OTI Welcomes Biden Infrastructure Plan, Applauds Focus on Broadband Affordability and Competition

On Wednesday, President Biden announced the American Jobs Plan, an infrastructure package that includes $100 billion to improve the nation’s broadband infrastructure and close the digital divide. The plan echoes longstanding research from OTI, including three recent Cost of Connectivity studies that found U.S. internet prices are among the world’s highest, particularly in rural and Tribal communities. OTI has repeatedly urged Congress to pass legislation to make internet service more accessible and affordable.

The following statement can be attributed to Joshua Stager, deputy director for broadband and competition policy at New America’s Open Technology Institute:

“President Biden is absolutely right—Americans pay too much for the internet. Our research has consistently shown that the U.S. is in the grips of a broadband affordability crisis. Compared to consumers abroad, Americans pay more for less and struggle with hidden fees and opaque pricing. The president’s broadband infrastructure plan wisely targets affordability as a major cause of the digital divide. At a minimum, we need price transparency so consumers understand what they are paying for.

“The president’s plan is also right to target competition as a major problem in our nation’s broadband infrastructure. The broadband market is an oligopoly dominated by just four companies—AT&T, Comcast, Verizon, and Charter—leading to higher prices and network decay. The president’s proposal to legalize municipal and community-owned networks is a good start. Our research shows these networks are some of the most affordable and competitive in the United States. Municipal networks should be legal everywhere, and the big providers should have to compete with them.”