Inseparable goals: Net equality and net neutrality
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1 Inseparable goals: Net equality and net neutrality For: MMTC s Broadband & Social Justice Summit January 22, 2015 Anna-Maria Kovacs, Ph.D., CFA Visiting Senior Policy Scholar Georgetown Center for Business and Public Policy
2 Net equality and net neutrality Net equality is good business Net equality is essential for social justice Net equality is inseparable from net neutrality Anna-Maria Kovacs
3 Internet access is essential For jobs For education For healthcare For creativity For expression Anna-Maria Kovacs
4 Access to the Internet Requires deployment which requires investment Requires adoption which requires affordability and user-friendliness Requires openness which requires a statute that facilitates both net neutrality and net equality Anna-Maria Kovacs
5 Net equality is good business Anna-Maria Kovacs
6 $ billions Minority buying power in 2014 was $3.4 trillion and is headed to $4.4 trillion in Multiracial Asian American Indian Black Hispanic est. Source: Selig Center Anna-Maria Kovacs
7 % of U.S. population Minority population will soon become majority: 2019 estimate is 43% 45.0% 40.0% 35.0% 30.0% 25.0% 20.0% 15.0% 10.0% Multiracial Asian American Indian Black Hispanic 5.0% 0.0% est. Source: Selig Center Anna-Maria Kovacs
8 Net equality is essential for social justice Anna-Maria Kovacs
9 % of total per capita buying power A buying-power gap remains 120% 100% 80% 60% 40% Hispanic Black American Indian Asian Multiracial White 20% 0% est. Source: Selig Center Anna-Maria Kovacs
10 Median household income as % of total US Income varies by race, gender, age 140% 120% 100% 80% 60% Hispanic Black Asian White 40% 20% 0% Source: US Census 2013 Female head of family Over 65 Anna-Maria Kovacs
11 % of adults 87% of American adults use the Internet 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% Hispanic African-American White Source: Pew Anna-Maria Kovacs
12 % of each population 90% Broadband adoption: Mobile makes a difference 80% 70% 60% 50% 40% 30% 20% 10% 0% fixed fixed or smartphone Hispanic 53% 75% Black 64% 79% White 74% 80% Source: Pew Anna-Maria Kovacs
13 % of cell Internet users Many choose mobile as their primary access to the Internet 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% Hispanic Black White Source: Pew Anna-Maria Kovacs
14 % of adults Internet use varies enormously by age 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% Source: Pew Anna-Maria Kovacs
15 % of adults Internet use also varies greatly by income 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% <$30K $30K-$50K $50K-$75K $75K+ Source: Pew Anna-Maria Kovacs
16 Net equality requires Investment Affordability User-friendliness Openness Anna-Maria Kovacs
17 Net neutrality must be achieved by means that promote net equality Anna-Maria Kovacs
18 Title II approach could harm deployment and adoption Reduce investment in both access and edge Investors only beginning to understand the financial implications. Reduce adoption via service changes Separate DNS-lookup from transmission? Make user responsible for cybersecurity? Separate offering of send from receive? Reduce consumer choice in pricing Eliminate sponsored data? Eliminate usage-based pricing? Anna-Maria Kovacs
19 Net equality and net neutrality Net equality is good business. Net equality is essential for social justice. Net equality and net neutrality must reinforce each other. Anna-Maria Kovacs
20 Sources DeNavas-Walt, Carmen and Proctor, Bernadette D. Income and Poverty in the United States: U.S. Census Bureau. September, Duggan, Maeve and Smith, Aaron. Cell Internet Use Pew Research Center. September 16, Fox, Susannah and Rainie, Lee. The Web at 25 in the U.S. Pew Research Center. February 27,2014. Humphreys, Jeffrey, M. The Multicultural Economy Selig Center for Economic Growth, University of Georgia, Terry College of Business Zickuhr, Kathryn and Smith, Aaron. Home Broadband Pew Research Center. August 26, Anna-Maria Kovacs
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