New research published today by Oftel suggests that 63% of small
and medium sized UK businesses are now on-line, an increase from
55% in May 2001. In addition, 36% of all SMEs use more than one
fixed telecoms supplier and one in three SMEs use an unmetered
internet access package. Over one third of medium sized businesses
(51-250 employees) are now using leased lines.
The figures from the UK telecoms watchdog follow a less positive
report by GartnerG2, a business research and advisory service, on
the consumer internet access market. According to GartnerG2, the
so-called “broadband revolution” in Europe is on hold.
Based on a survey conducted across France, Germany and the UK,
it said that consumers are not prepared to pay a premium for
broadband. Unless prices come down dramatically, GartnerG2 predicts
that only 10% of households in France, Germany and the UK will have
broadband internet access by 2005.
The research firm identifies a major problem as being the
absence of a “must have” application to convince the majority of
consumers they need broadband, let alone pay for content. According
to the survey, fewer than 10% of internet households think
broadband currently provides good value.