The oasis in America’s affordability desert: Broadband gets faster while prices fall

Americans are understandably worried about affordability. Housing, health care, utilities, and groceries have all become more expensive in recent years, stretching household budgets and fueling concerns about the cost of living.

Yet one service that Americans rely on every day is moving in the opposite direction.

Broadband is becoming more affordable even as the quality of service continues to improve. In an economy where consumers often pay more for less, broadband stands out as a notable outlier.

According to the USTelecom 2026 Broadband Pricing Index, inflation-adjusted broadband prices fell by 6 percent in 2025 while average download speeds increased by nearly 22 percent. Entry-level plans offering speeds between 100 and 249 Mbps experienced the largest price declines, with real prices falling 17.2 percent year over year. Even gigabit service became more affordable, with inflation-adjusted prices declining nearly 5 percent.

Consumers are not merely paying less; they are receiving substantially more broadband capacity and performance for every dollar they spend.

Consumers recognize this reality. Despite widespread concerns about affordability, the USTelecom report found that only 2 percent of likely voters identify internet service as a top household cost concern. In an era when families are scrutinizing every monthly bill, broadband is not viewed as a major financial burden.

Affordability has improved across income levels as well. According to NCTA, many cable providers participate in programs that offer qualifying households home internet for approximately $15 to $30 per month. Today, roughly 92 percent of US households have access to at least one of these discounted offerings.

Broadband’s affordability record is especially noteworthy when compared with other household expenses. Bureau of Labor Statistics data show year-over-year increases of 10.8 percent for utility gas service, 6.7 percent for hospital services, 6.7 percent for electricity, and 3.9 percent for meat, poultry, fish, and eggs. While many sectors struggle with rising costs, broadband providers are delivering more at lower inflation-adjusted prices.

Just as importantly, these price declines have not come at the expense of investment or quality. Quite the opposite.

Broadband providers invested nearly $90 billion in network infrastructure in 2024, maintaining one of the highest levels of private infrastructure investment in the American economy. Since 1996, they have invested more than $2 trillion in communications networks.

Unlike many sectors where lower prices often coincide with reduced investment or deteriorating quality, broadband has achieved an unusual combination of lower inflation-adjusted prices, faster speeds, and sustained private capital investment.

Competition is a major reason why. Consumers increasingly have access to multiple broadband technologies, including cable, fiber, fixed wireless, satellite, and mobile services. Providers are investing, innovating, and competing aggressively to attract and retain customers.

Broadband demonstrates what can happen when competition, innovation, and private investment are allowed to work. At a time when rising costs dominate economic discussions, it offers an encouraging example of a market delivering exactly what consumers want: better service at lower prices.

The broadband experience should serve as a cautionary tale for policymakers who assume that affordability problems are best solved through price regulation or other government intervention rather than competition and investment.

In today’s economy, broadband remains an oasis of affordability.