A Global Leader: High-Quality U.S. Internet Service

Global Leader in Investment

Over the past 25 years, US internet service providers have invested nearly $2 trillion in infrastructure and technology to deliver and continually upgrade high-speed internet service. And every year, they invest an additional $70 to $80 billion in private funding to continue to upgrade US broadband infrastructure and technology. At that rate, it’s no surprise that US broadband investment per capita is much higher than in Europe and in other countries in the Organization for Economic Cooperation and Development (whose members are typically high-income economies with a high Human Development Index).

Global Leader in Availability and Speed

US internet speeds are more than two times faster than median global performance. Today, 96% of Americans have access to broadband at speeds of 25/3 Mbps and 92% at speeds of 100/10 Mbps – and 88% of US homes have access to gigabit speeds, up from only 5% of homes in 2016. Recent speed tests show that the average download speed in Sept. 2021 was 204 Mbps, compared to 138 Mbps in March 2020 – a 47% increase in just over one year!

Global Leader in Affordability

As American families struggle with inflation and the increasing costs of most goods and services, the cost of broadband has been steadily dropping. Even as internet service speeds and access continue to increase, consumer costs have actually decreased.

According to the U.S. Bureau of Labor Statistics, from 2011–2021 the Consumer Price Index grew by 19%. The price of college increased by 34% and the price of health insurance increased by 70%. However, during the same time period, the price of internet access decreased by 5%.

Since 2000, the average price per megabit has fallen dramatically. In 2000, US consumers paid about $28.13 per Mbps, but in 2020 that price was just $0.64 per Mbps – a decrease of 98%.

A report by the Progressive Policy Institute, found “prices in the tech-broadband-e-commerce sector were mostly flat or down in 2020, as investments in new capacity helped meet soaring demand. The surge of new broadband capacity meant that the price of telecommunications services to consumers fell by 2 percent in 2020, and the price of Internet access fell by 1 percent, according to data from the Bureau of Economic Analysis.”

The price of the most popular tier of broadband service declined 7.5 percent from 2020 to 2021 – a one-year price decline of nearly 10% when adjusted for inflation.

Source: US Telecom

The U.S. is home to only 4% of the world’s population, but it generates nearly 1/3 of global IP traffic.

Source: Cisco Visual Networking Index and US Telecom

Global Leader In Performance

As a result of significant and ongoing private investments in internet service infrastructure and technology by US internet service providers, internet access has expanded, speeds have skyrocketed, and prices have dropped – allowing US consumers to take advantage of data-intensive services, like streaming video, remote learning, virtual medical visits, and gaming. In fact, Americans lead the world in IP traffic and US networks carry far higher traffic loads than networks in other countries. (Network World, 03/21/20)

In an April 2021 report, the Broadband Internet Technical Advisory Group wrote: “Overall, the available data suggest that the Internet has performed well during the pandemic, and continues to do so, despite unparalleled and rapid changes in traffic demands …. and is a testament to the importance of continued investment in robust Internet infrastructure in all parts of the ecosystem.” The report went on to note that internet service providers (ISPs) “reacted to the sudden demand increase by rapidly adding extraordinary amounts of new capacity and pledging to Keep Americans Connected.” Similarly, the Progressive Policy Institute found that the willingness of US companies in the broadband and tech sectors to continue capital expenditures in recent years “essentially made it possible for large chunks of the economy to move forward despite the pandemic.”

It’s no surprise that in The Economist’s 2021 Inclusive Internet Index, the US is ranked #2 in the world for the most inclusive internet, in terms of availability, affordability, relevance, and readiness.

What We Are Fighting For

The Alliance for Quality Broadband understands that reliably connecting all Americans requires solutions that holistically address the digital divide. We are working to connect more Americans by:

Encouraging focused investment in broadband deployment to reach the unserved

Promoting meaningful digital literacy, affordability, and adoption programs

Protecting taxpayers from risky investments made at the expense of more pressing local needs

Partnering with proven providers to deliver critically-needed technology and connectivity

Ensuring the proper use of federal infrastructure funding to avoid waste, fraud, and abuse

Meet Our Coalition Partners

What They Are Saying

Resources

Municipal Fiber in the United States: An Empirical Assessment of Financial Performance

Joint Penn Law and Center for Technology, Innovation and Competition Study

Broadband Myths: Does Municipal Broadband Scale Well to Fit U.S. Broadband Needs?

Information Technology & Innovation Foundation | June 2021

GON with the Wind: The Failed Promise of Government Networks Across the Country

Taxpayer Protection Alliance

Join Us

Do you support high-quality solutions to address the digital divide and connect more Americans? We need you to join our efforts.

Together, we can achieve solutions to bring us closer to bridging the digital divide – now.

"*" indicates required fields

This field is for validation purposes and should be left unchanged.