LANSING – The 30 percent of Michigan households with access to high-speed Internet but don’t use it are an untapped source of economic development, especially in rural communities, according to a Public Service Commission report on broadband planning released at a press event Thursday.
“To us, that highlights something of a low-hanging-fruit opportunity,” said Brian Mefford, CEO of Connect Michigan’s parent group Connected Nation. “That represents investment that’s been made in the network, but not yet being utilized. It seems like if we can spur that adoption, then we’ve got an opportunity to get more serious about expanding the infrastructure.”
Mefford said companies are particularly looking for rural areas with broadband access.
Broadband Infrastructure, Adoption, and Technology Usage in Michigan is the result of a study conducted by Connect Michigan in partnership with the PSC.
It’s the first-ever comprehensive broadband map made of Michigan, which will assist in “planning and expansion activities,” said PSC Chair Orjiakor Isiogu.
The study evaluates availability, usage habits and deficiencies in broadband around the state.
“What strikes me in looking at this report, across that 30 percent of the state that’s not using broadband today, nearly half of them just say they don’t need it,” Mefford said. “They’re saying it’s not relevant to me.
“No matter where they are, how much money they make or what their occupation, this technology can help them in major ways. We want to make sure all areas of Michigan are high-adopters.”
Eighty-two percent of state residents own a computer, but that means 1.3 million adults don’t, and 75 percent of them say they don’t believe they need one, according to the report.
Of those who said they don’t use broadband, “29 percent say it’s simply because they don’t have a computer in the home,” said Phillip Brown, director of government affairs for Connected Nation. “That answer is more common among rural residents and low-income households, as you might expect.”
There are 121,701 Michigan households that don’t have broadband access through a cable or hard-wired telephone (DSL) service provider.
“Of those unserved today, approximately 118,000 are in rural counties,” Brown said. “In most counties, the majority of households have service, and rural deployment in Michigan is actually in quite good condition.”
The usage of broadband by 67 percent of Michigan’s households is identical to the national average.
Brown said 17 percent of residents say they regularly work from home using the telephone and Internet, or telecommute, but 27 percent said they would telecommute if they were allowed.
“The greater expansion of teleworking opportunities would expand the types of potential entrance into the labor force,” he said. “For instance, adults with disabilities or homemakers. A large percentage of those groups would be willing to enter the workforce if they could do so from home.”
Of the adults surveyed for the report, 10 percent said their only way of accessing the Internet is at a location outside of their home. Of those who don’t subscribe to broadband, 43 percent said they don’t need Internet service or don’t understand its benefits.
Sixteen percent of those who don’t subscribe said broadband wasn’t available to them, although in many cases they weren’t aware of a provider in their area, according to the report.
Scott Stevenson, president of the Telecommunications Association of Michigan, said making sure everybody who wants broadband service can get it also helps commerce.
“TAM members have ensured that the businesses they serve – especially local businesses looking to expand markets – have access to high-speed Internet access so they can compete, reach targeted markets across the world and expand into new global markets,” Stevenson said in a release. “This is today’s business environment.
“For most people, broadband is about convenience and connectivity. However, for job-providers, it’s a lifeline to sustainability.”
Broadband subscribers in Michigan pay an average of $43.59 per month, which is slightly more than the national average of $41.18.
This story was provided by Gongwer News Service. To subscribe, click on Gongwer.Com
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