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Point Topic: U.S. 43rd in Broadband Pricing
by Karl Bode 10:27AM Friday May 02 2014
Sticking to the country's well-established trend for broadband mediocrity, a new report by Point Topic notes that the United States ranks 43rd out of 90 countries when it comes to broadband pricing. According to the report, the U.S. at least fell slightly below the global average of $76.61 per month. The average bandwidth provided by residential services was 55 Mbps, meaning the global average cost per megabit was $1.39, notes the firm.

Topping the list for the cheapest broadband was France, which of course took our discarded and now vilified attempt at local loop unbundling and open access and made it work for consumers, resulting in some of the least inexpensive triple play bundles in the world. Rounding out the top five cheapest nations was Romania, Japan, Russia and Israel.

"North America continues to be comparatively expensive per megabit for all technologies," Point Topic concluded. Bolivia, Peru, Vietnam, Iran and Thailand battled for the right to be declared the most expensive broadband in the world.
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elray

join:2000-12-16
Santa Monica, CA
Reviews:
·Time Warner Cable
·EarthLink

1 recommendation

More meaningless metrics

Such rankings ignore geography, subsidy/tax rates and policy.

Given the rate of increase in broadband speeds, showing a modest increase in monthly cost from $47 to slightly over 50, in four years, is nothing to be ashamed of.

"Price per megabit" is the most misleading figure one could cook up - most are much more concerned with a low[er] basic monthly rate for nominal speeds, not "Gigabit" hype.
BosstonesOwn

join:2002-12-15
Wakefield, MA
Reviews:
·Verizon FiOS

2 recommendations

Re: More meaningless metrics

Your right they do, considering we are one of, if not the wealthiest country in the world we should be able to pay for faster broadband and deploy that faster service all over our country.

But don't let it fool you.

Oh wait we also pay into the USF and they use that to roll out broadba... oh wait they don't they just pocket it to pad the numbers.

So why exactly should we let them slide for this again ?
--
"It's always funny until someone gets hurt......and then it's absolutely friggin' hysterical!"
elray

join:2000-12-16
Santa Monica, CA
Reviews:
·Time Warner Cable
·EarthLink

Re: More meaningless metrics

Our "wealth" (debt) as a country does not mean that we can subsidize everything for everyone ... and make it up on the volume, sorry.

We probably would agree on what we could cut out of the budget to accommodate nice things like "universal fiber", assuming that is actually good public policy. But at the moment, we overspend 40 cents on the dollar, so that isn't going to happen, and no, thank you, I don't want to be taxed via USF for it.
BosstonesOwn

join:2002-12-15
Wakefield, MA
Reviews:
·Verizon FiOS

Re: More meaningless metrics

Seriously ? You don't wanna pay the USF ? You realize you already do this right ? And you realize they don't even tally how much of it is spent by each provider ? You already pay into it and these slugs use it to pad their numbers, they use 1 dollar of it for providing some one access to the phone network and they can write off every disbursement payment they take !

This country is so over taxed it's not funny, but you know we are all ok with it. As a business owner I lost 52% of my money to taxes. And that is not just profit. Because I lack the corporate leeches to abuse the system like these guys do, again let me know why we should let them slide on this one ?

Let me know when you get taxed this heavily and some of your workers and friends can't get better then 56K because they live in a "rural area" 5 miles outside a big city.

Our wealth as a country means we have more purchasing power then many other countries, and the USF fees should be routed to provide broadband to every one just like we did with phone service.
--
"It's always funny until someone gets hurt......and then it's absolutely friggin' hysterical!"
elray

join:2000-12-16
Santa Monica, CA
Reviews:
·Time Warner Cable
·EarthLink

Re: More meaningless metrics

That's right, I don't want to pay the USF. Its just another tax.
The program has been rife with fraud and abuse, on both sides of the aisle (corporate and government) since its inception. Unless we end the funding, the fraud will continue.

My workers and friends who live "5 miles outside a big city" enjoy lower real estate costs; if they want broadband, and it costs more, they are perfectly capable of making that decision for themselves, without asking me to subsidize them.

