Monday, May 12, 2008

Why US Broadband Sucks

This is an interesting article about why US broadband sucks in comparison to foreign broadband.

Despite the repeated claims of the current administration that our "broadband policy" is working, the US actually has no broadband policy and no aggressive and inspiring goals (think "moon shot"). The EDUCAUSE model suggests investing $100 billion (a third comes from the feds, a third from the states, and a third from companies) to roll out fiber to every home in the country. Whether the particular proposal has merit or not, it at least has the great virtue of being an ambitious policy that recognizes the broad economic and social benefits from fast broadband.

It seems like part of the problem is the big US broadband carriers have no real reason to offer better service for a cheaper price. There is just not enough competition to spur the companies to offer a Japan like price per Mb. If consumers are willing to pay $45 a month for 5Mbs download, 1Mbs upload with almost no alternatives then that is what companies will charge you for it. It seems that only government intervention would either drop the price or raise the speed.

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