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US Ranks 23rd in Broadband Development

South Korea, Netherlands, Hong Kong Take Top Spots in Strategy Analytics' Broadband Composite Index (BCI)

Boston, MA – July 20, 2010 – The United States still trails much of the world in broadband development, ranking 23rd on the list of the top 57 countries, according to rankings released this week by analyst firm Strategy Analytics. South Korea holds on to the title of the world’s most advanced broadband market. Hong Kong, the Netherlands, Lithuania, and Japan round out the top five slots.

The rankings are the result of a new broadband measurement tool just launched by Strategy Analytics. The "Broadband Composite Index" (BCI) examines and scores the broadband development of fifty-seven individual countries in five categories, including household penetration, speed, affordability, value for money, and urbanicity. The resulting score provides a more balanced and robust view of broadband development, according to the firm.

"The traditional single metric approach of looking at broadband is becoming less relevant," said Ben Piper, Director of the Strategy Analytics Multiplay Market Dynamics service and author of the report. "We feel confident that our multifactor index is a superior indicator of a country's relative broadband advancement."

The United States, which placed 23rd on the list, trailed the rankings in a number of the five index components. Piper says competition—or the lack of it—is to blame for the high prices and low average speeds in the US.

"With essentially zero intra-platform competition, US service providers have little incentive to innovate offerings or differentiate beyond par," said Piper.

In addition to defining and exploring each of the five metrics in detail, the report, Global Broadband Scorecard: 2010 Broadband Composite Index (BCI) Rankings, calculates and ranks the BCI for 57 countries, and provides associated analysis of the drivers behind the rankings.

Selected Broadband Composite Index (BCI) Rankings, 2010
Rank Country BCI
1 South Korea 9.14
2 Hong Kong 7.58
3 Netherlands 7.53
4 Lithuania 7.52
5 Japan 7.42
9 Singapore 6.67
12 France 6.45
15 Germany 6.38
22 United Kingdom 5.97
23 United States 5.96
Source:Strategy Analytics, Inc

Analyst Blogs:
http://blogs.strategyanalytics.com/dcp/
www.multiplayblog.com

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Ben Piper
Phone number: +1 617 614 0723
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