Some good news for certain residents of the Empire State. Beginning Wednesday, internet service providers in the state of New York must offer low-income residents access to monthly broadband rates of $15 for 25Mbps or $20 for 200Mbps, under the new Affordable Broadband Act. The new law requires ISPs in the state to offer these rates despite resistance from a coalition of broadband companies who asked the US Supreme Court to block the mandate. The Supreme Court declined to hear that case in mid-December.
As of the end of 2024, the average cost that Americans pay for high-speed internet service is $63 a month across all speeds and with discounts applied, not including the cost some pay to rent equipment, which brings the average up to $78 per month. Studies have found that low-income families have struggled to pay monthly internet fees, a problem that was underscored during the COVID-19 pandemic, when families needed home internet service to virtually attend school and work.
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In May last year, funds ran out for the federal Affordable Connectivity Program, which provided a discount of up to $30 per month toward internet service for eligible households and up to $75 per month for households on qualifying Tribal lands.
Some 23 million Americans were part of that program and roughly 3 million households said they planned to cancel their internet service when the program ended, according to a Benton Institute for Broadband & Society survey.
The New York law was challenged after it passed in 2021 and was held up in legal fights that culminated last April when an appeals court ruled that the Affordable Broadband Act could move forward.
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Since the law was passed, the definition of what constitutes high-speed internet has changed, and different ISPs appear to be offering different discounted rates in New York ranging from less than $10 a month for some existing programs such as Astound’s Internet First program to $25 a month through Spectrum’s Internet Assist Program. It’s likely pricing and broadband speeds for some of these tiers may change as ISPs accommodate the law going into effect.
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