One fifth of US homes on broadband

Twenty per cent of US households now have broadband connections, according to a new report from researcher In-Stat/MDR.

This compares with 12 per cent of UK homes - or 3.2 million connections - according to figures from UK communications regulator Ofcom.

The In-Stat/MDR report said that US broadband has hit the mainstream with close to 27 million US businesses and residential subscribers at the end of 2003.

Home entertainment, networking, Voice over IP and online gaming are all seeing growth.

"This starts a cycle where growth in both broadband and applications feed the growth of each other," said Daryl Schoolar, senior analyst at In-Stat/MDR, in a statement.

"This applies equally to the business subscriber. Broadband growth should also improve service provider operations as well."

In the US, cable modems provide the majority of the broadband access, with digital subscriber line (DSL) in second place.

Broadband over Power Line is starting to emerge, while Fibre to the Home has been hindered by cost and regulatory concerns. Fixed wireless broadband is the third most common broadband access technology in the US.

At the end of February there were 1.82 million DSL connections and 1.36 million cable modem connections in the UK, according to Ofcom.

DSL is available to 85 per cent of UK homes and businesses. But, unlike the US, broadband-enabled cable in the UK passes only 45 per cent of UK homes - or 11 million houses.

The majority of home users - 73 per cent - are on narrowband, with 40 per cent on unmetered and 27 per cent on metered narrowband. Seven per cent were unsure what their connection was.

Ofcom said there are 2,354 DSL-enabled exchanges, but BT advises that three per cent of customers within an enabled exchange area are not able to receive broadband services due to technical limitations.