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United States Network The Almighty Buck The Internet Wireless Networking

US Ranks 32nd Worldwide On Broadband Affordability, Study Finds (techdirt.com) 57

An anonymous reader quotes a report from Techdirt: One recent study found that the U.S. was currently ranked somewhere around 32nd globally, behind countries like Russia, Lithuania, and Bulgaria [on broadband affordability] (you can find the full breakdown here): "The United States and Canada both have one of the highest internet costs," Alex Tofts, the Broadband Expert for Broadband Genie, said in a summary. "It's driven by a lack of competition and bigger distances to connect, with lower population density than other developed countries. However, both have average wages in the top fifteen in the world, compensating for the high cost of internet."

For decades, people (mostly the industry) tried to suggest the problem was because America was just so gosh darn big. But you'll notice that China and Russia, (ranked 25th and 17th, respectively) still perform better. Data routinely shows that affordability is the key obstacle to access, yet it's only been in the last few years that you've started to see this reality reflected in U.S. policymaking. [...] But again, the cause of this problem is very clear: monopolization and consolidation, protected by corruption. Few U.S. markets have the choice of more than one broadband provider at next-generation speeds. And that's because federal and state lawmakers are so comically corrupt, they routinely let AT&T, Comcast, Charter, or Verizon lobbyists endlessly merge, crush all competition, then literally write state or federal legislation and policy over several decades.

But it's not all doom and gloom. Decades of federal policy corruption and dysfunction have created an extremely strong, local, bipartisan grassroots movement for better broadband access. In countless towns and cities, municipalities, cooperatives, city-owned utilities, and creative new partnerships are building new, open access fiber networks with an eye on competition and cost. [...] Still, it's comical and grotesque that it's 2023 and a country that fancies itself a technology giant still can't meaningfully tackle equitable broadband access and affordability. And that telecom and media policy has basically become a boring afterthought in the era of "Big Tech." Ensuring equitable access to an essential utility is just too boring for most 2023 policy circles, much less the modern attention economy.

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US Ranks 32nd Worldwide On Broadband Affordability, Study Finds

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  • by Maxo-Texas ( 864189 ) on Wednesday July 12, 2023 @05:19PM (#63681159)

    In some areas, the local government gave cable companies monopolies.

    But in many areas now, you can bypass cable internet with 5g internet for a fraction of the price. I pay $50 (with tax) per month and you can get it as low as $30. Then, if you are poor and don't have a lot of assets, you can get $30 off those prices with government assistance.

    • by pixelpusher220 ( 529617 ) on Wednesday July 12, 2023 @05:37PM (#63681205)
      In Virginia, in addition to local franchise/monopoly BS, it's literally written into law that a municipal system is forbidden to offer services below the cost of existing providers.

      AND also in law, any proposed municipal system has to provide evidence it will be profitable in YEAR ONE.

      Just insane the preventions they have thrown up
      • Any law benefiting the local telecommunication companies (which took them a decade to pass) can be revoked in just one session if the lawmakers listen to their constituents. Stupid and lopsided laws don't have to stay on the books forever.

        • Counterpoint: most people can't even name their state reps. It's *really* easy to buy off state legislatures (see Ohio) and there's almost no push back historically.

          Yes we need to vote. But that's not something supported by historical evidence as likely to happen.
        • if the lawmakers listen to their constituents.

          LOL. If they were interested in that, they wouldn't have done it in the first place.

    • " the local government gave cable companies monopolies"

      Local franchising authority has been preempted since the Telecommunications Act of 1996

    • Eat Fiber every morning.
      You'll poop data.

    • So you're arguing that the govt should subsidise these monopolistic corporations' price gouging by paying for poorer people's services? Yeah, that'll solve the problem.

      I guess that's why the USA is 32nd out of 38 OECD countries.
      • Speaking of which, TFA mentions Russia and China as being ahead of the US in broadband... those are both countries where a good chunk of the population doesn't even have access to indoor toilets.
        • 1% of the UK, Belgian, Finnish, & Canadian population still doesn't have access to proper sanitation, defined as: "Access to improved sanitation facilities refers to the percentage of the population with at least adequate access to excreta disposal facilities that can effectively prevent human, animal, and insect contact with excreta. Improved facilities range from simple but protected pit latrines to flush toilets with a sewerage connection. To be effective, facilities must be correctly constructed and
    • I've had "5G" internet and it is absolute trash. I'm sure it's "fine" for cell phones, but for normal internet access on your PC it is incredibly slow, not a real competitor to cable, fiber, or even DSL.

