NCTA Proves Virtuous Cycle Works

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[Commentary] Recently, NCTA, the trade association for the industry formerly known as cable, posted this amazing graph and blog post showing that the "virtuous cycle" the Federal Communications Commission predicted would happen when it adopted the Open Internet rules (a.k.a. net neutrality) back in December 2010. Indeed, as the NCTA graph shows (based on the latest Akamai State of the Internet Report), the average speed of broadband connections has not only continued to rise since the FCC first adopted net neutrality rules in 2010, but the rate of increase has accelerated since the FCC adopted the Title II reclassification Order in February 2015. Finally, as NCTA also points out, in the approximately 10 years since the FCC first began to enforce net neutrality through the "Internet Policy Statement" and the Comcast/BitTorrent Complaint, the cost of moving bits from their source to your home has dropped 90 percent on a per bit basis. (Whether we are actually still paying too much because of our lack of competition in the broadband market is something of a different question.)

Perhaps unsurprisingly, this matches the findings from Free Press' Derek Turner in this massive and meticulously documented report, "Broadband Investments And Where To Find Them." But it's still nice to see NCTA confirm it.


NCTA Proves Virtuous Cycle Works