Digital Equity and Broadband Adoption

Current research suggests that low-income people can only afford to pay about $10  monthly for broadband. Anything more competes with other utility bills and the cost of food. Meeting the goal of universal connectivity and providing fixed broadband at about $10 per month requires a multi-pronged strategy - what my Benton colleague Jonathan Sallet calls an “Affordability Agenda.” It includes:

1. Price Transparency:  Carriers should be required to submit non-promotional pricing information including equipment and other fees to the FCC, which should make that information public. The FCC or Congress should also restore the Fixed Broadband Consumer Disclosure Label. Both will help consumers make informed choices about the price, quality, and value of their broadband service.
2. More Competition: More competition means lower broadband prices. Even under the FCC’s overly optimistic data, nearly 30% of the country has access to no more than 2 providers at 25/3 speeds, and 95% has access to no more than 2 at speeds of 100/10. Congress should prohibit states from blocking communities that wish to build their own broadband networks and also give a bidding preference to “open access networks” when allocating deployment subsidies. These networks allow any broadband provider to provide last-mile service. An open-access network in Utah gives residents of 15 cities a choice of 10 ISPs. Most Americans can’t fathom that.
3. A Strong Lifeline Program: Congress should strengthen Lifeline and make it easier for the most vulnerable in society to access the program. It should make clear that Lifeline can support broadband service; restore the Lifeline Broadband Provider designation to bring new competition to the program; and give USAC the resources it needs to expedite the hard launch of the National Eligibility Verifier, which will make eligibility determinations automatic for many applicants. Policymakers should also consider providing an additional subsidy so Lifeline recipients can purchase fixed broadband. The $9.25 subsidy doesn’t go very far for the broadband needed to do research papers, apply for jobs and access telehealth services.
4. Low-Cost Broadband for Federally Subsidized Networks. The FCC disburses billions of dollars annually to mobile and fixed providers to build out their networks. It should require those carriers to provide a $10 a month high-speed broadband plan to low-income Americans.
5. Support for Access “To and Through” Community Anchor Institutions
6. Finally, Congress and the FCC should assist local communities’ digital inclusion efforts.

[Gigi B. Sohn is a Distinguished Fellow, Georgetown Law Institute for Technology Law & Policy and Benton Senior Fellow and Public Advocate]