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E-mail Print New Broadband Study Finds Fierce Competition in Small and Medium Enterprise Market
PRI Study
10.1.2003

This paper examines the level of competition for broadband services in the small and medium-sized business market to assess how well they are being served by a variety of broadband providers such as digital subscriber lines (DSL) and cable modem providers. That question is also being considered by the Federal Communications Commission (FCC), which is currently debating whether to carve out a separate product market segment for small and medium enterprises (SMEs). In a December 2001 inquiry,1 the FCC raised a number of important questions.

How will the FCC define small and medium sized businesses? What is the relevant geographic location for SMEs? Does the FCC have adequate resources to separately monitor broadband deployment in this segment? What additional burdens will reporting requirements impose on SMEs? And is there enough empirical evidence to support the supposition that the SME market is not being adequately served by broadband providers?

 

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