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Swedish Fixed Line Broadband Threatened by Increasing Popularity of Mobile Broadband

11 August 2009

Sweden features among one of the top countries in mobile broadband usage, especially because of highly competitive prices offered by mobile broadband companies as compared to fixed lines. The increasing share of mobile broadband usage in the market strongly indicates a complete replacement of fixed lines by mobile broadband in the near future.

It has been suggested that the monthly consumption of data on mobile broadband has doubled last year. Swedish Post and Telecom Agency, clearly making a case for extensive usage of mobile broadband in Sweden, reported that there has been a consistent increase in data traffic on Sweden’s internet networks to an extent of almost four times on a year-to-year basis.

According to a senior partner at Rewheel, a telecoms consultancy in Helsinki, the doubling of data consumption in 2008 reasserts the market capacity to make a switch from fixed lines to mobile broadband. However, service providers in an attempt to grab market share from fixed lines, often run into great losses.

On that point, some experts suggest that if the providers want to make substantial benefits, they will have to work upon a new pricing scheme before the usage is expanded nationwide. Either way, since the growth of mobile broadband uptake suggests that more people will switch from fixed lines to mobile broadband, its future seems to be bright in Sweden.

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