Global broadband prices creep up

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Australian operator OptusNet Cable has become the world's sixth most expensive cable operator as the average price of entry level global DSL, cable and fibre subscriptions increased slightly during the last quarter of 2007..

The latest data from Point Topic reveals an increase in global DSL entry level prices from AU$26.15 to AU$26.27, mainly influenced by the pricing policy of Telekom Austria.

The company raised the price of one of its services, AonSpeed Start, by 30 per cent from AU$24.82 to AU$32.28 and increased the downstream speed from 500Kbps to 1Mbps.

By the end of the year the Austrian operator offered the fourth most expensive entry level prices for DSL access after western European incumbents Telefónica, Deutsche Telekom and Belgacom and BT.

The average global price for cable services increased from AU$29.12 to AU$29.36 due to the activity of Australian operator OptusNet Cable, which has become the sixth most expensive cable operator worldwide.

Average entry level prices for fibre services increased due to the changes made by Sweden-based Svenska Bostader.

The telco made a slight adjustment to its entry level service in the end of 2007 from AU$32.80 to AU$32.91, raising the global average from AU$31.14 to AU$31.16.

"The increases in average prices are significant, but we are not yet ready to call it a trend," said Fiona Vanier, research analyst at Point Topic.

"However, without external factors coming in to play, it is difficult to see room for further price cuts in the next two to three quarters."
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