America’s Broadband Moment: Facilitating Competition in Apartment Buildings

Thirty percent of all Americans live in multi-tenant environments (“MTEs”) like apartment buildings. Their annual income tends to be only about 54% of median homeowner income, so they are at greater risk of not being able to afford broadband. When apartment owners can profit by restricting tenants’ broadband options and reducing competition, it adds to our nation’s broadband affordability challenges. Encouraging competition in MTEs will reduce broadband prices and help to connect countless families who are struggling to afford this essential service. MTE tenants should be able to choose from providers that want to serve them. But too many apartment and condominium residents are forced to pay their landlords or property managers a premium to access a prechosen broadband provider as part of bulk billing packages. Paid priority agreements and restrictive access requirements can functionally prohibit other broadband providers from reaching potential customers. The resulting broadband monopolies can lead to higher prices, lower service quality, and fewer service options for apartment-dwelling households. Here are three significant ways that governments can ensure competitive choices for renters.

[Ryland Sherman is Benton’s lead researcher on broadband accessibility and affordability in underserved communities]