Broadband connectivity which had robust growth in 2015, may be reaching a saturation point in the United States, according to analyst group MoffettNathanson. At the end of 2013, there were less than 6 million DSL customers in the U.S. with download speeds of 3 Mbps or less, and that number has most likely dwindled in the interim. With fewer and fewer legacy DSL subscribers left to upgrade, cable operators may have to make inroads into the FTTN market to maintain growth.
Other analysts, however, remain bullish on the cable industry’s broadband expansion, noting that their penetration forecasts have been exceeded, which should result in an acceleration in future subscriber growth. Said one: “We saw this play out in 3Q15 with cable companies reporting their best third quarter broadband adds in four years, with growth accelerating and beating consensus expectations.”