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March 7, 2003

News Factor: DSL Penetrates the Business Market - Slowly


My spin Does this mean everyone else is using dial up? (or T1 lines)?

The article reads: "There are several reasons for DSL's disappointing performance in the business market, says Matthew Davis, an analyst with The Yankee Group. One major hindrance has been the plummeting price of T-1 lines. T-1s have become so inexpensive, Davis says, that in many cases there isn't enough of a pricing difference between a TI and a business-class DSL for a customer to justify switching to DSL.

A second hurdle is cable burrowing its way into the business broadband market."

News Clip: Many early providers of DSL disappeared during the telecom meltdown, but the technology has continued to evolve and grow in popularity. Double-digit subscriber growth is still the norm for most U.S. providers. But while overall DSL numbers have exceeded analyst expectations, DSL adoption by business users has been disappointing(full story)

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