This article explores the key broadband markets in Southeast Asia, focusing specifically on the evolution of fixed broadband technology (DSL, cable modem and fibre optic) in Indonesia, Malaysia, the Philippines, Singapore, Thailand and Vietnam.
Singapore will still have the most mature market in the next 5 years. But if Vietnam’s growth trend continues (we project 15% per year on average until 2016), it may well overtake Malaysia as the country with the second highest penetration in the region. There is a good possibility of this happening as in addition mobile broadband seems to be gaining more popularity in Malaysia than DSL with a 56% split between mobile and fixed broadband at end-2010.
Although Indonesia and the Philippines are forecasted to grow fast in terms of subscription, their penetration rates (11% for Indonesia and around 21% for the Philippines in 2016) may still fall below the regional average (at 25%) unless there are new public-private initiatives to expand the fixed broadband coverage in these countries. For its part Thailand, as Vietnam, is projected to grow at an annual average rate of 15% in the next five years.