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3.2Advocacy Target 2: Making broadband affordable –by 2015, entry-level broadband services should bemade affordable in developing countries through adequateregulation and market forcesThe price of broadband accessis critical in expanding access tobroadband in developing countries.Broadband is becoming moreaffordable around the world –over the past five years, fixedbroadbandprices as a share ofGNI per capita have droppedby 65% 7 . By 2013, the majorityof countries had reached theCommission’s target of offeringbasic fixed-broadband services at10% in Figure 9).Competition is widely recognizedas the most effective mechanismto date to lower prices, althoughpolicy-makers can also addressaffordability by regular monitoring,price regulation, potentialsubsidies, and tiered services.ITU’s most recent researchsuggests that duopolies canrealize some falls in prices, butthat markets with at least threelicensed operators experiencethe greatest falls in prices 10 .Chapter 3Number of countries706050403020100357126 3019151525 5 40-2 2-5 5-8 8-10 10-20 20-30 30-40 40-50 >50Figure 9: Fixedbroadband subbasketfor DevelopingCountries, 2013Source: ITU.Fixed broadband prices, as a percentage of monthly GNI p.c., 2013Developed countriesDeveloping countries39

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