Monday, 01 March 2021 21:54

Forecast: Fibre segment to drive Australia’s fixed broadband service revenue over next five years

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The total fixed communications services revenue in Australia is expected to increase at a sluggish compound annual growth rate (CAGR) of 0.7% from US$9.9bn in 2020 to US$10.2bn in 2025, supported by the growth in fixed broadband segment, according to data and analytics firm GlobalData.

An analysis of GlobalData’s Australia Fixed Communication Model reveals that "the fixed voice service revenue is expected to decline at a CAGR of 5.5% over 2020-2025, due to the drop in circuit switched subscriptions and fixed voice average revenue per user (ARPU) levels."

Fixed broadband revenue, on the other hand, is expected to grow at a CAGR of 4.5% over 2020-2025, supported by growth in fibre-to-the-home (FTTH) and fixed wireless subscriptions.

Aasif Iqbal, Telecom Analyst at GlobalData, says: “fibre lines is expected to remain the dominant fixed broadband technology through 2025, supported by the rising demand for high-speed Internet services and the government's focus on aggressive fibre to the x (FTTx) network expansions nationwide under the National Broadband Network (NBN) project.

Mr Iqbal concludes: “Telstra will lead the fixed voice market through 2025, supported by its strong foothold in both circuit-switched and voice-over Internet protocol (VoIP) services segments while its leadership in the fixed-broadband segment is supported by its strong fibre network coverage and promotional multi-play plans.”

 


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Alex Zaharov-Reutt

Alex Zaharov-Reutt is iTWire's Technology Editor is one of Australia’s best-known technology journalists and consumer tech experts, Alex has appeared in his capacity as technology expert on all of Australia’s free-to-air and pay TV networks on all the major news and current affairs programs, on commercial and public radio, and technology, lifestyle and reality TV shows. Visit Alex at Twitter here.

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