A recent study, underwritten by the broadband industry, threw shade at cities who have deployed gigabit connections within their boundaries, suggesting that “nobody is sure what (gigabit) is good for.” While it’s true that there’s no “killer app” out there that requires a gigabit connection, the study may have overlooked what offering gigabit has done for the customer base: introduced competition where there was none, which in turn has brought lower prices.
As detailed in new report from the Fiber to the Home Council, in areas where gigabit has been made available, the cost of slower levels of service has been reduced, often significantly. For example, in places where gigabit has been introduced, the study found that tiers running at 100 Mbps or faster drop by $27 per month, while prices for 25 Mbps service decrease by $13-$18 per month. So even if no “killer app” exists yet for gigabit networking, it’s still beneficial for communities interested in future-proofing their networks and providing much needed competition.