      • by cbm64 ( 9558787 )

        I've had "5G" internet and it is absolute trash. I'm sure it's "fine" for cell phones, but for normal internet access on your PC it is incredibly slow, not a real competitor to cable, fiber, or even DSL.

        It doesn't have to be if implemented well by mobile provider. I'm not in the US but I have seen 1.5 Gbps actual speed (measured download from remote site) over 5G internet, beating that my home broadband is only 750 Mbps. Sure, the cable broadband speed is likely more stable and a bit faster ping (though the 5G ping is surpisingly good), but I'm basically unable to notice any diference on my laptop with built in SIM card whether I'm running on 5G or 750mbps cable even for bandwith heavy loads.

        • You already mentioned the issue of ping, but also the problem with virtually ALL wireless is connection stability.

          Even on WIFI when the transceiver is 10 feet from my device you can get a random bit of interference that takes a connection down for a second and then it recovers. That is insignificant when web browsing, but a minor annoyance for streaming video, a decently larger annoyance for working remotely during a video meeting or remote desktop session, and pretty much a show stopper for online gaming.

          • Well, we have 3 computers gaming and a phone using wifi and have no problem.

            So I guess you test for your area.

            Or pay $180 for better service instead of $50 (or $35).

      • We have 5g for home internet and I've seen zero negative impact on network speed compared to cable. Actually, in some cases, some mild improvements. I wonder if we're just lucky enough to be in a well saturated 5g area?

  • I mean... (Score:5, Informative)

    by Nrrqshrr ( 1879148 ) on Wednesday July 12, 2023 @05:21PM (#63681167)

    I live in a third world country in fucking Africa, of all places, and I have uncapped internet. Hell, the internet is more reliable than the water supply, somehow.

  • That means there are 150 countries where broadband is less affordable? I don't believe it.
    In India you can buy a phone for $12 and then pay just $1.25 for 14GB of transfer and unlimited voice calling. In the US $1.25 won't even cover paying for the watts needed to transmit 14GB of data and unlimited calls. Reference: https://techcrunch.com/2023/07... [techcrunch.com]

    • As the summary says, higher average income makes the high base cost more affordable. The average income in India is likely quite a bit lower than in the US.
      • As the summary says, higher average income makes the high CEO salaries more affordable. The average income in India is likely quite a bit lower than in the US

        FTFY

        The US oligarchy is beyond borked in cost to service regardless of whether incomes are higher.

    • But in India can they get NFL Red Zone or any other sports or entertainment package included with their phone subscription?

      Or is it just a simple phone and wireless data package with no extra goodies ?

    • ...pay just $1.25 for 14GB of transfer....

      I routinely use 2TB of data a month. So 2048G / 14G is 147 units of Indian Internet service (you have to round up to be realistic).
      147 units * $1.25 = $183.75.
      $183.75 / $65.00 (what I pay for symmetrical gig fiber Internet where I live in the U.S., after all taxes and fees) = 2.83 fiber lines.

      While I agree that U.S. Internet is usually among the worst in cost/performance, it's changing in some places. I've had my fiber service for a couple years now, and fiber rollouts are slowly increasing. In the end ana

  • This is news? (Score:5, Informative)

    by quonset ( 4839537 ) on Wednesday July 12, 2023 @05:31PM (#63681195)

    This isn't some great secret which has suddenly been revealed through diligent research. This has been known for the past decade, at a minimum. I, and many others, have said the main culprit is lack of competiition. In most areas you are lucky if you get two choices, and usually those two choices still charge the same amount for the same service so there's not benefit choosing one over the other.

    In fact, the CEO of Charter has said they deliberately don't compete with other companies because they might want to later buy them [arstechnica.com]. Something which would be blocked by the FCC.

    And let's not get into the $1 trillion dollars of taxpayer money these companies have received since the Clinton administration to build out broadband networks and have failed to do so.

    It might be time for these welfare queens to get off the public dole and engage in capitalism. Then again, they're probably pretty happy with the socialism going on.

