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Cable and phone companies have competed for broadband customers for more than a decade. Now the market is maturing quickly. Some 60% of U.S. households currently have a high-speed Internet connection.
Verizon Communications Inc., last quarter became the first company ever to see a drop in DSL subscribers. Cable companies picked up 75% of the new customers, sending the phone companies into a scramble. As bandwidth-hungry applications like video downloads grow, customers prefer the generally faster speeds cable offers. Cable companies have also been marketing more aggressively in recent months, analysts say.
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