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Home My WebLink AboutAmericas Digital Inclusion Summit NTIA Research the transformative opportunities it affords. Broadband services allow individuals to access new career and educational opportunities. They help businesses reach new markets and improve efficiency. They support struggling communities that seek to Recovery Act Investments in Broadband From: National Economic Council, Executive Office of the President December 2009 st The release of this report, Digital Nation: 21 Broadband Internet Access , by the U.S. Department of Commerce occurs at a critical juncture in st the first decade of the 21 Century, too many Americans still rely on slow, narrowband Intern et access or do not use the Internet at all. This fact and others revealed in the report underscore the access to broadband Internet services. ndings are based on data collected in October 2009 through a special Internet Use a sample size of approximately 54,000 households and 129,000 citizens, the survey data provides compelling information on the state of Internet use and broadband access across America. In combination with other data collection efforts currently taking place at the Federal Communications Commission, NTIA and other federal, state and pri vate entities, this report will greatly enrich our knowledge across numerous dimensions on the status of Internet connectivity. The Internet has not only transformed the way we communicate, but also how we live, work, and learn. Although life without high speed Internet service seems unimaginable for many Americans, for too many others, broadband is still unattainable. As the world leader in technology innovation and the place where the Internet was pioneered, we can and must do better. This report will help identify both the gaps in Internet access and the reasons people that have such access are choosing not to use it. We hope that, armed with this new data, st Century information economy. Lawrence E. Strickling Assistant Secretary for Communications and Information U.S. Department of Commerce NATIONAL TELECOMMUNICATIONS AND INFORMATION ADMINISTRATION Lawrence E. Strickling Anna Gomez , Assistant , Deputy Assistant Secretary Secretary for Communications and for Communications and Information Information U.S. Commerce Department Project Team NTIA: U.S. Bureau of the Census: Office of Policy Analysis & Development: Demographic Surveys Division Daniel J. Weitzner, Associate Lisa Clement Administrator for Policy Analysis Gregory Weyland and Development Karen G. Wms. Woods James McConnaughey, Chief Economist Dennis Amari, Senior Policy Analyst Technologies Management Office Agatha Heesock Jung Office of the Assistant Secretary: Deena Shetler, Senior Policy Advisor Demographic Statistical Methods Division Thomas F. Moore Kimball T. Jonas Ariel I. Teichman Housing and Household Economic Statistics Division: Population Division Kurt J. Bauman A cknowledgments The Project Team would like to thank Tom Power, Jessica Schafer, Bart Forbes, Charles Franz, and Josephine Arnold of NTIA; Mark Doms of the Economics and Statistics Administration; David Johnson of the Census Bureau; and Marc Berejka and Patricia Buckley of the Office of the Secretary for their contributions to this report. EXECUTIVE SUMMARY st During the first decade of the 21 Century, U.S . broadband Internet connectivity by households