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futures broker - The European residential Internet access market generated $2.2 billion in 1998. Worth $948 million, the German Internet access market is by far the largest in Europe, accounting for over 40% of the total, and generating eight times the revenue of the French market. The UK follows with a value of $519 million, then the Netherlands with $196 million. Despite huge and growing demand for Internet access services, increasing competition and the commoditisation of Internet access faced in each western European market is forcing ISPs to lower their prices. The European industry has seen its average monthly subscription fee decrease yearly, particularly since ISPs such as Germany.net and BIP in Sweden have begun to offer free Internet access. A consequence of decreasing subscription charge is more affordable access for existing subscribers and new users - a key driver for the uptake of the Internet at home. Gerald Theresin, Datamonitor's technology analyst commented: "As pure access becomes commoditised, ISPs will increasingly consider alternative revenue streams - mostly content-related. Nevertheless, the German revenue derived from pure access will continue to grow, owing to an increase of the number of subscribers, but tempered by decreasing costs." By 2003, one in three households in Europe will be accessing the Internet There are now 12.5 million online households (via PC) in Europe, after a period of industry dynamism never equalled in the past years. According to Datamonitor, rapid growth in the uptake of Internet at home will be underpinned by the following key drivers: increasing penetration of online retrieval devices; improvement of content offering; decreasing subscription charges. 13 November 1998 Adult Web usage has increased from 5.9 million (13% of the UK adult population) to 7 million (15%) in the last six months, according to the InternetTrak Survey.
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