Over 3 Million Add Broadband in the First Quarter of 2006

A Record Quarter for Both DSL and Cable Broadband

Leichtman:The twenty largest cable and DSL providers in the US – representing about 94% of the market – acquired a record 3.06 million net additional subscribers in the first quarter of 2006. The top broadband providers now account for nearly 46 million high-speed Internet subscribers – with cable having nearly 25.8 million broadband subscribers, and DSL having about 20.2 million subscribers.

Other key findings for the quarter include:

• The top DSL providers added a record 1.66 million subscribers, representing 54% of the net broadband additions for the quarter versus cable

• The top cable providers also had a record quarter with over 1.4 million subscribers added

• DSL providers have added more broadband subscribers than cable providers in each of the last six quarters, acquiring over 1.1 million more subscribers than cable during this period, but the top cable broadband providers maintain a 5.6 million subscriber advantage over DSL and have a 56% share of the US residential broadband market

Broadband Internet Provider	Subscribers at End of 1Q 2006	Net Adds in 1Q 2006
Cable
Comcast	8,957,000	437,000
Time Warner	5,168,000	346,000
Charter	2,322,400	126,000
Adelphia	1,808,004	100,554
Cablevision	1,806,623	112,289
Insight	514,800	44,400
Mediacom	504,000	26,000
Cable One	253,059	18,959
Major Privately Held Cable Companies*	4,190,000	191,700
Total Top Cable	25,727,886	1,407,902
DSL
AT&T	7,432,000	511,000
Verizon**	5,685,000	541,000
Bell South	3,145,000	263,000
Qwest	1,678,000	180,000
Sprint	777,000	84,000
Covad	556,950	(10,225)
ALLTEL	441,475	43,779
Century Tel	285,791	37,085
Cincinnati Bell	171,000	8,500
Total Top DSL	20,172,216	1,658,139
Total Broadband	45,945,102	3,066,041

• 85% of cable broadband lines had speeds of over 2.5 mbps in the fastest direction – compared to 14% of DSL lines

• Approximately 11.5% of DSL subscribers were non-residential – compared to 1.8% of cable subscribers

• The top five states in residential broadband penetration were Connecticut, New Jersey, Hawaii, Massachusetts and California

• The bottom five states in residential broadband penetration were Mississippi, South Dakota, North Dakota, Kentucky and Montana

Broadband Across the US

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