has increased dramatically as its importance to our economy and way of life has grown . Based on a survey of over 50,000 households commissioned by the National Telecommunication s and Information Administration ( NTIA ) and conducted by the United States Census Bureau, vir tually all demographic groups have increased their adoption of broadband services at home over time . The data also reveal that demographic disparities among g roups have persisted over time. Persons with high incomes, those who are younger, Asians and Whites, the more highly - educated, married couples, and the employed tend to have higher rates of broadband use at home. Conversely, persons with low incomes, seniors, minorities, the less - educated, non - famil y households , and the non - employed tend to lag behind other groups in home broadband use. Survey results demonstrate that persons i n rural areas are less likely to use the Internet . For example, Blacks and Hispani cs in rural areas exhibit a lesser propensity to use broadband than their counterparts in urban area s . A substantial differenc e in home broadband penetration remains between urban and rural areas. Although t he gap has declined since 2007 , it still is significant. Despite the growing importance of the Internet in American life, over 30 percent of households and 35 percent of persons do not use the Internet at home, and 30 percent of all persons do not use the Internet anywhere. Those with no broadband access at home amount to more than 35 percent of all house holds and a pproximately 40 percent of all persons, with a larger proportion in rural areas in both categories . Overall, the two most important reasons given by survey 1 respondents for no t having Inadequate or no computer is also a major reason given for no home broadband adoption. In r ural America, lack of availability is a much more important reason for non - adoption than in urban areas. The U.S. Department of Commerce will undertake a more detailed analysis later this year when the full data base becomes available , and anticipate s sponsoring new collections of Census data and conducting analyses of these data bases . We also will look forward to the findings that the broader research community will provide based on this data. INTRODUCTION st Universal access to and adoption of 21 Century broadband for all citizens is a top priority for the Obama Administration. Widespread access economic leader because of its impact on increasing our productivity , global competi ti veness, and improving Americans quality of life throu gh economic growth and development , job creation, national security, telemedicine, distance learning, public safety, civic engagement, and telework . As the President stated : One key to strengthening education , entrepreneurship, and innovation in to harness the full power of the Internet, and that means faster and more widely available 2 broadband. í its sister agency , U.S. Bureau of the Census , as part of the Current Population Survey (CPS). This special Internet Use Supplement periodically surveys approximately 54,000 households and 3 gathers information on some 129,000 persons. The Census Bureau conducted this survey in 4 October 2009, the eighth such Internet survey sponsored by NTIA since the early 1990s. Below, the report documents the rapid growth overall of both broadband and the Internet in general, and the disparate