The average cost of fiber-fed Internet services has dropped below that of cable for the first time, according to new data from Point Topic, a firm that produces reports and data for the DSL Forum.
The study tabulates global data through Sept. 30, 2006 (see chart), and notes that FTTx tariffs dipped 12 percent to $28.1, 3 percent lower than the average monthly rental for cable modem services.
While pricing on FTTx services appears to be in a relative freefall, the average monthly nut for DSL and cable modem services has dipped just 2.5 percent and 2.1 percent, respectively, according to Point Topic.
“If the decline continues, it is very likely that FTTx will overtake cable modems to [become] one of the main players in high-speed broadband services in the future,” said Point Topic Analyst Vince Chook, in a statement.
DSL pricing, meanwhile, averaged just under $25 per month, $4.50 less than the average for cable modem services.
“DSL rentals had been undergoing major price reductions since the beginning of 2006. But with such a small drop over the quarter, cable modem is certainly losing its price competitiveness,” Chook warns.