Taiwan’s fixed broadband service sector is set to experience steady growth, with a projected CAGR of 1.9 percent from $1.1 billion in 2023 to $1.2 billion in 2028. This positive outlook is primarily driven by the consistent expansion of fiber-optic and cable broadband subscriptions, GlobalData forecasted.
According to GlobalData’s latest Taiwan Fixed Communications Forecast for the third quarter of 2023, the number of cable broadband access lines in Taiwan is expected to increase at a CAGR of 2.6 percent over the forecast period spanning from 2023 to 2028. Simultaneously, the number of fiber optic access lines is anticipated to grow at a CAGR of 3.3 percent over the same period. In contrast, the number of xDSL access lines is projected to decline steadily throughout the forecast period.
Srikanth Vaidya, a Telecom Analyst at GlobalData, emphasized that fiber optic lines are poised to dominate the fixed broadband landscape, accounting for the majority of fixed broadband connections over the forecast period. This trend is attributed to the surging demand for high-speed broadband connectivity and the government’s support for fostering the adoption of fiber-optic services across the country.
For instance, the Taiwanese government’s “Smart Country Plan (2021-2025)” aims to expand fiber broadband connectivity with a minimum speed of 2 Gbps to approximately 90 percent of the population by 2025.
In the realm of fixed broadband services, Chunghwa Telecom is expected to lead in terms of subscriptions in 2023 and is poised to maintain its position as the market leader through 2028. This is primarily due to the company’s strong presence in the FTTH (Fiber-to-the-Home) segment and its investments in enhancing fiber network infrastructure.
Additionally, Chunghwa Telecom’s attractive promotional offers on broadband plans are anticipated to play a pivotal role in preserving its leadership position throughout the forecast period, the report said.
The positive growth trajectory of Taiwan’s fixed broadband service sector, driven by fiber and cable subscriptions, highlights the growing importance of high-speed internet connectivity in the region and the government’s commitment to expanding broadband infrastructure.