According to a recent report from Cowen, broadband is becoming more affordable and accessible to the public.
In a survey of more than 1,200 consumers, Cowen determined that the average household income of a fiber-to-the-home (FTTH) subscriber is now around $83,000, versus about $85,000 for those not subscribed to fiber. Income for FTTH subscribers is lower than income for non-FTTH subscribers for the first time since Q4 2020, when Cowen began conducting its quarterly FTTH survey.
This shift reflects that providers are reaching more of the general population with fiber, according to Cowen analysts Gregory Williams and Michael Elias. These analysts anticipated this pivot with FTTH builds increasingly targeting broader markets and more typical populations, and as FTTH plans offer lower rack rate pricing compared to that of Cable.
While FTTH household income has come down, speeds from fiber services continue to rise, reported Cowen. The survey indicated that FTTH subscribers receive an average speed of 579 Mbps, compared to an average 419 Mbps for non-fiber customers.