Broadband

Broadband plans with data caps are 15 – 25 percent cheaper than unlimited plans for most consumers, show Scott Wallsten and James Riso in “Residential and Business Broadband Prices, Part 1: An Empirical Analysis of Metering and Other Price Determinants,” released today by the Technology Policy Institute. The authors’ analysis also shows that broadband plans with contracts are cheaper than those without but find the cost of business plans increase with the length of the contract. The paper is part of a comprehensive broadband pricing study performed by Wallsten and Riso exploring residential and business broadband prices in the U.S. and internationally.

A recent editorial on U.S. broadband is based on a flawed understanding of broadband data, addresses the wrong issues, and distracts from real policy concerns, states Scott Wallsten in “Scientific American’s Flawed Broadband Analysis,” published today by the Technology Policy Institute. The editorial’s assertions that broadband prices are too high and speeds are too slow ignore the more nuanced state of the broadband market, the author explains, and do not support proposals to mandate network neutrality, unbundle access to local loops, and reclassify broadband in order to regulate access.

The number of wireline providers in an area has an impact on broadband speeds available, illustrating that competition is important for stimulating investment in networks, explain Scott Wallsten and Colleen Mallahan in “Residential Broadband Competition in the United States,” a white paper drafted for the Federal Communications Commission’s Omnibus Broadband Initiative. Wallsten discussed their findings yesterday at the 38th Research Conference on Communication, Information and Internet Policy, sponsored by TPRC.

While policymakers focus on driving residential broadband adoption as a key factor in economic recovery and growth, little research supports claims that such policies can have short-term economic effects, explains Scott Wallsten in “The Future of Digital Communications Research and Policy.” To assist policymakers, researchers should focus on the effects of broadband use in business to measure how the technology will impact productivity and, ultimately, in what ways it will shape the economy. The piece was first published in “The Future of Digital Communications: Policy Perspectives,” a collection of essays sponsored by Time Warner Cable, and will be published in the forthcoming volume of the Federal Communications Law Journal.