Open up those highways

OPEN UP THOSE HIGHWAYS
[SOURCE: The Economist]
Broadband has become as vital a tool for producers and distributors of goods as it is for people plugging into all the social and cultural opportunities offered by the web. Easy access to cheap, fast Internet services has become a facilitator of economic growth and a measure of economic performance. No wonder, then, that statistics show a surge in broadband use, especially in places that are already prosperous. What accounts for the differences among rich countries? Two or three years ago demography was often cited: small, densely populated countries were easier to wire up than big, sparsely inhabited ones. But the leaders in broadband usage include Canada, where a tiny population is spread over a vast area. The best explanation, in fact, is that broadband thrives on a mix of competition and active regulation, to ensure an open contest. A lack of competition-boosting oversight is one reason for the poor record of the United States (and indeed for New Zealand, another unexpected laggard). Most Americans have a choice of only two broadband providers, either a telecoms or a cable operator. This virtual duopoly suits both sorts of provider, and neither has raced to offer its customers faster access. In some American states, prices have risen; in most other countries they have dropped. As broadband grows more popular, the political mood may change in many countries. At present, consumers are often misled by the speeds that operators promise to deliver. Soon regulators can expect to face pressure to ensure truth in advertising, as well as to promote easier access. Pressure will also come to correct another problem: most operators cap the amount of traffic users may send and receive each month, and nearly all provide far less speed for sending than for receiving. In other words, broadband doesn't really offer a two-way street. This will matter more as users turn into creators of content, from videos to blogs, and ask to be treated with due respect.
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