Friday, July 29, 2011

Broadband expensive in Spain

Broadband is 37% more expensive in Spain than in the EU

In Spain you pay 37.5% more than the European average by the connection to broadband Internet, according to the report ( PDF ) presented by the Commission six months of the Telecommunications Market ( CMT ), which analyzes the price of broadband in the European Union.

The study of the CMT includes first promotions and discounts made by companies, a demand for Spanish operators, who felt that the difference was in that aspect. The report has given no reason, and the distance between Spain and Europe in regard to rates is still more than evident.

According to CMT, the average price in Spain by the packet voice and broadband contracts (2 Mb to 10 Mb, the range in which they move 54.7% of lines) is 33 euros per line per month , as opposed to 24 euros for half of the entire European Union , ie a spread of 37.5%.

All prices end of the study, which collects bids until December 2010, are adjusted for purchasing power parity (PPP) and always include the cost of line rental.

Other speeds

At higher speeds (10 to 30 Mb) the best in Spain was 34.6 euros , 13.44% higher than the European average of 30.5 euros. This speed range is clearly growing, and now represents 35.2% of the total package. Worst results were seen in very high speeds (30 megabytes or more) as the best found in Spain was 42.3 euros, 28.6% more than the EU average, which is 32.9 euros PPP.

In the lower range (up to 2 Mb / s, not included), in Spain represent only 8.9% of leased lines, it also has higher figures than Europe. For a base package is paid a minimum of 35 euros for the 29 half of the European Union, which represents a differential of 20.7 %.

Telefonica improve their figures

Telefonica has cut dramatically the price difference compared to other European incumbents. The best deal without promoting the Spanish company in June 2010 showed a spread of 71.7%, while in December 2010 has been moved to a 35.69%. However, the overall market, the price differential no promotions at the end of 2010 was 37.55%.

In the range of average speed for packaged deals and promotions including the spread between Telefonica and the rest of incumbents was 36.13% , while for all the operators in the differential was 37.5%.

Increased competition in the sector has led to 96.7% of the lines analyzed with broadband and voice have taken out a bid package. Therefore, the CMT has the offers with the best price for each range, including packages that include broadband, voice and television.

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