Household Data Consumption Still Accelerating, OpenVault Says
Household broadband usage growth continues to grow at an annual rate of more than 30%, but Usage Based Billing can enable cable telecommunications providers to reduce associated strain on their networks and generate incremental revenues, according to year-over-year comparisons of Q2 2018 data by OpenVault, a leading provider of industry analytics and technology solutions for broadband operators.
According to OpenVault, average usage per household as of June 30, 2018 was 226.4GB, up slightly from Q1 2018. When compared with results from June 30, 2017, OpenVault data showed:
- Year over year average usage growth of 31.3%, from 172.4GB/HH to 226.4GB/HH;
- Year over year median usage growth of 37.4%, from 88GB/HH to more than 116.4GB/HH; and
- Year over year growth in Power Users (i.e. HH using >1TB) of more than 100%, from 1.2% of HHs to 2.5%.
In addition, OpenVault’s analysis has identified usage-based billing as a factor in curbing usage growth and strain on networks, opening the door to significant operator revenue growth while potentially enabling avoidance of capex required to keep up with demand. By comparing operators offering usage-based billing (UBB) with those that offer flat-rate (Non-UBB) pricing, OpenVault found that: But ISPs with usage-based billing seeing slower rate of growth.
- 12.2% higher average usage per HH for Non-UBB operators (241.9GB/HH) in June 2018, versus 215.6GB for UBB operators;
- 34% greater year-over-year usage growth by Non-UBB customers (36.6%), versus 27.3% for UBB customers, for the 12 months ended June 30, 2018; and
- 55% greater Power User usage exceeding 1TB by Non-UBB customers (3.1%), versus 2.0% for UBB customers.