Just thirty years ago, broadband and the Internet were not readily
available to the average consumer unless they worked for a university,
research center or the military. Now fast forward to 2013, where the
average consumer uses broadband to search the Internet, download music,
watch movies, play games, and much more using their iPad, MAC, iPhone,
and Android from basically anywhere in the country. Whether you live
near the beaches in Florida, the mountains in North Dakota, or deserts
in Arizona, broadband is available. Today, the broadband marketplace is
more robust than it's ever been with the advancement and convergence of
the tech sector, increasing competition between wireless and wireline
options, and the personalization of products and services allowing the
consumer to get what they want, when they want it.
With the increasing demands for broadband in the US, some consumers
are beginning to think the demand outweighs the supply which could
possibly cripple our marketplace. However, a recent study completed by
the Information Technology & Innovation Foundation (ITIF) found that
compared to other countries, the US is a leader regarding the status of
our broadband network. In fact, senior European Internet policymaker
Neelie Kroes, recently called for European policies to be modeled after
the US. In regards to network competition, the US ranks first in the
world in cable modem deployment with 96% of households. In addition, 82%
of American homes are passed by cable technology capable of supporting
broadband speeds of 100 Mbps or higher. The US also leads the world in
the adoption of 4G LTE mobile broadband.
When it comes to prices, the US broadband network is more progressive
and less expensive than other countries. In fact, US consumers of
low-speed, entry-level, broadband services pay less than their peers in
other countries. When it comes to speed, the average network rate of all
broadband connections in the US is 29.6 Mbps which is nearly double the
global average. Additionally, the broadband adoption rate in the US is
68.2% exceeding the EU-15's rate of 66.9%.
Broadband has become such a dynamic and valued treasure in today's
economy with the availability of a variety of product and service
options for our consumers, increasing the amount of competition in the
tech sector. 85% of Americans have access to at least two wired
broadband providers, while 90% of Americans can choose from at least one
fixed and one mobile broadband service. Currently, in the US there are
over 1,500 wired and mobile providers who offer broadband Internet. The
market is evolving with the addition of new technologies like VDSL and
new competition from various products like Google Fiber, Gigabit
Squared, and EchoStar. FCC surveys have found that 93% of US broadband
subscribers are satisfied with their broadband service regardless of
their provider. Furthermore, consumers will continue to see improvements
in their broadband capabilities with new programming from online video
distributors (OVDs) such as Netflix, Amazon, Hulu, Dish Network, and
YouTube to name a few. Also, new services like telemedicine and online
education allow consumers to videoconference their doctors and teachers
over a Skype video call connection or a VoIP connection.
As broadband continues to evolve, our economy and marketplace will
continue to evolve with more products and services than we've ever seen
before. The increase in competition in the tech sector, acceptance of
innovative ideas and methods, and need for speed will spur growth not
only within the industry but with small businesses and our communities
down the line.
