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Rural Broadband Peter Stenberg, Ph.D. USDA-Economic Research Service Presented at the FCC Staff Workshop "Building the Fact Base: The State of Broadband Adoption and Utilization," August 19, 2009 The views expressed are those of the authors and do not necessarily reflect the views of the Economic Research Service or the U.S. Department of Agriculture

Rural Broadband Peter Stenberg, Ph.D. USDA-Economic Research Service Presented at the FCC Staff Workshop "Building the Fact Base: The State of Broadband

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Page 1: Rural Broadband Peter Stenberg, Ph.D. USDA-Economic Research Service Presented at the FCC Staff Workshop "Building the Fact Base: The State of Broadband

Rural Broadband

Peter Stenberg, Ph.D.USDA-Economic Research Service

Presented at the FCC Staff Workshop "Building the Fact Base: The State of Broadband Adoption and Utilization," August 19, 2009

The views expressed are those of the authors and do not necessarily reflect the views of the Economic

Research Service or the U.S. Department of Agriculture

Page 2: Rural Broadband Peter Stenberg, Ph.D. USDA-Economic Research Service Presented at the FCC Staff Workshop "Building the Fact Base: The State of Broadband

Online households with broadband access by income, 2007

50

55

60

65

70

75

80

85

90

95

100 2

5,00

0 -

29,9

99

30,

000

-34

,999

35,

000-

39,9

99

40,

000

-49

,999

50,

000

-59

,999

60,

000

-74

,999

75,

000

-99

,999

100

,000

-14

9,99

9

150

,000

and

over

household income

per

cen

t o

f al

l h

ou

seh

old

s w

ith

In

tern

et

acce

ss

total

metro

nonmetro

Source: ERS

Broadband Internet in Rural Households

Page 3: Rural Broadband Peter Stenberg, Ph.D. USDA-Economic Research Service Presented at the FCC Staff Workshop "Building the Fact Base: The State of Broadband

Broadband Internet Availability

Page 4: Rural Broadband Peter Stenberg, Ph.D. USDA-Economic Research Service Presented at the FCC Staff Workshop "Building the Fact Base: The State of Broadband

County Representation of Average Broadband Provision per Square Kilometer, 2000

Page 5: Rural Broadband Peter Stenberg, Ph.D. USDA-Economic Research Service Presented at the FCC Staff Workshop "Building the Fact Base: The State of Broadband

Change in Farm Broadband Use, 2005-2007

Page 6: Rural Broadband Peter Stenberg, Ph.D. USDA-Economic Research Service Presented at the FCC Staff Workshop "Building the Fact Base: The State of Broadband

Conclusion• Rapid broadband rollout, but not universal.

• Sharp differences in conversion rates across the country.

• Some credence to the common hypothesis that people do choose to use broadband if given the option.

• The preponderance of DSL service for farms indicates both the mostly rural location of most farms as well as Internet users finding satellite a less desirable option.

• Government policies that encourage deployment of broadband services have broadened, and will further broaden, availability in Rural America as they address unserved and underserved communities.