Report: Broadband In US Homes Nearly 20 Percent
jangobongo writes "A Commerce Department report, prepared in September, shows that the number of Americans using fast internet connections doubled from 2001 to late 2003. Experts are disappointed though, because even though 12 million households switched to broadband, the total amounts to about 19.9 percent of all U.S. households, lagging far behind countries that include South Korea, Taiwan and Canada."
Some experts said growth was disappointing, far behind countries that include South Korea, Taiwan and Canada. The report also identified troubling figures for use or availability of high-speed Internet services among blacks, Hispanics and people in rural areas.
"It shows we continue to have a significant divide between urban and rural America in the infrastructure for the economy of the 21st century," said Gregory L. Rohde, who was top telecommunications adviser under President Clinton.
What it shows is that competition rarely exists when it comes to broadband and when it does the price/speed ratio isn't even close to what we see in foreign countries.
Significant numbers of rural Americans said they couldn't subscribe to high-speed services because none was available. Most Americans who did not use fast connections said service was either too expensive or they did not need it.
3000/256 in a neighboring area for Comcast at 45.95 (with cable) or 63.95 (without).
3000/256 in my area for Charter (with all it's port blocking glory) at 39.95
2048/256 in my area for Frontier (line) at $51.95 (not including the required telephone service which is ~$30)
We hear these great stories of inexpensive HIGH SPEED service in the countries listed in the article all the time here on Slashdot yet here in the States we have all this "competition" yet we are stuck w/slow speeds, sometimes unreliable service, and high costs (comparatively).
Once the prices drop to a reasonable level a larger percentage of people will likely switch. Right now you usually have to pay the same for dialup service that other countries pay for high-speed (and you need to have a phone line to boot).
"This is lousy," said Harris Miller, head of the Information Technology Association of America, a leading industry trade group in Washington. "We're just not keeping up with our competitors. We're not even keeping up with countries we don't consider competitors. It's not acceptable."
Yet the government continues to allow monopolies like Comcast and the local phone companies to take over areas and hog the available broadband transmission mediums. How are we supposed to compete with other countries when individual businesses don't have to compete with themselves because of government sponsored monopolies?
Americans tend to be more fix cost centric vs. Total Cost or Value centric. They will look at dialup lines and see that they can have internet service for $10-$20 threw dialup vs. $30-$40 for Broadband. They are paying twice as much then dial up. So they will stay with it. It is the same reason why a lot of people buy crappy cheapo PCs that will break and improperly run software vs. spending the extra money and buy something that is more reliable. Because Americans have a hard time quantifying Value for a product vs. the Cost of the product. When people do put the money in buying a higher priced product is usually isn't for the fact that it was the best value but they feel the need to impress someone else. This is the reason why WalMart is a Huge retail store because it gives loads of stuff at a very cheap price, it may not be the best quality or even the best overall value but it is cheap and people can get it now.
If something is so important that you feel the need to post it on the internet... It probably isn't that important.
Sadly, our being behind is fuelled by corporate interests who seem to like the status quo solely for profits.
I urge Americans to visit Sweden, Norway or Denmark in order to see how a "near perfect" system works.
No wonder, trends on technology are now being "dictated" on us by foreigners, who seem to be way ahead of us on a number of fronts including the all important Mathematics.
Cb..
Sometimes early technology adoption can stiffle a country's development. For example France promoted a custom national network (minitel) which fell behind the more open and dynamic general InterNet. On the other hand the expense of land lines in China forced it into cell phones earlier than the states.
Americans tend to be more fix cost centric vs. Total Cost or Value centric. They will look at dialup lines and see that they can have internet service for $10-$20 threw dialup vs. $30-$40 for Broadband
You're right. But Americans are no different from others.
In France, for instance, people are massively switching to DSL services not because they value Broadband more than their american counterparts, but because for several reasons the DSL market is terribly competitive : legacy operator France Telecom is forced by law to open its network to every broadband operators (and there are now more than a dozen of them, at least).
The competition is fierce and you can have 8 Mbps ADSL service for as low as 15 euros per month (http://www.neuftelecom.fr/). An other company (http://adsl.free.fr/) offers ADSL 2+ service (up to 15 Mbps download / 1 Mbps upload) for 30 Euros per month and that includes TV via DSL and Phone via DSL (unlimited local abd national calls). And you can even opt out from the legacy operator and you won't have to pay a fee to France Telecom to use their line (they own the last mile of copper) : the DSL company will have to pay a small fee to France Telecom to use the line, and most of the time they won't charge it back to you. So you have unlimited phone, high speed internet and Television via DSL, all for 30 euros per month, which is dirt cheap.
This have nothing to do with french infrastructure being more modern or anything : It's just the direct effect of fierce competition. I mean : even AOL offers 1 Mbps DSL service for 17 Euros per month (5 Mbps for 23 euros) !!!
It was the same a few years ago when 3 mobile companies battled over the emerging mobile market : prices went down and equipment rate sky rocketed.