increases in adoption experienced by demographic groups and 5 geographic areas. Finally, we examine the major reasons why some Americans do not access 6 broadband Internet at home. The raw data on which this report is based are posted at http://www.ntia.doc.gov/data/index. html and can be found through dataset pointers at 7 http://www.data.gov . ACCESS AND USE st During the first decade of the 21 Century, U.S . broadband Internet connectivity by households 8 has grown dramatically as its importance to our economy and way of life has grown . Ú·¹«®» ïæ Ð»®½»²¬ ±º Ø±«»¸±´¼ ©·¬¸ Ý±³°«¬»® ¿²¼ ×²¬»®²»¬ Ý±²²»½¬·±²ô Í»´»½¬»¼ Ç»¿®ô ïççé ó îððçö èð êèòé Ý±³°«¬»® êïòé êïòè ëêòî êð êíòë ëïòð ëìòê ìîòï ëðòí ëðòè ìð ìïòë ×²¬»®²»¬ íêòê Þ®±¿¼¾¿²¼ ×²¬»®²»¬ îêòî îð ïçòç ïèòê ìòì çòï ð ¤ ¤ ¤ ¤ ¤ ¤ ¤ Ñ½¬ çé Ü»½ çè ß«¹ ðð Í»° ðï Ñ½¬ ðí Ñ½¬ ðé Ñ½¬ ðç * Note: 2001, 2003, 2007, and 2009 Census - based weights and earlier years use 1990 Census - based weights. In October 2009, according to the Census Current Population Survey data, 63.5 percent (75.8 million) of U.S. households used a high - speed Internet broadband -- service (i.e., technologies that are faster than dial - up, such as DSL, cable modem, fiber optics, satellite, and wireless). This re presented a 25 percent increase from just two years earlier (50.8 percent in October 2007). From the initial CPS study results in August 2000 (4.4 percent), broadband adoption exhibited robust gains each time new data results were developed. (See Figure 1 .) During this time, the incidence of dial - up use leveled off , then plummeted. In 2000 , dial - up already was a thriving service, with 37 .0 percent (39.0 million) of households having such ì capability by August. In October 2003, the incidence of dial - up use had slipped to 34.3 percent (38.6 million) of all households, only to decline more than sevenfold by October 2009 to 4.7 percent (5.6 million). V ir tually all demographic groups have exper ienced rising broadband use at home over time . D emographic groups categorized by family income levels, age, race, educational attainment, employment status , household types , and gender all have enjoyed a higher incidence of broadband connectivity since 2007 . (See Figures 2 - 7 below.) The data also have revealed that the basic demographic characteristics of broadband use at home ha ve tended not to change . Usage by income. In 2009, when viewed by income, the users of broadband at home ranged from the highest percentage s by those persons wh o are most affluent ( with annual family income of $150,000 or greater ) to the lowest percentage s by those with $ 1 5,000 annual family inco me or less. These 2009 results mirror the 2007 survey which also found that the highest broadband use at home w as by those who were most affluent and the lowest use w as by those persons living in households with $ 1 5,000 annual family income or less. Ú·¹«®» îæ Ð»®±² Ë·²¹ Þ®±¿¼¾¿²¼ ·² ¬¸» Ø±³» ¾§ Ú¿³·´§ ×²½±³»ô îððé ó îððç ïðð èèòé Ñ½¬ò îððé èìòç Ñ½¬ò îððç éèòé èð èîòì éðòð éëòë ëèòé êèòï êð ëêòè ìëòð íëòî ìð ìîòê îçòî ííòî îð îìòî ïèòê ð Ú¿³·´§ ×²½±³» Usage by age. By age brackets, persons 18 - 2 4 years old exhibited the greatest broadband use at home, while seniors ( 55 years or older ) used broadband at home the least. Those 25 - 54 years old proved to be middle range in adoption as well as in the array of age brackets . This is consistent with