Amun

@98.246.192.x

Re: More meaningless metrics

Hey that's fine. It just means that the next big thing in tech wont come from the youngsters here that are trapped with 1.5mbit DSL. It will come from the kids in Europe and Asia that have reliable super high speed connections and don't think anything of it.
BosstonesOwn

join:2002-12-15
Wakefield, MA
Reviews:
·Verizon FiOS
The point here is you already pay it ! WTF do you let the government slide on this ? Spend the USF on what it was intended to do, not just keep being taxed and let it be misappropriated.
--
"It's always funny until someone gets hurt......and then it's absolutely friggin' hysterical!"
elray

join:2000-12-16
Santa Monica, CA
Reviews:
·Time Warner Cable
·EarthLink

Re: More meaningless metrics

said by BosstonesOwn:

The point here is you already pay it ! WTF do you let the government slide on this ? Spend the USF on what it was intended to do, not just keep being taxed and let it be misappropriated.

Any money that we've already paid ... can be refunded to us.

The program was corrupt from day one; the only solution is to end it, not spend even more money trying to fix it. The best way to hold government accountable ... is to stop funding them.
Rakeesh

join:2011-10-30
Mesa, AZ
Compare the price of a big mac in the US vs the price of a big mac in China.

Shit always costs more in America, I'm not sure why anybody is shocked that this includes broadband.
elray

join:2000-12-16
Santa Monica, CA
Reviews:
·Time Warner Cable
·EarthLink

Re: More meaningless metrics

In comparative dollars, indeed, the Big Mac is pricier in the US, but in terms of wages and buying power, it is far more expensive in China.

Who knew(?) the WSJ would actually chart this:

»blogs.wsj.com/economics/2012/04/···e-wages/

Likewise, broadband may appear to be slightly more expensive in the US, but it is not, it just isn't subsidized. The citizenry actually has a choice NOT to pay for it.
Rakeesh

join:2011-10-30
Mesa, AZ
Reviews:
·Sprint Mobile Br..
·Cox HSI

Re: More meaningless metrics

I think that is a good choice to have. Personally, I hate the MPAA/RIAA, and if we lived in some place like Canada, I'd be forced to pay them money to buy blank CDs. I honestly *hate* being forced to pay for services I don't use. In todays economy, I don't see how you can get by without internet access, but I'm not everybody. Some people do, apparently.

In fact, strangely enough, some of our congress critters pride themselves on never using any internet services (this includes both democrat and republican, btw) meanwhile they feel the need to tax it and regulate it, often times for the express purpose of satisfying guess who...(hint: I mentioned them earlier.)

battleop

join:2005-09-28
00000
"In comparative dollars, indeed, the Big Mac is pricier in the US, but in terms of wages and buying power, it is far more expensive in China."

I sound more expensive but when they say Brand X car costs 3 days wages or a house cost 2 weeks wages it helps to bring stuff in to perspective.
--
I do not, have not, and will not work for AT&T/Comcast/Verizon/Charter or similar sized company.

battleop

join:2005-09-28
00000
'Such rankings ignore geography, subsidy/tax rates and policy."

Yea but they drive up the number of comments.
--
I do not, have not, and will not work for AT&T/Comcast/Verizon/Charter or similar sized company.

blackice

join:2014-01-02
Pittsfield, MA

I wish studies gave the median as well.

I wounded just how skewed the US average is with outliers like google fiber, and other smaller gigabit deployments. Something tells me it is not that big but I would be curious to find out the speeds and prices the majority of Americans are getting and not just the average.

tshirt
Premium,MVM
join:2004-07-11
Snohomish, WA
kudos:5
Reviews:
·Comcast

Slightly better than average...

... is pretty good ( except in Lake Woebegone) and sounds like a sustainable balance.

Average does not necessarily mean mediocre, just not close to one extreme or the other.
And pricing alone is not a total indicator of quality or the "value" received which is skewed by societal factors.
frdrizzt

join:2008-05-03
Ronkonkoma, NY
kudos:3

Re: Slightly better than average...

