Dutch broadband penetration grows to 90 percent in Q3 2014

Houten, The Netherlands, 19 November 2014 – The share of Dutch households with broadband connections reached the milestone of 90 percent during the third quarter of 2014, according to the latest research by Telecompaper. The number of consumer broadband connections grew by 0.5 percent in the quarter to 6.86 million on 30 September 2014. Cable accounted for almost half the connections and grew by 0.9 percent in Q3 to almost 3.2 million broadband subscribers. The number of DSL lines decreased over the same period by 1.0 percent to 2.95 million. Fibre continued to grow faster than the market average, reaching a market share of 10.5 percent at the end of the quarter.

KPN, including its XS4ALL and Telfort brands, is still the largest broadband provider in the Netherlands with a 39.8 percent share of subscribers at the end of September 2014, down slightly compared with the previous quarter. This is set to change as its two largest rivals, Ziggo and UPC, complete their merger. According to Telecompaper data, Ziggo had 28.1 percent of broadband connections at the end of Q3, and UPC held 16.1 percent of the market, giving them a combined share of over 44 percent.

Despite the increasingly saturated market, the number of Dutch broadband connections is expected to grow in 2014 by 2.3 percent. “Continued growth in cable and fibre will offset the steady decrease in DSL users,” said Telecompaper Senior Research Analyst Kamiel Albrecht. “We expect slightly lower growth next year, as the number of non-broadband households is diminishing, leaving less room for growth.”

The above figures come from Telecompaper’s latest quarterly report ‘Dutch Broadband Q3 2014’. The report provides detailed data on broadband connections, revenues and market shares for the main providers and network technologies in the Netherlands. It also looks at the key market trends affecting broadband growth. Telecompaper estimates the Dutch consumer broadband market was worth over EUR 500 million in retail revenue in the third quarter. Market revenues are expected to grow at a CAGR of 1.5 percent over the five-year period 2014 to 2018.