Universal Broadband not enough on its own to drive growth

Plans to provide broadband to every household in the UK will not be enough to drive consumption, a leading organisation claims.

According to Analsys Mason Research Telecoms, internet service providers must not simply expect that universal broadband will ensure everyone engages with the technology.

Tony Lavendar, managing partner at the firm, made this statement while speaking at the Intellect Annual Regent Conference 2009.

Mr Lavendar said: "The fact that everyone has broadband doesn't necessarily drive consumption - you've got to have something to resolve it."

He explained that the monetisation of next generation broadband is in the applications which are carried between the user and each elements of the network.

This includes videos and other content which will be "the part of the picture that is increasingly going to drive the public".

According to research conducted by telecoms regulator Ofcom, actual broadband speeds often reach on average 49 per cent of the rates advertised in supplier promotions.