FCC says broadband use is up

Submitted by acohill on Mon, 09/13/2004 - 08:00

There is a good news/bad news quality to a set of FCC press releases that went out late last week. The good news is that broadband availability in the U.S. is up significantly. The FCC says the number of broadband lines has tripled from 2001 to 2003. Cable modems have about 75% of the marketplace, with DSL far behind with 15%. All other technologies (e.g. fiber, wireless, satellite) composed 10% of the marketplace.

Some of the bad news is that the FCC defines broadband as anything faster than 200 kilobits, a remarkably low bar compared to the rest of the world, which is typically measuring broadband in megabits. The FCC keeps the bar that low so that they can claim we all have lots of broadband.

More bad news is also masked...the FCC says only about 7% of U.S. zip codes have no high speed access. What they don't say is where those zip codes are, but it's a safe bet they represent a lot of rural households. Another telling statistic is that zip codes with four or more providers is up to 46%. Again, that does not represent rural areas.

To be fair, FCC chairman Michael Powell stated in a separate press release that "200 Kbs or even a 1 megabit connection is wholly inadequate for the demands of a growing number of consumers." Powell goes on to say that "information at the speed of light" (i.e. fiber connectivity) is what we really need. He mentions the goal of "universal and affordable access to all by the year 2007," but the Federal government does not really have a plan to get there, except to wait for the private sector to take care of it.

The numbers, to those that aren't out in rural communities (huge areas of the country, actually) look very good. But the reality is that communities that want univeral and affordable broadband will have to make some investments to get it. It's at least as important as roads, water and sewer, and communities routinely spend lots of money on those things.