A new study revealed that most broadband users switch to a new ISP because they are looking for more speed. The study noted that of the 9% of domestic broadband households that switched ISPs over the past year, more than a third did so with the intent to gain more broadband speed. What makes this so surprising is that 43% of broadband customers are completely in the dark as to what speed they currently get with their broadband service.
This plays into the hands of the ISPs: since they don’t compete on price, the only way to attract more customers is to persuade users to upgrade their services by switching providers. “Very high speed services, including gigabit-speed offerings, will be the next stage of competition among operators,” according to the study. “Though few consumers today actually need that level of throughput, consumers are willing to pay to ensure that they do not encounter slowdowns or other performance problems.”