Supported by the growing fixed broadband service adoption, particularly in the emerging markets of the region, fixed communications service revenue in the Asia-Pacific (APAC) region is set to increase at a compound annual growth rate (CAGR) of 1.7% to reach USD 406.2bn in 2026.
The growth in the APAC fixed broadband market will be led by fibre broadband segment, which will see continued growth in the region, according to a GlobalData report.
Fibre-optic access lines will account for a share of about 61% of the total fixed access lines in the developed APAC region by 2026 while its share in the total fixed lines in the emerging APAC markets will be at a relatively higher 80%.
Rising demand for high-speed internet services and competitively priced fibre broadband plans from operators with benefits like unlimited internet and access to major SVoD platforms will drive fibre broadband service adoption in the region.
APAC is a moderately developed region in terms of fixed broadband adoption, with fixed broadband account penetration of the population reaching 18% at the year-end 2021.
GlobalData’s APAC Fixed Communications Forecast Pack revealed that by 2026, fixed broadband account penetration in the region is expected to reach 21%, mainly driven by the ongoing broadband network expansions and service adoption in emerging countries like India, Indonesia, the Philippines, and Thailand, where governments are infusing investments in fixed broadband network infrastructure development plans.
China leads the overall APAC fixed broadband services market, with 98% of its broadband subscriptions on fibre optic lines by the end of 2021. The government’s Dual Gigabit Network Coordinated Development Action Plan (2021-2023) aims to expand fibre-optic networks to over 200 million households by the end of 2023.