We're number meh!

alchav

join:2002-05-17
Saint George, UT
Reviews:
·ooma

What does the Average American want to Pay for Internet?

I think it all comes down to this question, and it seems the least possible is the answer. In any Community I've been, people take pride in trying to find the best bargain on Internet Access. Remember the old Dial-up days for Internet, I think you could find some $5/mo. Access. I think back then the Average Pricing was between $10 and $20, and even now you can find some $20 deals for 5 to 10Mbps.

Now jump forward to GigaBit Fiber and the Average Person still doesn't want to pay that much, no matter the Technology. All the Average Person wants to get are eMail, Web Browsing, and maybe a little YouTube. So they will shop around ISP's to get the best pricing, and they could care less about Fiber, Copper, or Wireless. That's why Companies like Google, Verizon, and AT&T try to find their Customer Base and give them what they want and are willing to buy.

why60loss

join:2012-09-20
Reviews:
·Comcast
·Time Warner Cable
·Verizon Wireless..

Re: What does the Average American want to Pay for Internet?

said by alchav:

I think it all comes down to this question, and it seems the least possible is the answer. In any Community I've been, people take pride in trying to find the best bargain on Internet Access. Remember the old Dial-up days for Internet, I think you could find some $5/mo. Access. I think back then the Average Pricing was between $10 and $20, and even now you can find some $20 deals for 5 to 10Mbps.

Now jump forward to GigaBit Fiber and the Average Person still doesn't want to pay that much, no matter the Technology. All the Average Person wants to get are eMail, Web Browsing, and maybe a little YouTube. So they will shop around ISP's to get the best pricing, and they could care less about Fiber, Copper, or Wireless. That's why Companies like Google, Verizon, and AT&T try to find their Customer Base and give them what they want and are willing to buy.

If pricing really was all the average American cared about, how come the average cost for internet is $50 and AT&T+Verizon wireless have 200+ subs?

I know most folks don't like the idea of paying 70 dollars for internet but $50 for 55mbs would be just fine for most. Also a lot of folks hate cheap DSL and would gladly pay $70 a month to google if that was the only other choice.

If Verizon and AT&T cared about how much the customer is willing to pay for, then Verizon can drop the $40 a month price tag on 1.5mbs DSL in VA and AT&T can bring back the lower cost Go phone plans at $10 a month.

What on earth is so hard about doing 50mbs for $30 a month for any joe on the street?

If you ever talk to folks around the world that aren't closed minded, you would know the US has some of the most costly broadband out there. In Japan you can get 2GBs for about $50 USD and 100mbs for like 20-30 USD. Yea good luck getting those cost in NYC or any other big city in the US. Not even to say of the small towns doomed to 1-6mbs DSL at $30-$50 a month.
LTE4LIFE

join:2013-02-28

Re: What does the Average American want to Pay for Internet?

Israel is cheaper than America because the Pro-Israel lobby makes damn sure that Israel gets a big fat welfare check of $6 billion a year in financial aid...
valgaav

join:2011-06-07
Dom. Rep.
Reviews:
·tricom

Re: What does the Average American want to Pay for Internet?

I'm not sure where would Dominican Republic land in the rankings, but 1mb/256k adsl, cable, FTTC AND FTTH(yes, FTTH) is USD$21, the highest tier is 100/5 and costs USD$858 a month, thats only available on Cable and FTTH, right now I'm paying $30 for a 2mbit/512kbps, back in 2007 I was paying the same for 1/256.... So yeah, their "speed upgrades" really suck.

alchav

join:2002-05-17
Saint George, UT
Reviews:
·ooma
said by why60loss:

If pricing really was all the average American cared about, how come the average cost for internet is $50 and AT&T+Verizon wireless have 200+ subs?

I know most folks don't like the idea of paying 70 dollars for internet but $50 for 55mbs would be just fine for most. Also a lot of folks hate cheap DSL and would gladly pay $70 a month to google if that was the only other choice.

What on earth is so hard about doing 50mbs for $30 a month for any joe on the street?

