Tuesday, December 26, 2017

Will U.S. Fixed Network Internet Access Prices Climb?

Some observers believe consumer internet access prices are going to climb. Some argue that value is relatively high, while prices are relatively low. Many will contest that notion, but at least in most Organization for Economic Cooperation and Development countries, prices for fixed access seem reasonable, averaging about US$40 per month for plans with about 200 Gbytes of usage, in 2016.

The real opportunity for disruptive changes, though, arguably lies with mobile internet access, as advanced 4G and 5G services operating up to gigabit speeds become more common. To be sure, mobile usage buckets would have to grow by nearly an order of magnitude to offer value-price parity with fixed network plans.

That is perhaps not likely to happen immediately, but 5G fixed wireless likely will be priced at comparable levels with other fixed offers.



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