John Horrigan

The affordability of key services such as home broadband is front and center for citizens and policymakers alike. For broadband, a number of points are important to keep in mind when thinking about service affordability:

Recently, there have been several pieces published that argue, in light of price and quality trends, that broadband service is affordable, and that, whether or not affordability matters, those who do not have service at home simply do not want it. These affordability arguments look at the Federal Communications Commission’s Urban Rate Survey to claim that broadband prices in real terms have been falling.

On January 27, 2026, Federal Communications Commission Chairman Carr posted a press release announcing that the FCC will vote on a reform proposal so that “only living and lawful Americans participate in the Federal Lifeline Program.” A motivating factor in the reform, the press release continued, was the finding from the FCC’s Inspector General report that 116,000 dead people used the Lifeline program. Over nearly five years, this cost taxpayers $5 million in costs to reimburse carriers.

Western North Carolina faces connectivity challenges.

Analysis of the Federal Communications Commission’s Urban Rate Survey data from 2020 to 2025 shows that:

The 2024 American Community Survey (ACS) shows essentially no change in wireline broadband adoption between 2023 and 2024 and just a 1-point increase in the share of households with broadband of any type. The primary growth in broadband adoption of any type occurred among households with subscriptions to cellular data plans for smartphones. While wired broadband adoption stagnated, more households relied on cell phones only for at-home internet access in 2024 than 2023—a phenomenon most common among low-income households.

The results of digital skills training are of growing interest to policymakers and other stakeholders. The National Telecommunications and Information Administration's (NTIA) Notice of Funding Opportunity (NOFO) for Digital Equity Act (DEA) programs explicitly states that grantees must assess the outcomes of initiatives DEA may fund. That is not the only motivation for understanding the impacts of digital skills programs. States, counties, or local philanthropies that fund such initiatives will want to know their impacts.

In the United States, millions of Americans lack a broadband connection at home due to the high cost and unaffordability of services. In 2021, Congress allocated nearly $65 billion for broadband programs through the Infrastructure Investment and Jobs Act. A large portion of these funds were allocated for the Broadband, Equity, Access, & Deployment and Digital Equity Act programs, which allocated funds to states for deploying infrastructure, promoting broadband adoption, and developing programs to develop digital skills.

The recently passed One Big Beautiful Bill (OBBB) is likely to result in substantial changes in the financial prospects of low-income households. There is no shortage of analyses that foresee a budget shock for the less well-off among us as the social safety net contracts and the tax burden for low-income households increases. Direct effects are one thing, whether that is less food assistance or help with the heating bill in the winter. Indirect impacts are inevitable as well—and the ability to pay for home broadband service is bound to be one of them.