See even here on a Tech Site, Bandwidth and Speed are treated like Air and Space, as long as you have a connection there isn't a problem. Just run me a 50Mbs connection, no matter what it cost you just charge me $30/mo. Well it's a little more complicated than that. So what it comes down to is what are you willing to pay, to get the Bandwidth and Speed you want. The most Bandwidth of course is Fiber and the least is twisted Copper. If all you want to pay is around $20 then DSL over twisted Copper is your answer, want the most Bandwidth and Speed you'll have to pay for Fiber. Any Joe has to decide what they want and are willing to pay. There are no Free Lunches, you have to Pay to Play!

why60loss

join:2012-09-20
Reviews:
·Comcast
·Time Warner Cable
·Verizon Wireless..

Re: What does the Average American want to Pay for Internet?

said by alchav:

said by why60loss:

If pricing really was all the average American cared about, how come the average cost for internet is $50 and AT&T+Verizon wireless have 200+ subs?

I know most folks don't like the idea of paying 70 dollars for internet but $50 for 55mbs would be just fine for most. Also a lot of folks hate cheap DSL and would gladly pay $70 a month to google if that was the only other choice.

What on earth is so hard about doing 50mbs for $30 a month for any joe on the street?

See even here on a Tech Site, Bandwidth and Speed are treated like Air and Space, as long as you have a connection there isn't a problem. Just run me a 50Mbs connection, no matter what it cost you just charge me $30/mo. Well it's a little more complicated than that. So what it comes down to is what are you willing to pay, to get the Bandwidth and Speed you want. The most Bandwidth of course is Fiber and the least is twisted Copper. If all you want to pay is around $20 then DSL over twisted Copper is your answer, want the most Bandwidth and Speed you'll have to pay for Fiber. Any Joe has to decide what they want and are willing to pay. There are no Free Lunches, you have to Pay to Play!

Where on earth do you get the idea that folks can still get $20 a month DSL at every dip town in the US?

Also that Cheap dsl tends to quit and drop a lot, I know very well having 56k, cable, DSL and wireless 4G though out my life. Why should 2gbs FTTH in japan cost $50 USD a month yet in NYC 30mbs cable cost $55 or so?

Its called what ever business can get away with, not what the joe "decides". In short, yes I under stand business so I know why it's not going to happen.( I was working on a degree in business, so I know the basics. Decided I didn't like business. LOL)

P.S If air is just air then go to china and come back. Also yea go live a house full of 15-20 people and tell me space is just meaningless. Oh tell those family's who had loved ones die in a coal mine from coal dust air is just air. Sure they would love to hear that.
--
For those who chose there own fears over liberty will only dig them self's deeper into the pit of darkness. For those who chose to blame tools over each other for wrong doing, it will only lead to madness. -Unknown

alchav

join:2002-05-17
Saint George, UT
Reviews:
·ooma

Re: What does the Average American want to Pay for Internet?

So I guess bottom line, you want to pay no more than $30/mo for Internet and get at least 50Mbps. Your justification is other countries can do it, why not the USA. Well other countries have different priorities, and you might get better Internet for the price, but give up something else that may effect you even more. You can talk all you want about this, but to get anything done you have to get personally involved to make a change. Then you can set your goals and cost, otherwise you will just have to live with what these ISP's are willing to give you. I have lived in two Communities now in the past 25 years, and both have Fiber.

why60loss

join:2012-09-20
Reviews:
·Comcast
·Time Warner Cable
·Verizon Wireless..

Re: What does the Average American want to Pay for Internet?

1) It doesn't have to be 50mbs for $30 a month, but more than 20mbs would be the goal. (By the way I have 36/6 for $30 a month from the "evil" Comcast.)

2) I know UT has tons of fiber and so I guess DSL still is in the $20 area there. Good for you then.

3) I know a guy who gut personally involved in the town I used to live in, now they are getting 1Gbs fiber for under $100 a month.

4) You sir having lived in UT seem to be very disconnected from the what the rest of the USA is dealing with in more ways then one. So great your local government works for you, wish Raleigh worked better than it does.