our findings in 2007. ë Ú·¹«®» íæ Ð»®±² Ë·²¹ Þ®±¿¼¾¿²¼ ·² ¬¸» Ø±³» ¾§ ß¹»ô îððé ó îððç çð èðòè Ñ½¬ò îððé Ñ½¬ò îððç éë êçòí êèòî êëòè êçòí ëèòë êð ëéòè ëëòç ìêòï ëíòë ìë ìéòî íð ííòé ïë ð ë ó ïé §»¿® ïè ó îì §»¿® îë ó íì §»¿® íë ó ìì §»¿® ìë ó ëì §»¿® ëëõ §»¿® ß¹» Usage by race and ethnicity. G auging broadband use at home by race and ethnicity, Asian non - Hispanics led all other groups in 2009, with White non - Hispanics second in usage, followed by a grouping of Black non - Hispanics, Native Americans (American Indians/Alaskan Natives), and Hisp anics. In 2007, the pattern was not d issimilar ; although Hispanics and Native Americans 9 switched places , the small differential may not be statistically significant . Ú·¹«®» ìæ Ð»®±² Ë·²¹ Þ®±¿¼¾¿²¼ ·² ¬¸» Ø±³» ¾§ Î¿½»ô îððé ó îððç èð Ñ½¬ò îððé êéòí Ñ½¬ò îððç êëòé êð ëçòè ìëòç ëíòê ìîòê íçòé ìð ííòë îçòî îêòê îð ð É¸·¬» Ò±² ó Ø·°¿²·½ Þ´¿½µ Ò±² ó Ø·°¿²·½ ß×ñßÒ Ò±² ó Ø·°¿²·½ ß·¿² Ò±² ó Ø·°¿²·½ Ø·°¿²·½ Î¿½» Usage by education level. F or households with householders 25 years and o lder in 2009 , 84 percent of those with college degrees had broadband access at home . In contrast, only 28 percent of those householders with less than a high school diploma had such a ccess. The conclusion that ê p ersons with the highest levels of education exhibit the highest broadband use and those with the least education experience the lowest adoption rate is consistent with past survey results on the 10 subject . Usage by employment status. Employment status revealed a pattern with broadband use at home that featured the highest percentage use by those persons who were employed, with the unemployed and particularly those persons not in the labor force lagging behind in usage . Th is is similar to our findings in 2007. Ú·¹«®» ëæ Ð»®±² Ë·²¹ Þ®±¿¼¾¿²¼ ·² ¬¸» Ø±³» ¾§ Û³°´±§³»²¬ô îððé ó îððç èð Ñ½¬ò îððé éðòë Ñ½¬ò îððç ëèòì êð ëéòì ìéòì íçòð ìð íìòè îð ð Û³°´±§»¼ Ë²»³°´±§»¼ Ò±¬ ·² Ô¿¾±® Ú±®½» Û³°´±§³»²¬ Usage by household type. Classifying by household type, married couples with children younger than 18 years old surpassed all other groups in broadband use at home in 2009 and 2007, followed by family households (i.e., two - parent or single parent) without younger children. Non - family (i.e., where the householder is unrelated to other members of the household) rated lowest in both years , followed by female householders (heads of house) with young children . é Ú·¹«®» êæ Ø±«»¸±´¼ Ë·²¹ Þ®±¿¼¾¿²¼ ·² ¬¸» Ø±³» ¾§ Ø±«»¸±´¼ Ì§°»ô îððé ó îððç çð Ñ½¬ò îððé éçòè Ñ½¬ò îððç éë êéòé êðòð êéòð ëêòç êð ëðòè ëíòì ìë ìéòê ìíòì íçòê íð ïë ð Ó¿®ò Ý±«°´» Ó¿´» Ø¸´¼® ©ñÝ¸·´¼äïè Ú»³¿´» Ø¸´¼® ©ñÝ¸·´¼ Ú¿³·´§ Ø¸´¼ ©ñ± Ò±² ó º¿³·´§ ©ñÝ¸·´¼äïè äïè Ý¸·´¼äïè Ø±«»¸±´¼ Ø±«»¸±´¼ Ì§°» Usage by gender. With respect to gender, males registered only slightly higher broadband use at home than females in 2009 ( 59.3 percent v. 59.0 percent ) . This is consistent with our findings in 2007 (48.3 percent v. 47.0 percent). Ú·¹«®» éæ Ð»®±² Ë·²¹ Þ®±¿¼¾¿²¼ ·² ¬¸» Ø±³» ¾§ Ù»²¼»®ô îððé ó îððç éë Ñ½¬ò îððé Ñ½¬ò îððç ëçòí ëçòð êð ìë ìèòí ìéòð íð ïë ð Ó¿´» Ú»³¿´» Ù»²¼»® Usage by l ocation . Am ericans in rural areas tend to have lower broadband adoption rates than their demographic counterparts in urban areas . For example, in 2009 Blacks ( 28.8 percent) and Hispanics (3 3.8 percent) in rural areas exhibit ed much lower levels of broadband use at home è than their counterparts in