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Falling Prices For High-Speed Internet May Help Telecoms Gain Share Vs. Cable; Cable companies have twice as many customers, but telecoms fighting back.(A)
Byline: BRIAN DEAGON
Price cuts on high-speed Internet services may have helped telephone companies gain market share in their rivalry with cable companies in the second quarter. But there's no clear-cut trend yet.
Earnings reports released this week showed strong broadband subscriber growth for the telephone companies.
Telecoms began cutting prices on their digital subscriber line high-speed services late in the first quarter, hoping to lure customers away from cable.
Cable modems operate over ordinary cable TV lines, while DSL runs across standard phone lines.
Cable modem has nearly twice the number of subscribers as DSL.
Overall, analysts said, phone companies appear to be gaining ground after years of losing out to the cable firms.
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