Tiscali 2003 Annual Report Download - page 12

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13
REPORT ON OPERATIONS
13
Market background
The residential Internet market
In 2003, the demand for broadband services rose significantly in the consumer segment of the European Internet market, out-
stripping growth in the number of dial-up connections, and consolidating the trend established in the second half of 2002.
In western Europe, the number of active users rose from around 66 million at end-2002 to over 71 million at end-2003. Of these,
in excess of 18 million have broadband connections, a rise of 72% on the previous year.
The broadband segment grew in line with expectations in 2003, and is expected to be the main growth driver on the Internet mar-
ket over the next few years. Forecasts indicate that 30% of Europe’s population will be using broadband services in 2008, com-
pared to an average of just over 10% in 2003.
0
10
20
30
40
50
60
2002 2003
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
Dial-up Broadband
mln
Internet connections in western Europe
Source: IDC, 2004
20
40
60
80
100
2002 2003 2004 2005 2006 2007 2008
mln
Total online
households
Total broadband
households
Source: Forrester