The Ever-Changing Landscape of Broadband

John WalkerConnected Nation

Research & GIS Analyst

November, 2012

Percent of Minnesota residents without home broadband service

Q: Which one of these is the main reason why you do not subscribe to home Internet service? andQ: Which one of these is the main reason why you do not subscribe to home broadband service? (n=1,900 MN residents without home broadband service)

Main Barrier to Broadband Adoption

Relevance29%

Cost26%

Digital Literacy

18%

Availabil-ity9%

Other11%

Don't know7%

Source: 2011 Connect MinnesotaNon-Adopter Technology Assessment

www.connectmn.org

National Broadband Map

Data collected by Connect Minnesota is submitted to the

National Telecommunications and Information Agency for inclusion

in the National Broadband Map

What is Broadband

Federal Communications Commission's Standards for High-Speed Internet

1996 – High Speed Line considered 200 Kbps download and 200 Kbps upload.

2008 – Basic Level Broadband considered 768 Kbps download and 200 Kbps upload.

2010 – National Broadband Plan stated “every home and business” needs access to at least 4 Mbps download and 1 Mbps upload.

2015 – Access to at least 50 Mbps download to approximately 100 million households.

2020 – Access to at least 100 Mbps download to approximately 100 million households. Approximately 500 times faster than 1996.

Minnesota Broadband Goals (Minnesota Statute § 237.012):

Subdivision 1. Universal access and high-speed goal.

It is a state goal that as soon as possible, but no later than 2015, all state residents and businesses have access to high-speed broadband that provides minimum download speeds of 10 to 20 megabits per second and minimum upload speeds of 5 to 10 megabits per second.

State of Minnesota Statutory Broadband Service

Broadband Availability Fixed Broadband Service

Fixed Broadband Service by Speed Tier

Speed TierDownload/Upload

Percent Served HouseholdsJune 2011

Percent Served Households

Dec. 2011

Percent Served HouseholdsJune 2012

768Kbps/200Kbps 97.08 97.77 97.99

1.5 Mbps/200Kbps 96.73 97.33 97.54

3 Mbps/768 Kbps 91.14 93.04 94.51

6Mbps/1.5Mbps 81.20 85.09 86.81

10Mbps/1.5Mbps 80.20 84.13 85.45

10Mbps/6Mbps 57.40 59.92 61.57

25Mbps/1.5Mbps 68.93 71.54 72.82

50Mbps/1.5Mbps 65.24 68.42 68.58

100Mbps/1.5Mbps 45.30 67.66 67.82

1Gbps/1.5Mbps - - -

Source: Connect Minnesota - June 2011, December 2011, and June 2012

768Kbps200Kbps

1.5 Mbps200 Kbps

3 Mbps768 Kbps

6 Mbps1.5 Mbps

10 Mbps6 Mbps

25 Mbps1.5 Mbps

50 Mbps 1.5 Mbps

100 Mbps1.5 Mbps

97.99 97.5494.51

86.81

61.5772.82 68.57 67.82

98.68 98.44 96.3591.64

65.88

80.3 76.95 76.3393.32 91.4382.08

54.09

32.39

22.24

11.9 10.26

Statewide Metropolitan/Micropolitan

Non-Metropolitan/Micropolitan

Fixed Broadband Service by Metropolitan/Micropolitan

ClassificationPercent of Served Households as of June 2012

Source: Connect Minnesota, June 2012; Office of Management and Budget, 2009

Broadband Readiness Index

Broadband Readiness Index

• National Goals for Broadband:

Federal Communications Commission’s National Broadband Plan, 2010– Access to 100% of households to 4 Mbps download/1 Mbps upload– Access to 85% of households to 50 Mbps download by 2015

White House, 2/10/2011– Access to 98% of households to mobile broadband by 2016

• Progress is measured in the form of grades:– A (100%): Goals Met– B (99.9% to 70%): Prepared to Meet Goals– C (69.9% to 60%): Progress Remains – D (59.9% to 0.01%): Dire Challenge Ahead– F (0%): Completely Unserved

Broadband Readiness Index

Broadband Readiness Index for Minnesota

Metropolitan/Micropolitan Non-Metropolitan/Micropolitan

GradeHousehold

DensityPercent of Population

Household Density

Percent of Population

A 562.9 51.4% - -B 27.4 42.3% 7.5 25.7%C 14.7 3.4% 6.1 39%D 15.8 2.8% 5.8 35.3%F - - - -

Total 126.9 51.2% 15.2 48.8%

Source: National Broadband Map, December 2011; U.S. Census, 2010; Office of Management and Budget, 2009

Broadband Readiness IndexMinnesota Household Density and

Population

Broadband Availability Mobile Broadband Service

Broadband Availability ofAll Platform Types by Speed Tier

Speed TierDownload/Upload

Percent of Households

Served by Fixed Platforms

Percent of Households Served

by All Platforms

Percent of Households Served by

Mobile Only

768Kbps/200Kbps 97.99 99.92 1.93

1.5 Mbps/200Kbps 97.54 99.69 2.15

3 Mbps/768 Kbps 94.51 97.44 2.93

6Mbps/1.5Mbps 86.81 89.53 2.72

10Mbps/1.5Mbps 85.45 88.66 3.21

10Mbps/6Mbps 61.57 61.57 -

25Mbps/1.5Mbps 72.82 78.82 -

50Mbps/1.5Mbps 68.58 68.58 -

100Mbps/1.5Mbps 67.82 67.82 -

1Gbps/1.5Mbps - - -

Source: Connect Minnesota, June 2012

Summary

• Mapping of service as of June 2012 showed approximately 41,000 households are without access to fixed broadband service of at least 768Kbps download and 200Kbps upload.

• Four counties in Minnesota meet desired national standards set to be in place by 2016.

• Density of households is the most significant difference between broadband services available in Metropolitan/Micropolitan and areas that are not.

• Mobile broadband service provides a means of filling the broadband availability void in unserved communities.

John Walker

Research & GIS Analyst

Connected Nation

jwalker@connectednation.org

1-877-846-7710

Contact Information