Commentary

Broadband Internet Has Record Quarter

Broadband Internet Has Record Quarter

According to the recent release from the Leichtman Research Group, the twenty largest cable and DSL providers in the US - representing about 95% of the market - achieved record net additions in the third quarter of 2004.

LRG found that combined net additions for the quarter totaled over 2.3 million subscribers - a total that slightly exceeded the previous record set in the first quarter of 2004. The top broadband providers now account for over 30.9 million high-speed Internet subscribers, with cable having nearly 18.8 million broadband subscribers, and DSL having close to 12.2 million subscribers.

Other key findings include:

  • The top cable providers added 1.28 million subscribers, representing 55% of the net broadband additions for the quarter versus DSL
  • rebounding from last quarter when DSL, for the first quarter ever, had a greater share of net additions than cable
  • The top cable broadband providers retain a 6.6 million subscriber advantage over DSL and have a 61% share of the total market versus DSL
  • In the past year, from the end of third quarter of 2003 to the end of the third quarter of 2004, cable and DSL added 8.3 million net subscribers - a record for any one year period

ProviderSubscribers at End of Q3 2004Net Adds in Q3 2004
Cable
Comcast6,554,000549,000
Time Warner3,716,000168,000
Cox2,430,555184,446
Charter1,819,900108,500
Adelphia**1,253,40785,605
Cablevision1,259,02479,984
Bright House Networks*700,00025,000
Mediacom350,00023,000
Insight311,50037,600
RCN*215,0005,000
Cable One165,60013,300
Total Top Cable18,774,9861,279,435
DSL
SBC4,679,000402,000
Verizon3,253,000309,000
Bell South1,872,000134,000
Qwest956,000103,000
Covad524,90010,555
Sprint432,00049,000
ALLTEL216,88522,351
Cincinnati Bell123,0006,000
Century Tel120,86912,049
Total Top DSL12,177,6541,047,955
Total Broadband30,952,6402,327,390

Sources: The Companies and Leichtman Research Group, Inc.

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