Friday, July 20, 2012

Bad Public Policy And Internet Speeds

Emblem of Hong Kong
Emblem of Hong Kong (Photo credit: Wikipedia)
Tokyo, Seoul, and Paris get faster, cheaper broadband than US cities
The most expensive city surveyed was New York, where Verizon charges $154.98 for the cheapest fiber triple-play package...... In contrast, Riga, Seoul, and Paris all offered triple-play packages for less than $40 per month. London, Amsterdam, Berlin, Copenhagen, and Hong Kong all had triple play packages available for under $50. .... The best-performing American city was San Francisco, where Webpass offers a 200Mbps service for $37.50 per month. New Yorkers and Washingtonians can get 25Mbps service for less than $40 per month ...... way behind the world leaders. A Hong Kong service provider offers 500Mbps service for $37.34 per month. Providers in Tokyo, Riga, Seoul, Paris, Bucharest, and Berlin all offer services with 100Mbps download speeds service for less than $40 per month. ..... Residents of Chattanooga, TN, can get gigabit Internet access. Unfortunately, that service costs $317.03 per month. Verizon offers 150Mbps service in New York for $159.95 per month, and Comcast offers 105Mbps service in Washington, DC, for $105.00. ..... In Hong Kong, you can get a gigabit connection for $48.59 per month. Amsterdam offers a half gigabit for $83.33 per month. Tokyo residents can get a symmetrical 200Mbps connection for $26.85 per month. ...... incumbents in the United States don't offer ultra-fast speeds even in urban areas whose high density ought to make them cost-effective ..... broadband policy in recent years has been based on the "really flawed assumption that telephone companies and cable companies are going to compete with each other." Instead, he said, we've gotten a "negotiated truce" in which cable incumbents enjoy a de facto monopoly on high-speed broadband service, while Verizon and AT&T focus primarily on their wireless platforms ..... policymakers should re-evaluate the 2005 decision to abandon line-sharing rules. In many other countries, incumbent firms are required to lease their facilities to competitors at regulated rates. ...... more cities should consider municipal fiber projects.
The two policy prescriptions make tremendous sense. One, incumbents should be required to share their pipes with competitors. Two, cities should lay down fiber optic lines.
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