Broadband Speeds in Fibered us Markets: An Empirical Analysis

Abstract

ABSTRACT Broadband deployment policies have directly subsidized fiber providers because fiber broadband delivers fast download speeds. This article examines whether recent fiber buildout has increased competition for Asymmetric Digital Subscriber Lines (aDSL) and cable incumbents and whether entry by a fiber competitor predicts faster incumbent download speeds. Despite significant growth in fiber broadband service in the United States between 2014 and 2019, the number of fiber competitors in census blocks with aDSL or cable incumbents remains low. Further, our econometric results, while not interpretable as causal relationships, suggest that the entry of a rival fiber operator does not explain recent increases in cable and aDSL speeds.