The Deployment and Adoption of Broadband Service: A Household-Level Analysis

Abstract

In recent years, the deployment and adoption of broadband service have grown dramatically. Yet, many areas still do not have access to broadband service and many households do not purchase the service. We address two questions: What factors influence the deployment of broadband service? What factors influence the adoption of broadband service? Extending the existing literature, we develop a unique dataset to examine both the deployment and adoption of broadband service at the household level. We find that demand-related variables, such as the population, income, and education level of the geographic area, and cost-related variables influence the deployment of broadband service. We also find that that income, age, educational attainment, and the presence of children influence whether a household adopts broadband service.