Addressing the Broadband Gap

Jack M. Geller, Ph.D.

The EDA Center at the University of Minnesota-Crookston

Funding to the EDA Center supported by the Blandin Foundation Grant No. U2010-001

The Technology Adoption Curve

Computer, Internet and Broadband Adoption among MIRC Demonstration Communities

Computer Internet Broadband Dial-upCommunity Ownership Connectivity AdoptionAdoption Benton County 74.2% 70.6% 66.3% 4.3%Cook County 83.3% 74.8% 50.2% 24.6%Itasca County 72.9% 68.2% 63.3% 4.9%Kandiyohi Co. 74.0% 66.5% 64.0% 2.5%Leech Lake Band 66.9% 57.4% 48.8% 8.6%Stevens County 73.9% 68.1% 64.4% 3.7%Thief River Falls 71.1% 67.0% 59.4% 7.6%Windom 69.8% 66.4% 62.7% 3.7%Winona 80.2% 76.0% 69.2% 6.8%Worthington 61.3% 56.0% 53.9% 2.1%Upper MN Valley 67.5% 60.2% 57.6% 2.6%

Rural Statewide 74.3% 70% 64% 6%

Computer & Internet Connectivity by Age

<21 22-35 36-55 56-64 65 and older

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

83.30%

89.70%

84.00%

74.50%

38.90%

83.00%86.00%

80.00%

70.80%

36.30%

ComputerInternet

Computer & Internet Connectivity by Income

Less than $25,000

$25,000-$39,000

$40,000-$49,000

$50,000-$74,000

$75,000-$100,000

$100,000-$150,000

More than $150,000

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

42.50%

65.10%

73.20%

87.30% 88.60%

96.40%100.00%

34.60%

61.60%

69.50%

84.80% 86.40%

92.80%

100.00%

ComputerInternet

A Closer Look at the Digitally Distant

Those who do not even have a computer!

Common Reasons why no Computer

Don't need one

Too Expensive

Don't know how to use

Access Elsewhere

I'm too old

0 5 10 15 20 25 30 35 40 45 50

43.4%

8.4%

10.3%

7.4%

21.8%

Percent of Digitally Distant By Age

under 21 22-35 36-54 55-64 65 +0

10

20

30

40

50

60

70

80

0.6%2.6%

14.6% 14.2%

68%

Other Characteristics of the Digitally Distant

Percent that have a cell phone: 55.3%Percent that use cell to send text messages: 6.4%Percent that use cell for email 1.0%Percent that use cell to surf the Internet: 1.0%Percent that have a total telecom bill under $100 84.1%Percent in household of 2 or fewer members 91.4%Percent with school-aged children 6.1%Percent with high school education or less 63.0%

Observations Broadband is now the predominant method by which rural residents

connect to the Internet.

In 2001 6% of all rural Minnesota households had a broadband connection; but in 2010 only 6% still have a dial-up connection.

With a few exceptions, the MIRC communities maintain adoption rates in line with the statewide averages.

Stagnant growth in home computers will create a “ceiling” on

broadband growth. The socio-economic and demographic characteristics of the digitally

distant are greater barriers to the full adoption of broadband technology than geography or topography of rural Minnesota.

Significant broadband growth will require intentional strategies to engage the digitally distant.