Or liberty in VA would push for better internet. Right now it seems like they love to rake in every dime they can. So they are untouchable and run the place like the local mob.

5) I can agree to disagree, you think a joe can just get up and fix it him self. I think it takes good leader ship with pressure from a lot of "joe's" to fix it.
--
For those who chose there own fears over liberty will only dig them self's deeper into the pit of darkness. For those who chose to blame tools over each other for wrong doing, it will only lead to madness. -Unknown

alchav

join:2002-05-17
Saint George, UT
Reviews:
·ooma

Re: What does the Average American want to Pay for Internet?

said by why60loss:

1) It doesn't have to be 50mbs for $30 a month, but more than 20mbs would be the goal. (By the way I have 36/6 for $30 a month from the "evil" Comcast.)

2) I know UT has tons of fiber and so I guess DSL still is in the $20 area there. Good for you then.

4) You sir having lived in UT seem to be very disconnected from the what the rest of the USA is dealing with in more ways then one. So great your local government works for you, wish Raleigh worked better than it does.

5) I can agree to disagree, you think a joe can just get up and fix it him self. I think it takes good leader ship with pressure from a lot of "joe's" to fix it.

I have only lived here in Utah going on 6 months, but you are right they are a progressive State, Google being in Provo proves this. The other Community I came from is in Palm Desert, CA and they have Verizon FiOS. When I moved in there all they had was Dial-up, but I became active in that Community joined a group and within a year we had TWC and Verizon. The Community had 5000 homes, so Verizon put in FiOS around 2005. That's why I keep telling you guys if you want Fiber, you have to do more than just complain.

battleop

join:2005-09-28
00000
You are absolutely correct. In the residential space the AVERAGE (That means if you are reading this I'm not talking about you) consumer does not give a crap if it's 1Mb copper or 10Gb fiber. They care that it's cheap and that it works for them and that it's cheap. They want to go to youtube and click on a link and see people racking them selves on silly videos. They want to click send on an email and whoosh away it goes. The want it to be cheap too. Oh did I mention they wanted something that's cheap?
--
I do not, have not, and will not work for AT&T/Comcast/Verizon/Charter or similar sized company.
jorcmg

join:2002-10-24
USA

Re: What does the Average American want to Pay for Internet?

You are not using the appropriate euphemism. Its not cheap...its affordable!

alchav

join:2002-05-17
Saint George, UT
Reviews:
·ooma

Re: What does the Average American want to Pay for Internet?

said by jorcmg:

You are not using the appropriate euphemism. Its not cheap...its affordable!

The other one is, "Is it Competitively Priced?"
tmc8080

join:2004-04-24
Brooklyn, NY
Reviews:
·ooma
·Optimum Online
·Verizon FiOS

The US does not lead..it corrupts

increasingly the US follows these trends.. primarily because America can not compete with countries that are the general size of our larger states with about 3-10x the number of people.

Governments around the world are more interventionist when it comes to a single industry creating the kind of corrupt business marketplace that dozens of corporations tend to do in the USA these days.

A Verizon or Comcast wouldn't exist with the regulatory environment that Europe or Asia has...

cork1958
Cork
Premium
join:2000-02-26

Re: The US does not lead..it corrupts

said by tmc8080:

A Verizon or Comcast wouldn't exist with the regulatory environment that Europe or Asia has...

And that would be a bad thing how? Is that because Europe or Asia simply wouldn't allow such a HUGE monopoly to begin with?
--
The Firefox alternative.
»www.mozilla.org/projects/seamonkey/
tmc8080

join:2004-04-24
Brooklyn, NY
Reviews:
·ooma
·Optimum Online
·Verizon FiOS

Re: The US does not lead..it corrupts

It is a bad thing when there are obvious signs that the public interest in deploying broadband in the last mile has been compromised for an entire generation (based on a % of the population served vs what should be deployed by now). Treating that as a separate issue from the anti-competitive cycle we're currently in... there are no excuses left. We've come TOO FAR along time-wise for the large geography of the USA to be an "EXCUSE" anymore..