Avoiding the Overbuild Trap: Adoption, Not Overbuilding, Drives Connectivity and Digital Opportunity

Vernonburg Group has released a new white paper showing that broadband funding achieves more than twice the impact when invested in adoption-focused programs rather than network overbuilds in already-served areas. 

The report, Avoiding the Overbuild Trap: Adoption, Not Overbuilding, Drives Connectivity and Digital Opportunity, challenges the practice of using public funds to subsidize new broadband networks in areas where high-speed service is already available. Authors Paul Garnett, Breese McIlvaine, and Alexander Jeffery, urge policymakers to develop and implement comprehensive digital opportunity programs that address the true drivers of the digital divide. 

The report describes the risks of overbuilds, highlighting how publicly funded broadband network overbuilds often fail to achieve their stated goals and create market distortions that deter private investment and undermine efforts by existing providers to increase and improve broadband availability and adoption. 

In comparing publicly funded adoption programs to overbuilds, the analysis shows that comprehensive programs focused on digital navigators, digital skills, and service and device affordability  not only address root causes of non-adoption but also serve at least twice as many households per dollar spent. The authors provide detailed analysis, costing assumptions, examples, and resources to assist policymakers in designing tailored programs that effectively address local barriers to narrow connectivity gaps.