Speedier Internet Rivals Push Past Cable

How much internet speed does one really need?  Well the need may or may not be there, but the demand is surely growing.  According to the graph below by RVA Market Research courtesy of this WSJ article, high speed internet users are scheduled to reach over 10M by 2016.

This could mean costly upgrades for current carriers who have been using huge amounts of free cash flow to buy back stock and increase dividends.  This would also mean pressure on earnings but would the investment be worth it?  Some costs would likely be passed along to consumers who are already looking for low costs alternatives to the current major cable subscribers.

This is likely a very long trend that would have to play itself out, but one worth keeping your eye on.