urban areas ( 47.8 percent and 4 0.1 percent, respectively). Similarly, both employed (61.7 percent) and unemployed persons (49.6 percent) in r ural America had significantly lower broadband use at home than their counte rparts in urban areas (72.8 percent and 60.2 percent, respectively). This is consistent with our findings in 2007 , albeit at lower levels of participation . Ú·¹«®» èæ Ë» ±º Þ®±¿¼¾¿²¼ ¿¬ Ø±³» ¾§ Þ´¿½µ Ò±² ó Ø·°¿²·½ ¿²¼ Ø·°¿²·½ ·² Ë®¾¿² ¿²¼ Î«®¿´ ß®»¿ô îððé ó îððç ìéòè îððç îèòè íëòì Ë®¾¿² îððé Î«®¿´ ïêòê ìðòï îððç ííòè îçòì îððé îêòè ð ïð îð íð ìð ëð êð Ð»®½»²¬ ±º Ð»®±² ß¹» íõ Ú·¹«®» çæ Ë» ±º Þ®±¿¼¾¿²¼ ¿¬ Ø±³» ¾§ Û³°´±§»¼ ¿²¼ Ë²»³°´±§»¼ ·² Ë®¾¿² ¿²¼ Î«®¿´ ß®»¿ô îððé ó îððç éîòè îððç êïòé êðòê Ë®¾¿² îððé Î«®¿´ ììòì êðòî îððç ìçòê ìéòî îððé íçòë ð ïð îð íð ìð ëð êð éð èð Ð»®½»²¬ ±º Ð»®±² ß¹» íõ ç There remains a substantial difference in overall broadband use at home between urban and rural areas. The gap has declined since 2007 but still exists. In 2009, 65.9 percent of urban households and 54.1 percent of rural households accessed broadband service. In contrast, 8.9 percent of rural households and only 3.7 percent of urb an households used dial - up. In 2007, 53.8 percent of households in urban areas and 38.8 percent of households in r ural America were broadband users. Again, rural homes relied more heavily on dial - up (19.3 percent) than urban did (8.5 percent) that year. Broadband use at home also varies by r egions , with the West (68.0 percent of households) and Northeast (6 7.0 percent) leading, followed by the Midwest (6 2 .2 percent), and the South ( 60.0 percent) in 2009. Internet usage anywhere. In 2009 , the incidence of Internet use a nywhere (i.e., inside or outside 11 the home) by Americans totaled 68.4 percent (197.9 million persons, ages three and older). This represents an increase from 62.4 percent (177.9 million) in 2007. Similar to the broadband pattern, all demographic categories with respect to Internet use anywhere experienced rising adoption over time but historical demographic differences in use have continued . Interestingly, the urban - rural gap in Internet use anywhere in 2009 registered only 4.4 percentage points (69.3 v. 64.9 percent) , which was decidedly less than the broadband use at home differential. In 2007, however, the urban and rural divide relating to Internet use in all areas equaled only 2.2 percentage points (62.8 v. 60.6 percent). NON - USE Non - usage at home. Collectively, the proportion of those Americans who do not use the Internet at home declined between 2007 and 2009 but persists at a level higher than 30 percent today. Utilizing a household measure ment , the percentage dropped by seven percentage points during the span, registering 31.3 percent in 2009. Measured in persons (three years and older), such non - users numbered 36.8 percent in 2009 and had dropped almost seven percentage points in two years. Those persons who do not use broadband at home total more than 35 percent of all house holds and a pproximately 40 percent of all persons, with a larger proportion in rural areas. More specifically, 36.5 percent of households and 40. 