Lithuania among Europe's leaders for cheap internet. But low prices have another side
Lithuanians can continue to enjoy one of the cheapest internet services in the whole European Union (EU). The latest international fixed internet price study by „Broadband Genie“, an internet and telecommunications market analysis and comparison platform, shows that Lithuania ranks second in the EU and 27th in the world by average price of internet services. But a low internet price comes at a price of its own.
According to the latest study, the average monthly price of fixed internet in Lithuania is just over 15 euros. The only country in the EU with cheaper internet at present is Romania, where the average monthly price is just over 7 euros. Meanwhile, in the Netherlands residents pay an average of almost 51 euros for internet services, and in Finland – around 50 euros. In neighbouring Poland the average monthly price is just over 18 euros, and in Latvia – almost 21 euros. While this is good news for consumers, internet service providers have to find a balance between competitive prices and continuous investment in network expansion and the roll-out of new technologies.
Low prices must not hold back investment
According to internet technology expert and head of „Etanetas“ – one of the first internet service providers in Lithuania – Artur Stefanovič, Lithuania can be proud not only of some of the lowest internet prices in Europe, but also of a well-developed internet infrastructure. However, as data traffic grows and more and more activities move into the digital space, competing on the lowest price alone is no longer enough.
„A decade ago, most people needed the internet for browsing or watching video content. Today, neither work, nor business, nor the use of artificial intelligence tools is imaginable without fast internet. The volumes of data transmitted grow every year, so internet networks have to be modernised continuously. That requires ongoing investment,“ says A. Stefanovič.
In his view, competition in the internet market benefits consumers, but in the long run it is important to maintain a balance between competitive prices and investment.
„If all the focus goes to the lowest price alone, over time it may become harder to sustain the pace of investment that constantly growing internet needs require. That is why it is important to keep the balance in the future – so that consumers can continue to use affordable, yet at the same time fast, reliable and modern internet,“ says the head of „Etanetas“.
The lowest price does not always mean the best choice
According to A. Stefanovič, when choosing an internet service provider, residents often look at the price first. Yet a lower monthly subscription fee alone does not always mean the best choice.
„Internet connectivity is one of the most important everyday services today, so the lowest price alone should not be the main selection criterion. It is important to assess not only internet speed, but also the stability of the connection, customer service, how quickly faults are fixed, and whether the provider invests in its network on an ongoing basis. It is precisely these things that determine the user's experience in the long run. Cheap internet is great news for consumers. But if the lowest price becomes the only selection criterion, in the long run the whole market loses,“ says the fibre internet provider.