High-speed internet access and diffusion of new technologies in nonmetro areas

Abstract

Using Federal Communications Commission internet data during the period 2014–2021, this paper studies high-speed internet access across metro and nonmetro areas by technology types. The paper develops the measures of the tract-level availability of a technology, based on the number of internet service providers of the technology in each census block. The analysis shows that all technologies had been less available and slower in nonmetro areas than metro areas even after controlling for relevant factors such as household incomes and labor market conditions. In addition, a new technology, namely Cable Modem-DOCSIS (Data Over Cable Service Interface Specifications) 3.1, had replaced an old one, namely Cable Modem-DOCSIS 3.0, in nonmetro areas at much slower rates than in metro areas. The paper then discusses policy implications of the high-speed internet gap.