British broadband providers (ISPs) could be losing up to £25 million a year by failing to include music download services in their broadband packages, research has suggested.

A report by the British Phonographic Industry (BPI) estimated that the market could be worth as much as £100 million within the next three years, with the potential to grow to more than £200 million in the future.

Adrian Drury, principal analyst at Ovum, who carried out the research for the BPI, said: "With the right service platform, user experience and merchandising strategy, internet service providers have an opportunity to reach a green-field digital music market that mainstream download-to-own services such as iTunes do not reach today."

The claims were met with scorn by some sections of the broadband industry. Many broadband providers have had a far from harmonious relationship with the BPI in the past because of its stance over online piracy.

The UK's second largest broadband provider TalkTalk said: "As it happens TalkTalk does offer a legal download service - emusic - as do other internet service providers."

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