• by July 8, 2005

The Federal Communications Commission (FCC) reports that the number of consumers and businesses that have broadband (high-speed) Internet service increased 34 percent last year to nearly 38 million lines. The FCC reports that nearly 5.4 million broadband subscribers were added during the second half of 2004.

In the battle between cable and telecommunications companies to provide broadband service, cable added nearly 5 million customers in 2004 for a 30 percent increase to 21.4 million lines, while telcos increased the number of DSL subscribers by nearly 45 percent to 13.8 million lines. Increasingly, consumers can't tell the difference between cable and telco companies - both are racing to provide broadband and an array of telecommunications services.

Despite last year's hefty gain in subscribers, the United States remains behind other countries in broadband penetration. That's due, in part, to subsidies that some governments give to spur broadband deployment.

One of the most interesting developments that is sure to hasten more than broadband penetration is the investment by Google, Hearst Corp., and Goldman Sachs in Current Communications Group, a provider of high-speed Internet access over electrical power lines. Broad-scale deployment of such technology would make high-speed Internet and a host of other communications services as ubiquitous as turning on the tap and getting a glass of water. Now that is truly on-demand.

Current wants to provide voice, video, and data services over power lines in the United States and abroad. It's an interesting proposition and one we're looking forward to seeing go live. But don't worry; we'll pay for it. The consumer always pays.