The global broadband market remained healthy in 2010 despite the economic downturn, according to a new report from ABI Research, which adds that home networking is becoming essential as more people buy laptops, notebooks and PCs.

At the same time, the demand for high-speed broadband is increasing with the popularity of services such as IPTV and online gaming, the report adds.  ABI Research estimates that worldwide revenues from fixed broadband services reached US$ 164bn in 2009, up from US$ 145bn in 2008. 

“The increasing demand for broadband helps increase subscriber numbers as well as service revenue," said Jason Blackwell, Practice Director at ABI Research.  "Global fixed broadband service revenue is expected to exceed US$ 210bn in 2014.”

Among the broadband technologies available, DSL still maintains the largest market share, followed by cable and fibre broadband.  Global service revenues for DSL broadband reached nearly US$ 100bn in 2009, according to the report, and will go on to reach just over US$ 103bn in 20134, with a compound annual growth rate (CAGR) of 0.6% between 2009 and 2014.

Recently, many operators are found to be improving DSL broadband by deploying VDSL, due mainly to it being cheaper to deploy than fibre: “The higher speed of VDSL broadband helps operators to provide more services such as video-on-demand and interactive gaming," said Khin Sandi Lynn, Research Associate at ABI Research.  "That can help to generate more revenue for operators.  Some operators currently offering VDSL are Telus Canada, O2 Czech, OTE Greece and Tele2 Netherlands.”

Fibre broadband service revenues meanwhile are described as increasing fast, with a forecast CAGR of 23.3% between 2009 and 2014.  Worldwide revenues for fibre-based broadband services are predicted to reach US$ 24.4bn in 2010.