Fact of the Week: Improvements to Broadband Speed and Adoption Contributed $1.3 Trillion to US GDP Between 2010 and 2020

Source: Raul Katz and Juan Jung, “The Contribution of Fixed Broadband to the Economic Growth of the United States Between 2010 and 2020,” (Telecom Advisory Services LLC, 2022).

Commentary: Economists from Telecom Advisory Services estimate that greater broadband adoption and faster speeds contributed $1.3 trillion to U.S. gross domestic product (GDP) between 2010 and 2020. Specifically, they found that greater speeds accounted for 11.5 percent of GDP growth during the decade, and higher connectivity rates accounted for an additional 10.9 percent. The gains to consumer surplus are even greater; increased and higher-quality access to the Internet means a wider range of services and methods of communication are available to consumers.