Verizon and MCI dominate FTSE ISP market
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And consolidation is rife in among network providers.
The UK’s biggest companies are narrowing their selection of Internet service providers (ISPs) partners following widespread consolidation in the sector.
Research into ISP usage among the FTSE350 by telecoms sector watcher, BackChannel, shows that two companies - Verizon (now the owner of MCI) and BT - tower over rivals with market shares of 18.8% and 17.9%, respectively.
However, others are making up ground. Cable and Wireless, benefiting from its acquisition of Energis, now has a 8.5% share of the segment - a major jump from its December 2005 position of 6%.
BackChannel, which produces its analysis of actual usage through a tailored search engine “capable of divining, cataloguing and indexing the true infrastructure, ownership and commercial usage of the IP world”, highlights the battle raging for the business of Britain’s 350 largest publicly listed companies in the second tier of ISPs.
Outside of the top three are six other players – THUS, Telstra, Colt, NTL, Pipex and Level3 – all with 3% to 5% of the market. There are even two new entries to the top 15: Equant and Centric.
Moreover, 23% of the market is held by suppliers with an even smaller share of that FTSE350 customer base.
Dedicated access market share, FTSE 350
Source: BackChannel
