Small firms look for broadband alternatives - report
30 July 2007- Research carried out by Vodafone Ireland has revealed that a third of SMEs are now using services other than fixed-lines as their main connection to the Internet and that a fifth of small firms continue to rely on old "dial-up" technology for access to the Net.
According to the study, which was conducted among small to medium sized enterprises in the Republic of Ireland, new services such as mobile broadband have enjoyed very strong take-up, although DSL remains the most frequently used internet connection technology. However, the patchy take-up of DSL is confirmed by the fact that approximately 16 per cent of SMEs rely on dial-up Internet services from their fixed-line provider; while 22 per cent of Ireland's small firms use ISDN.
However, with 33 per cent of small businesses surveyed responding that they are using an array of new broadband services, such as fixed-wireless, 3G Mobile Broadband, Wi-Fi and satellite technology, one of the clear conclusions of the study is that Irish businesses are moving away from traditional fixed-line internet services and taking advantage of the flexibility of a broadband connection that doesn't have to stay in the office.
The research also shows that only about three quarters (77 per cent) of employees in Ireland's small businesses have access to the Internet or email at work. Employees of small businesses in the professional/IT/Finance and Media sector are most likely to have internet access (91 per cent); while those working in small construction firms are least likely (72 per cent).
Vodafone's data also shows that 7per cent of larger Irish SMEs no longer use landlines at all, a statistic driven by the success of Vodafone's Wireless Office which removes employees' dependency upon fixed-lines by providing free calls between company mobiles.
Commenting on the research, Eavann Murphy, Vodafone's Head of Business Marketing, said: "What is most striking about the research is the willingness among small firms to adopt new technology, such as 3G Broadband. Demand for a fully flexible and reliable broadband solution is certainly tangible and as we increase awareness of the benefits of 3G Broadband, particularly in terms of how it meets the concerns of small business by being cost effective, reliable and flexible, we expect to see more SMEs moving away from traditional slow or inflexible means of connecting to the Internet and becoming fully mobile. The increase in mobile broadband penetration is also giving rise to increasing numbers of mobile workers, with almost 80 per cent of SMEs saying they have employees who work outside the office."
Eavann added: "With 7 per cent of larger SMEs now depending completely on mobile services for their communications needs, it is evident that landlines are becoming irrelevant for many companies.”
Methodology
Vodafone Ireland SME research was conducted from May 31st to June 7th. The sample was sourced from an online business panel with telecoms decision makers. Weights were applied to industries to ensure sample is representative of the spread of industries in Irish business universe.
About Vodafone Ireland
Vodafone is Ireland's leading mobile services provider with a customer base of over 2.17 million comprising business and personal subscribers and a market share of over 47%. On May 11, 2001 the Irish company officially became a subsidiary of the Vodafone Group plc, the world's leading mobile telecommunications company with 206 million proportionate customers worldwide.
The Vodafone Group is the world's leading mobile telecommunications group with a significant presence in Europe, the Middle East, Africa, Asia Pacific and the United States through the Company's subsidiary undertakings, joint ventures, associated undertakings and investments.
For further information, please contact:
Christine Heffernan
Corporate Communications Manager
Vodafone Ireland
Tel: 087 9913517
Aisling Garvey / Matthew Clark
FD
Tel: 087 4169662 / 087 1214075