Broadband Convergence Is Creating More Competition

The U.S. broadband market is experiencing even stronger competition than in years past, driven in large part by technological convergence and new players entering the home broadband market. Where once home broadband service was only available from incumbent cable or telephone companies, new technologies have entered the fray, and incumbents themselves have had to reconceptualize their networks around broadband rather than specialized video or voice service. Today, there are four broad categories of home broadband technology that deliver substitutable performance for most consumer applications: fiber optic networks (referred to here as fiber), coaxial cable (cable), fixed wireless access (FWA), and low-earth-orbit (LEO) satellite constellations. This convergence increases the competitive dynamics that were already present but limited by the footprint of incumbent telephone and cable companies. These new avenues of competition benefit consumers.