USTelecom’s 2021 Broadband Pricing Index (BPI) shows the decreasing cost and increasing value of broadband service in the United States between 2020 and 2021. Using FCC and other public data, the 2021 BPI research examines recent trends in residential fixed broadband pricing.
The price of the most popular tier of broadband service has declined by 7.5 percent year YOY; a one-year price decline of 9.3 percent when adjusted for inflation.
The price for the highest speed broadband service offering declined by 2.3 percent YOY; a one-year price decline of 4.2 percent when adjusted for inflation.
These broadband price declines (from 2020-2021) occurred at a time when the cost of overall goods and services increased by 1.9 percent.
UPDATE: In addition to the pricing trends of the highest speed and most popular tiers of broadband service, USTelecom has now analyzed entry-level broadband offerings. What does the data show?
Broadband Pricing Index
Investment drives completion. American consumers have access to some of the world’s most robust and resilient broadband connections.
92% of Americans have access to 100 Mbps speeds—up from only 10% a decade ago
87% of Americans have access to Gigabit speeds today—this technology simply was not even available a decade ago
Competition Issue Brief
The U.S. approach – a collaborative public-private policy framework that incentivizes capital-intensive private investment over government regulation – has delivered a more competitive U.S. broadband marketplace than Europe and additional benefits, including declining U.S. broadband prices, superior network resilience, and the ability for consumers to fully utilize digital tools and resources.
U.S. leads EU in both broadband infrastructure deployment and broadband adoption—at all speeds
Broadband providers invest substantially more in U.S. versus EU infrastructure—more than three times per household – about $700 per home each year)
U.S. consumers enjoy twice the facilities-based competition as their EU counterparts.
Universal Connectivity Issue Brief