Downloads delayed: Economic uncertainty narrows prospects in the commercial market

The Internet Service Providers industry includes operators that deliver internet access via fixed lines to businesses, households and the government. Providers may also offer a range of bespoke internet services to businesses and large corporations. Demand for industry services has increased over the past five years as the internet has become more integrated into the day-to-day lives of consumers and businesses. Increased innovation in the industry has also boosted demand. Entrenched services such as browsing, communications and social networking have made the internet a necessity for most people. Moreover, new downstream markets have been created that rely entirely on internet services. Industry revenue is forecast to rise at a compound annual rate of more.

Industry Statistics & Market Size
Annual Growth 13-18
Forecast Growth 18-23

Industry Threats & Opportunities

  • Rising use of data-intensive applications has increased ARPU and widened profit margins
  • Growth in the number of mobile connections has slowed potential increases in demand
  • Innovation in mobile networks is expected to threaten industry demand
  • Industry Report - Industry Key Buyers Chapter

    The Internet Service Providers industry has an exceptionally high level of market share concentration. The four largest internet service providers (ISPs) in the United Kingdom – BT Group, Sky, Virgin Media and TalkTalk Telecom Group – are estimated to account for 89.8% of industry revenue in 2017-18. Over the past five-year period, the level of market share concentration has risen as incumbent ISPs have increased their investment in network infrastructure and broadband services to improve both efficiency and service offerings for their consumer bases. For instance, BT Group acquired mobile telecommunications carrier EE in January 2016 to expand its service portfolio and incorporate a value-added service to supplement its internet deals...purchase to read more.

    Additional Insights for the Internet Service Providers Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Internet Service Providers Industry are

  • Access to required utility infrastructure
  • Economies of scope
  • Having a loyal customer base
  • IBISWorld analysts also discuss how external factors such as Percentage of households with internet access and Number of businesses in the Internet Service Providers industry impact industry performance..

    shopping_cartPURCHASE OPTIONS

    What's in this report

    What is the Internet Service Providers Industry?

    Companies in this industry provide internet access via fixed lines to businesses, households and the government. Internet services are provided via dial-up and fixed broadband connections. The industry also includes the provision of other corporate data services. Mobile-internet provision is not included in the industry.

    Industry Products
  • Broadband and narrowband
  • Other data services
  • IP VPN
  • Ethernet
  • Industry Activities
  • Internet service provision
  • Internet Protocol virtual private network (IP VPN) services
  • Ethernet services
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Percentage of households with internet access
  • Number of businesses
  • Number of mobile connections
  • IT and telecommunications adoption

  • Current Performance
  • Innovative growth
  • Curbing competition
  • Strong development
  • Chart: Revenue Growth

  • Industry Outlook
  • New networks
  • A stronger service
  • Awaiting the outcome
  • Table: Internet Service Providers Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Internet Service Providers Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Computer Consultants
  • Data Processing & Hosting Services
  • Consumers

  • Key Selling Industries
  • Consumer Electronics Manufacturing
  • Wired Telecommunications Carriers

  • Products & Services
  • Broadband and narrowband
  • IP VPN
  • Ethernet
  • Other data services
  • Chart: Internet Service Providers Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Households
  • Corporate and government
  • Small and medium-size enterprises
  • Chart: Major Market Segmentation for the Internet Service Providers Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
    ProfitPurchasesWagesDepreciationAdvertising and marketingOther costs
  • Chart: Cost Structure Benchmarking – Sector vs Internet Service Providers

  • Basis of Competition
    Internal competitionExternal competition
    Barriers to Entry
  • Table: Barrier to Entry Checklist for the Internet Service Providers Industry

  • Industry Globalization
    BT Group plc, Sky plc, Virgin Media plc, TalkTalk Telecom Group plc,
  • Table: BT Group plc - financial performance
  • Table: Sky plc - financial performance
  • Table: Virgin Media plc - financial performance
  • Table: TalkTalk Telecom Group plc - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Internet Service Providers Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Internet Service Providers Industry
  • Industry Revenue (2009-2023)
  • Industry Gross Product (2009-2023)
  • Establishments (2009-2023)
  • Businesses (2009-2023)
  • Employment (2009-2023)
  • Wages (2009-2023)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
  • Stands for Asynchronous Transfer Mode. A network technology based on transferring data in packets of a fixed size.
  • Gbps
  • Stands for gigabits per second.
  • Ip Vpn
  • Stands for Internet Protocol Virtual Private Network. An IP VPN provides businesses with secure inter-site connection over a public network using internet protocol.
  • Local Loop Unbundling (Llu)
  • LLU allows multiple internet service providers (ISPs) to use the telecommunications network owned by a given ISP with ownership of telephone exchange infrastructure.
  • Mbps
  • Stands for megabits per second.
  • Megahertz (Mhz)
  • A unit of frequency, representing one million cycles per second.
  • Quad-Play
  • A bundle package which includes wired and wireless telephony, broadband and TV.
  • Shared Metallic Path Facility (Smpf)
  • Enables a given internet service provider (ISP) to offer broadband services over a copper network owned by an incumbent ISP.
  • Spectrum
  • A range of radio waves that are used for communication purposes.
  • Voice Over Internet Protocol (Voip)
  • Communicating through speech via the internet rather than a traditional telephone call.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s Internet Service Providers market research report offers insightful industry analysis and research into the market at the national level. IBISWorld’s in-depth industry market research is presented in a logical and consistent format. The industry report contains key industry statistics, market size, industry trends, and growth and profit forecasts for a 5-year outlook period.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Internet Service Providers:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Internet Service Providers market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Internet Service Providers, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

    Contact Us

    Would you like to speak to an IBISWorld representative?