The IoT is a competitive landscape. But it is also an opportunity to up the ante on price, product, place, and promotion mix. Whoever gives the best connected experience wins the race. Of course, consumers will look for value for money, which is a subjective description. The advantage now is knowledge of the market and their pain points to use these to make better offers.
What’s making consumers look? Let’s glance at global internet costs.
From a standard 10 Mbps, unlimited, and cable or dsl offering, Bermuda posted the most expensive cost at $135.73, more than double of what the US and Canada are offering. US offers internet connection at $52.59 while Canada is at $44.31.
In 2013, US was considered having the most expensive broadband package compared to UK, France and South Korea. In the article, few providers are making the costs higher than neighbouring countries. Regulations in the US favour varied infrastructure providers to create their own broadband services instead of maintaining industry capable providers to do so. This means any company whether focused on internet provision or not, are more capable of building their own infrastructure compared to those smaller providers. Hence, the monopoly and price increase.
US still has the highest broadband subscriptions compared to the rest of the world at 28%.
Nicaragua has the highest cost at $63.30 while Mexico has the lowest at $20.91. Mexico has a 13% reported fibre connection in the country. It is also at number 7 position on global fixed broadband subscriptions with the US leading the pack.
Venezuela has the cheapest internet costs at just $4.02 and Bolivia ranked the most expensive at $79.13. Although Venezuela has the cheapest cost, its broadband penetration rate is lower than regional average. To rectify, it launched a national broadband project to provide nationally. It just completed 5,700 kilometres of fibre cabling.
New Zealand tops at $58.10 while Australia has the cheapest but not far from New Zealand’s at $51.61. Despite NBN rollout, New Zealand beat Australia in internet speed, with a 30% advantage. New Zealand has 116 service providers with 1767 packages to choose from. The competition is now about providing ultra-fast, cheap broadband with plenty of choices that promises unlimited and no data throttling.
In Europe, Iceland is considered most expensive at $63.47 while Ukraine has the cheapest at $3.31. The UK has posted $28.53 and France at $28.98, both countries are tied at 4th place in fixed broadband market. There are 637 Million users in Europe with a 76% penetration rate. Europe dominated the internet penetration rate with majority of countries coming from Europe, while one come from the Americas, and the rest from Asia.
In Asia, Singapore is placed in South East Asia as a state with a supportive regulatory environment paving way for innovation. In Korea, there is a focus on making smarter digital life experiences. On the other hand, it is no surprise that Japan is a part of the technology hub with the Tokyo Olympics in 2020 as an automation project. It is an exciting time in Asia with national broadband a key focus in many countries. Vietnam has the cheapest rate at $10.67 while Myanmar is far off at $300 and is probably the highest in the world.
Whether high or low, the internet penetration is bound to increase as countries gear up for their own project to improve. In addition, technology is a focus as a key driver to improve quality of life. The role of the internet, as IoT predicts is more than just a tool to move around or make things easier. It has become a realization that people have embraced unconsciously. From computers, applications, to appliances, the connected life proves a most exciting time in the coming years.