    • I think these articles pop up now and then for people outside the US. For us it is fun to watch the US struggle with not being the greatest in something that is trivial for many of us. Chin up US, we still love you. You will get in the top 5 eventually.
    • by Anonymous Coward

      This isn't some great secret which has suddenly been revealed through diligent research. This has been known for the past decade, at a minimum.

      This isn't a secret, but this study may be slap in the face to hopefully wake up some people who are still living in the "America is always the best so no matter how bad things are it is worse elsewhere" dream.

    • by skam240 ( 789197 )

      Heh, you're on point except for attributing our current scenario to socialism. Socialism would be municipal broadband or something else run by some level of US government. I don't know what the current practice of our government shovelling large amounts of money at private companies would fall under but it sure ain't socialism.

  • by King_TJ ( 85913 ) on Wednesday July 12, 2023 @05:48PM (#63681235) Journal

    Every time we see some proposal for Federal government to spend X number of millions on "helping provide broadband to more rural areas" or to "make broadband more accessible", the money vanishes down a hole and nothing substantial really changes. Just more taxpayers on the hook for the poorly spent money.

    Really, I have little faith in the major carriers taking any interest in doing these projects. I remember over 10 years ago living in the Northeast (outer ring Metro DC area) and Verizon was just finishing up their project to deploy FiOS in more cities. The tiny (but wealthy) town of Poolesville, Maryland was one of the last ones on the list to get FiOS. And rumor had it, some big-wig from Verizon lived in Poolesville, or else it would never have happened there at all. At that time, people in a number of nearby communities were really eager to get FiOS but couldn't, and Verizon had no interest in serving them either. Turns out, they only rolled it out to the minimum number of communities negotiated in a deal made something like 5 years earlier, to meet minimum standards required to collect a big chunk of government broadband improvement funding. And Verizon was already actively working to SELL the entire thing to some other "bag holder", because it was really much more interested in expanding and upgrading its cellular data network instead.

    AT&T seems to have a very similar attitude. As far back as when they first launched "U-Verse" service (glorified high-speed DSL, really) -- AT&T would almost surgically pick and choose which neighborhoods to put it in, in the St. Louis, Missouri area, when I lived there. You'd try to order it because you found out a neighbor had it, and they'd tell you sorry... you live too far from one of their outside boxes for it to work for you. (The service had a limitation of something like 12,000 to 14,000 feet your property could be from one of their green phone boxes with the U-Verse routing equipment inside it.) If they didn't think a given street would have enough customers who could afford to pay for it, they'd just skip it. Now, I see them treating their fiber Internet the same way. I live across the river from St. Louis these days, on the Illinois side. And they made a big to-do, a couple years ago, that "AT&T fiber was coming to town!" Well, it turns out, all they did was strike a lucrative deal with local government and emergency services so fiber was put in for the E911 system's benefit. But nothing was ever done to sell it to consumers in the city.

    I have decent broadband via Charter (cable provider for my area). But you can *clearly* tell they, too, don't care much about selling broadband. It's more of something they can't really avoid selling at this point. But everything they do is about getting you to take "bundles". Maybe you'll pay extra for their home security system, or maybe you'll pay for your family to get several cellphones on Charter's cellular offering (basically puts your calls on whichever carrier/tower they've contracted with for the area you're in)? Of course, they keep pushing you to pay for one of their television packages and if nothing else? Well, they'll price it so it's cheaper to take a bundle with VoIP telephone service + broadband vs just broadband by itself. Anything to keep you from ONLY buying your Internet data from them, it seems.

    I think the bottom line must be that it's just not that profitable to provide high speed Internet? The major players all have their fingers in OTHER services they can sell and all of those (like cellular service) are far bigger money-makers for them. They already have a lot of infrastructure in place that makes broadband feasible/possible -- but prospects like investing in broadband GROWTH? Nah, they'd rather not.

  • by MpVpRb ( 1423381 ) on Wednesday July 12, 2023 @05:54PM (#63681253)

    Availability is

    Some areas have NO good options
    Some local companies try to bring fiber to areas like the one I live in. The telecom monopolists sue them and use every dirty trick in the book to prevent them from doing the project. The telcos seem to have the attitude, we won't serve your area but we will do anything we can to prevent others from serving it
    Telcos lie in government docs, saying that an area is "served" if wireless phone service is available. This is NOT an acceptable solution

    We need fiber

    • by Sique ( 173459 )
      Availability and affordability are to sides of the same coin. If broadband is widely available, you get affordable plans for your needs. If there are not many offerings, you have to take, what you get, be the data rate low, and the price high.

