Broadband Remains Most Affordable Communications Service
The FCC released its broadband adoption survey today, which looked at some of the reasons that people with high-speed Internet access are nonetheless choosing not to adopt. Therefore, we thought it would make sense to provide some basic factual information about how broadband prices compare to the other major communications services (home telephone, cellphones and cable TV) available to U.S. consumers. While all of the services are in the same general price range, broadband is the least expensive coming in at under $40 per month on average, compared to about $50 for telephone and cellphone service. And that doesn't begin to calculate the earning potential broadband access offers to businesses in the marketplace and individuals loooking for work opportunities:
TELEPHONE SERVICE
Avg. Cost: $48
Penetration: 95.75 % of households
Time in market: ~100 years
SOURCE: FCC Trends in Telephone Service, Table 3.2; FCC Telephone Subscribership in the U.S., Table 1
WIRELESS PHONE SERVICE
Avg. Cost: $50
Penetration: 86% of population
Time in market: ~25 years
SOURCE: FCC 13th Report on CMRS Market Conditions (DA 09-54), Table 12; and p. 6
SUBSCRIPTION VIDEO
Avg Cost: $ 59 (avg. cable price, no DBS available)
Penetration: 87% of households (cable plus DBS) Time in market: ~40+ years
SOURCE: FCC 13th Report on Video Programming (FCC 07-206), paragraph 8; FCC Report on Cable Industry Prices (DA 09-53), Table 2
BROADBAND
Avg. Cost: $39
Penetration: 63% of households
Time in market: ~12 years
SOURCE: Pew, Home Broadband Adoption 2009 (June 2009), pp. 3, 5



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