Australian Broadband Users in Data Allowance Bonanza

Free Research

SYDNEY, 10 January 2011: Sydney-based telecommunications analyst firm Market Clarity has found that Australian fixed broadband subscribers receive far more in download allowances than they use.

Key Points:

• The average Australian residential fixed broadband subscriber now enjoys close to 45 GB of downloads included in their broadband plan.

• Usage, while continuing to rise strongly, has lagged plan allowances.

• ISPs have maintained their price points, delivering much better value to customers while ensuring that they’re less likely to “max out” their plans.

The study, Broadband Download Behaviour in Australia – The Disconnect Between Allowance and Usage, compared Market Clarity’s model of user-plan distributions to data published by the Australian Bureau of Statistics.

Our surprising finding is that the average Australian fixed broadband subscriber consumes around 15% of his or her broadband allowance.

“Even before the ‘Terabyte wars’ began, Australian broadband users were already the lucky beneficiaries of growing download allowances,” said Market Clarity’s CEO, Shara Evans. “That trend, most apparent since around 2008, led us to wonder whether there might not be a gap between the allowances subscribers receive when buying broadband plans, and their consumption of broadband data.”

“Since 2006, the average residential fixed broadband consumption has more than doubled, from 2.4 GB per user per month to around 7 GB per user per month,” Evans said. “However, download allowances by June 2010 – before Terabyte plans emerged – were already averaging 45 GB per residential subscriber.”

The good news for subscribers is that their allowances have swelled, but in general, the price of services has not changed. ISPs have maintained approximately the same price points as they did in 2006.

“This means that subscribers have plans with much more headroom, and much less risk of exceeding their allowances, but without paying any more,” Evans said.

About Market Clarity

Market Clarity is an award-winning telecommunications analyst firm founded in January 2006 by leading Australian telecommunications researcher and strategic consultant, Shara Evans. The firm covers all aspects of telecommunications, including traditional and converged services and technologies. Market Clarity’s extensive databases of technical and market information cover a wide range of facts and figures on the technologies and services that are shaping the Australian telecommunications market. Market Clarity’s GIS tools and research databases enable the correlation and presentation of highly complex information in an intuitive geographic (map) format.

Market Clarity’s insights are derived from a deep understanding of technology, coupled with comprehensive research, which examines each segment of a service’s value chain as well as underlying population demographics. By leveraging its engineering knowledge with an ongoing primary research program, Market Clarity provides insight, intelligence and advice on all aspects of the Australian telecommunications market including traditional, converged and future technologies. Market Clarity’s unparalleled market knowledge and research databases are brought to all consulting engagements.

Market Clarity’s contribution to telecommunications in Australia was recognised by the telecommunications industry’s peak body, the Communications Alliance, which awarded the company its 2007 ACOMMS award for Services to the Industry – Professional Services.

Market Clarity is headquartered in Sydney, Australia.