      I currently have fiber, and I am using the smallest available plan, at $30/month for 50 mbit/sec including phone services. If I upgrade to 1 Gbit/sec, the price would be $110/month.

    • Affordability isn't the biggest problem

      Well aren't we privileged. I guess you're not one of the 38million people in the USA living in poverty making decisions on which daily necessities to cut. Internet is very much becoming an essential service like electricity and water. Heck I don't think I could function in the country I live in without internet. I couldn't even get referred form the doctor to the hospital without having to use a QR code and an online system tied to a government issued digital ID.

      • Heck I don't think I could function in the country I live in without internet. I couldn't even get referred form the doctor to the hospital without having to use a QR code and an online system tied to a government issued digital ID.

        Thankfully in the US, we don't have to have or show some sort of "National ID" to get regular daily services in life (at least so far, although they are trying).

        Just curious...how do the poor people in your country get by if they can't afford a smart phone to read QR codes or h

        • Thankfully in the US, we don't have to have or show some sort of "National ID" to get regular daily services in life (at least so far, although they are trying).

          I do not know where you live, but here in Texas, where the government insists they hate and resist government getting in our business, I have to show my state issued, federally compliant, Real ID for any service I can think of.
          This includes medical, utilities, any state or local government interaction - and for banking or insurance I have to provide SSN as well.
          Feds or States? Red or Blue?
          Texas is as bad as any of them and all their talk is designed to fool the fools.

  • Flawed report (Score:4, Informative)

    by war4peace ( 1628283 ) on Wednesday July 12, 2023 @06:14PM (#63681291)

    The report is flawed, because it doesn't take into account bandwidth and data caps.
    There are countries where Internet is high-bandwidth, cheap and unlimited. In my country's capital, we pay less than 7 bucks a month for unlimited Gigabit fiber, and my ISP already pilots 10g bandwidth in a different neighborhood.
    Furthermore, the report considers "60Mb or more, unlimited data, cable/ADSL" as "high speed broadband". If I had that bandwidth, I would have gone mad.

  • except when it comes to broadband internet.
    Then it's only awesome if your the ISP. =/

  • I don't know if I was the only one to notice this, but lumping the US and Canada together is kind of daft for 2 reasons: First of all, they aren't the same price for Internet; not even close. As someone who moved to Canada from the US back in 2005, I noticed immediately (and this hasn't changed in the intervening years) that Internet costs in Canada are double (and sometimes even more than that) of the US. I see ads on TV channels that are carried here for deals at US Internet companies like Verizon, Comcas
    • Rogers has already taken over Shaw. That is a done deal.
    • by jonadab ( 583620 )
      > but lumping the US and Canada together is kind of daft for 2 reasons

      When it comes to telecommunications and also the power grid, separating the US and Canada is more problematic than most people realize. The networks have always been interdependent.
      • Sure, the networks (and banking systems) are entangled, to say the least. The 2 countries even share the same international dial prefix (1). However, in terms of things like intellectual property and digital rights management, they might as well be on different planets. There is no such thing as Hulu, Peacock or TiVo in Canada, but there is also no such thing as Crave, Gem or CFB in the US. If I bring up a web page with an embedded video clip from a US TV broadcast, like ‘The Daily Show’, in Ca
  • That moment when USA is #32 and Russia is #17...

  • ...Public Utility Commissions (PUC's) are elected or appointed bodies that limit who can provide in an area...they are corrupt at best...
  • My idea, which I've long held, is that the local municipality should be build out the local infrastructure and bring the infrastructure back to a COLO facility where the PROVIDERS compete for access to the local infrastructure and local customers.

    This would open up the access to competition instead of the local monopoly franchise agreements to the BIGCABLECO INC that stifles and prevents all other local competition.

    Each provider can customize their offerings. I just want to pay for data, and not cableTV, I

  • The US government used our tax dollars to develop infrastructure and then gave it to private corporations. Internet should be a public utility.

    Anyone that thinks the US is a free market doesn't understand how the world works.

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