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More than a quarter of the world's households will be signed up to a triple-play broadband bundle by 2016, a new report has claimed.

Analyst firm Digital TV Research predicts that 387 million homes will be bundling their home phone, TV and broadband services within five years, in a bid to reduce costs.

At the end of 2010, there were just 96 million homes taking web, landline and television services from the same broadband provider.

As such, Digital TV Research is expecting to see 7.1 per cent annual growth in this segment of the market.

The biggest industry players are expected to be cable broadband providers such as Virgin Media, which the report claims will account for 258 million subscribers by 2016.

By contrast, DSL, ADSL and fibre-optic broadband providers will provide triple-play broadband bundles to just 129 million homes, the report said.

Simon Murray, the report's author, commented that rivalry for pay TV and broadband subscribers has "never been so fierce".

And as the decade progresses and more broadband providers optimise their offering, it is going to get even more competitive, he claimed.

"Operators are pushing their bundled packages hard to attract new subscribers and to retain existing ones," Mr Murray said.

"These operators are not just competing with each other, but they also have to deal with widespread take-up of digital terrestrial TV and over-the-top internet-delivered video."

He added that satellite TV providers are pushing newer services such as DVRs, HD and 3D to differentiate themselves from their fixed line counterparts, which is also increasing the level of choice for broadband customers.

Mr Murray said the effect of all of this competition is reasonably-priced bundles, which will see broadband provider turnover fall, but benefit home consumers.

Earlier this year, Vodafone was rumoured to be considering the launch of a quad-play broadband deal featuring internet, home phone, mobile and TV services.

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