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19/08/2004
Internet connections peak in March
The latest monthly update of the government survey of Internet Service Providers (ISPs) has revealed that the index peaked in March 2004 and since then has decreased slightly, by 0.5%, between May and June 2004.
However, compared with June 2003 there was a 6.7% increase in the number of active subscriptions to the Internet by June 2004.
The market share for permanent connections continued to increase in June and now stands at 29.5% compared with 16.1% a year before. The index of dial-up connections, after a peak of 114.5 in February 2002, continues to decrease.
Analysts have attributed the decrease in the overall level of connections reflecting a general downturn across the industry, in part to the seasonal trend of less people connecting to the Internet during the summer months.
Dial-up Internet connections continued to decrease, with a year on year decrease to June 2004 of 10.3%. The decrease from May to June 2004 was 2.8%. There are now fewer dial-up subscriptions than when the index began in January 2001. The decrease in the number of dial-up connections more than offset the increase in permanent connections, resulting in a decline in the overall index.
Permanent Internet connections continued to increase their market share and made up 29.5% of all subscriptions in June 2004 up from 27.8% in May 2004. There was a year on year increase of 95.8% for permanent connections with a monthly increase in June of 5.4%.
The increase in the market share for permanent connections reflects the continued marketing drive, competitive pricing and the increase in availability of broadband services. However, dial-up connections still dominate the overall number of subscriptions despite decreasing to 70.5% of all subscriptions in June 2004.
The UK Government has pledged to become "the best environment in the world to do e-commerce", recognising that e-commerce has the potential to lead to growth in trade, increase markets, improve efficiency and effectiveness and transform business processes.
As part of this strategy the Monthly Survey of Internet Service Providers (ISPs) established in January 2001, surveys a panel of ISPs, collecting data on the number of active subscriptions, type of connections to the Internet and access plan used.
The index first published in December 2001, first collated from returns October 2001, is not seasonally adjusted.
(SP)
However, compared with June 2003 there was a 6.7% increase in the number of active subscriptions to the Internet by June 2004.
The market share for permanent connections continued to increase in June and now stands at 29.5% compared with 16.1% a year before. The index of dial-up connections, after a peak of 114.5 in February 2002, continues to decrease.
Analysts have attributed the decrease in the overall level of connections reflecting a general downturn across the industry, in part to the seasonal trend of less people connecting to the Internet during the summer months.
Dial-up Internet connections continued to decrease, with a year on year decrease to June 2004 of 10.3%. The decrease from May to June 2004 was 2.8%. There are now fewer dial-up subscriptions than when the index began in January 2001. The decrease in the number of dial-up connections more than offset the increase in permanent connections, resulting in a decline in the overall index.
Permanent Internet connections continued to increase their market share and made up 29.5% of all subscriptions in June 2004 up from 27.8% in May 2004. There was a year on year increase of 95.8% for permanent connections with a monthly increase in June of 5.4%.
The increase in the market share for permanent connections reflects the continued marketing drive, competitive pricing and the increase in availability of broadband services. However, dial-up connections still dominate the overall number of subscriptions despite decreasing to 70.5% of all subscriptions in June 2004.
The UK Government has pledged to become "the best environment in the world to do e-commerce", recognising that e-commerce has the potential to lead to growth in trade, increase markets, improve efficiency and effectiveness and transform business processes.
As part of this strategy the Monthly Survey of Internet Service Providers (ISPs) established in January 2001, surveys a panel of ISPs, collecting data on the number of active subscriptions, type of connections to the Internet and access plan used.
The index first published in December 2001, first collated from returns October 2001, is not seasonally adjusted.
(SP)
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