, the OECD released a second report written by Taylor Reynolds and Sacha Wunsch-Vincent; this one on the evolution of broadband since 2004 and the national broadband plans of all OECD member countries.
The report is aimed at helping the OECD meet its February 2004 recommendation that calls on member countries to implement a set of policy principles to assist the expansion of broadband markets, promote efficient and innovative supply arrangements, and encourage effective use of broadband services.
One area that needs attention, according to Broadband Growth and Policies in OECD Countries: Ministerial Background Report, is that there are still substantial differences in broadband access and use among OECD countries. And “debates over whether Internet Service Providers should be able to prioritize or limit certain content and data over their networks (commonly referred to as ‘network neutrality’ debates) are spreading across OECD countries and even across platforms (fixed to mobile),” points out the report.
Moving forward, the report states that governments need to promote competition, by encouraging new networks, particularly upgrades to fibre-optic lines, and by giving consumers more choices.
It also cautions that governments providing money to fund broadband rollouts should avoid creating new monopolies, and that any new infrastructure built using government funds should be open access – meaning that access to that network is provided on non-discriminatory terms to other market participants.
The OECD also encourages governments to move beyond pilot projects for pressing social issues in areas such as health, transport and the environment. It suggests that the strengthening of broadband research networks (grids), their use for collaborative research and related international cooperation be a policy priority.
Ministers will address these policy issues at the OECD Ministerial Meeting on the Future of the Internet Economy on June 17-18 in Seoul, South Korea.
