Internet plans are generally inflation-proof, study says

No one likes getting their monthly internet bill, but a new analysis from BroadbandNow suggests consumers are getting more bang for their buck over time.

The price for consumer broadband has “remained steady on average since 2015, hovering around $90 per month” despite inflationary trends, according to the study, which looked at internet plan and pricing data from more than 2,000 ISPs delivering service through cable, DSL, and fiber technologies.

The analysis found that the average price for fiber service dropped nearly 40% after adjusting for inflation. According to BroadbandNow, this indicates that the “gold standard” technology for reliable, high-speed internet “has now matured and expanded into many existing markets.”

Internet affordability has loomed large since the onset of the Covid-19 pandemic, which put a premium on home broadband access. As BroadbandNow noted, the Affordable Connectivity Program offered many people an affordable path to becoming subscribers with monthly bill subsidies, but it ran out of money and lapsed at the end of May, affecting 23 million households.

The Democratic Party included broadband affordability as part of its official platform, released this week, and said “Democrats will keep fighting to reinstate” the ACP. (The Republican Party’s platform contains no mention of broadband or internet issues.)

BroadbandNow acknowledged that the average $90/month price point is still above its own metric for what constitutes affordable broadband: $60 or under. It said its benchmark doesn’t account for “junk fees” that might be tacked onto the base price of service.

It’s worth noting that consumer perception might differ somewhat. In a US News & World Report survey released in the spring, consumers reported their bills had steadily climbed from the $20–$60 they paid monthly when they first subscribed.