11 Straight Years of Better Service at Lower Real Cost
By Blake Reed
Good news for American families: broadband is one of the few things in the economy that keeps getting cheaper and better.
According to the latest 2026 USTelecom Broadband Pricing Index (BPI), real (inflation-adjusted) prices for popular home internet plans fell again in 2025. This marks the 11th straight year of declining prices even as speeds and overall performance continue to climb.
Real prices for typical plans between 100 and 940 Mbps dropped 6.0% over the past year. Since 2014, they’ve fallen a remarkable 43.6% in real terms. Gigabit service saw a 4.9% price drop in 2025 and is now nearly 49% cheaper than it was in 2016. Even entry-level plans got significantly more affordable, falling 17.2% in real terms last year alone.
At the same time, the service itself has improved dramatically. Average download speeds climbed 21.9% last year and have surged 145% since 2014. Upload speeds are up nearly 95% and the real price per megabit has plummeted more than 85%. Today, one in three U.S. households enjoys gigabit speeds — something that would have seemed futuristic not long ago.
This consistent progress is clearcut proof that markets work. When the government does not overregulate, when spectrum is made available instead of being doled out to the politically connected, intense competition between providers follows. Competition fuels early $90 billion in annual private investment and drives down prices while delivering more value to consumers year after year. No heavy-handed mandates or massive government subsidies required. Just companies fighting to win customers by offering faster speeds at better prices.
On the competition front, three out of every four Americans have three or more options for broadband providers. Five years ago that number was only 17%. The continued strength of cable and new competition from improving 5G fixed wireless and satellite internet have given the consumer a windfall of choice.
In a time when so many household expenses keep rising, broadband stands out as a rare success story of American innovation and competition. Just 2% of likely voters ranked internet service costs as a top worry—behind groceries, health insurance, housing, and every other category surveyed. It’s a strong reminder that when markets are allowed to function freely, they deliver results that benefit everyday Americans far better than top-down regulation ever could.
Policymakers should take note. Rather than burdening providers with new rules that could slow investment, they should focus on preserving the competitive environment that has already driven down prices and dramatically improved service for millions of households.
To read the full 2026 USTelecom Broadband Pricing Index report, click here.