8 percent of persons did not use such high - speed Internet at home in 2009. The urban - rural gap was found to exist, regardless of the unit of measure. In rural areas, 45.9 percent of households and 48.4 percent of persons ha d no home broadband access, while the corresponding number s for urban areas are 34.1 percent for households and 38.9 percent for persons . In 2007, the overall figures and those for rural and urban respectively registered more than ten percentage points higher. ïð Ú·¹«®» ïðæ Ð»®±² ¿²¼ Ø±«»¸±´¼ ©·¬¸ Ò± ×²¬»®²»¬ Ë» ¿¬ Ø±³» ±® ß²§©¸»®»ô ¿²¼ Ò± Þ®±¿¼¾¿²¼ Ë»ô îððé ó îððç íêòè Ò± ×²¬»®²»¬ Ë» ¿¬ Ø±³»ñÐ»®±² ìíòë Ñ½¬ò îððç íïòí Ò± ×²¬»®²»¬ Ë» ¿¬ Ñ½¬ò îððé Ø±³»ñØ¸´¼ íèòí íïòê Ò± ×²¬»®²»¬ Ë» ß²§©¸»®»ñÐ»®±² íéòê ìðòè Ò± Þ®±¿¼¾¿²¼ Ë» ¿¬ Ø±³»ñÐ»®±² ëîòì íêòë Ò± Þ®±¿¼¾¿²¼ Ë» ¿¬ Ø±³»ñØ¸´¼ ìçòî ð ïð îð íð ìð ëð êð Ð»®½»²¬ ±º ß´´ Ð»®±² ß¹» íõ Non - usage any where. Similarly, the category of no t using the Internet inside or outside the home remains at more than 30 percent of all persons. Those persons (ages three and older) who do not use the Internet at all numbered 31.6 percent in 2009 and 37.6 percent in 2007. Ú·¹«®» ïïæ Ð»®±² ¿²¼ Ø±«»¸±´¼ ©·¬¸ Ò± Þ®±¿¼¾¿²¼ ·² Î«®¿´ ¿²¼ Ë®¾¿² ß®»¿ô îððé ó îððç íèòç Ë®¾¿²ñÐ»®±² ìçòè Ñ½¬ò îððç Ñ½¬ò îððé ìèòì Î«®¿´ñÐ»®±² êîòì íìòï Ë®¾¿²ñØ±«»¸±´¼ ìêòî ìëòç Î«®¿´ñØ±«»¸±´¼ êïòî ð ïð îð íð ìð ëð êð éð Ð»®½»²¬ ±º Ð»®±² ß¹» íõ ïï Main reasons for non - use of broadband . Overall, the two most important reasons for no Households without high - speed (a , , Ú·¹«®» ïîæ Ó¿·² Î»¿±² º±® Ò± Ø·¹¸ Í°»»¼ ×²¬»®²»¬ Ë» ¿¬ Ø±³»ô îððç Ý¿² Ë» Ü±²ù¬ Ò»»¼ñ Í±³»©¸»®» Û´» Ò±¬ ×²¬»®»¬»¼ ìòìû íéòèû Ò±¬ ßª¿·´¿¾´» íòêû Ò± Ý±³°«¬»® ±® Ñ¬¸»® Ý±³°«¬»® êòêû ×²¿¼»¯«¿¬» ïèòíû Ô¿½µ ±º Íµ·´´ íòðû Ì±± Û¨°»²·ª» îêòíû In r ural America, no t availab is a much more important reason for non - adoption of home broadband than in urban areas. D ed highest in both categories, and the no computer issue rank ed more than 10 percent of the main reasons for non - use in rural areas but accounts for only about a one percent factor in urban areas. ïî Ú·¹«®» ïí æ Ó¿·² Î»¿±² º±® Ò± Ø·¹¸ ó Í°»»¼ ×²¬»®²»¬ Ë» ¿¬ Ø±³»ô Î«®¿´ñË®¾¿²ô îððç Î«®¿´æ ïðòç Ó·´´·±² Ø±«»¸±´¼ Ë®¾¿²æ íîòï Ó·´´·±² Ø±«»¸±´¼ Ò± Ò±¬ Ý±³°«¬»® ±® Ý¿² Ë» ßª¿·´¿¾´» Ò±¬ ßª¿·´¿¾´» Ý±³°«¬»® Í±³»©¸»®» ïïòïû ïòïû Ò± Ý±³°«¬»® Ý¿² Ë» ×²¿¼»¯«¿¬» Û´» ±® Ý±³°«¬»® Í±³»©¸»®» ïêòíû ìòéû ×²¿¼»¯«¿¬» Û´» ïçòðû íòêû Ü±²ù¬ Ô¿½µ ±º Íµ·´´ Ò»»¼ñÒ±¬ îòíû ×²¬»®»¬»¼ Ô¿½µ ±º Íµ·´´ íéòéû íòîû Ì±± Ü±²ù¬ Û¨°»²·ª» Ò»»¼ñÒ±¬ îîòíû ×²¬»®»¬»¼ Ì±± íèòïû Û¨°»²·ª» Ñ¬¸»® îéòêû Ñ¬¸»® êòîû êòìû When other types of non - use are examined, however, the rankings can and do change. For example, respondents who do not use the Internet anywhere rank ed the value proposition significantly higher than affordability. Ú·¹«®» ïìæ Ó¿·² Î»¿±² Ù·ª»² º±® Ò± ×²¬»®²»¬ Ë» ¿¬ ß²§ Ô±½¿¬·±²ô îððç Ì±± Û¨°»²·ª» Ô¿½µ ±º Íµ·´´ ïèòêû ìòíû Ñ¬¸»® ëòëû Ò± Ý±³°«¬»® ±® Ý±³°«¬»® ×²¿¼»¯«¿¬» îîòíû Ò±¬ ßª¿·´¿¾´» ðòéû Ý¿² Ë» Í±³»©¸»®» Û´» Ò±¬ ×²¬»®»¬»¼ ïòìû ìéòîû This con tras ts with the category of households that do not access the Internet at home , which rate d cost as the clear - cut top concern. ïí Ú·¹«®» ïëæ Ó¿·² Î»¿±² Ù·ª»² º±® Ò± ×²¬»®²»¬ Ý±²²»½¬·±² ¿¬ Ø±³»ô îððç Ì±± Û¨°»²·ª» íèòçû Ñ¬¸»® èòçû Ô¿½µ ±º Íµ·´´ ðòìû Ò±¬ ×²¬»®»¬»¼ ïêòéû Ò± Ý±³°«¬»® ±® Ý±³°«¬»® ×²¿¼»¯«¿¬» ïêòèû Ý¿² Ë» Í±³»©¸»®» Û´» Ò±¬ ßª¿·´¿¾´» ïìòèû îòéû Similarly, those in households with dial - up service identified cost as the most important reason for not having broadband connectivity at home. Ú·¹«®» ïêæ Ó¿·² Î»¿±² Ù·ª»² º±® Ô¿½µ ±º Þ®±¿¼¾¿²¼ ·² Ø±«»¸±´¼ ©·¬¸ Ü·¿´ ó «° ×²¬»®²»¬ ß½½»ô îððç Ñ¬¸»® Ì±± Û¨°»²·ª» èòïû ìïòíû Ô¿½µ ±º Íµ·´´ Ò±¬ ×²¬»®»¬»¼ ðòèû îéòíû Ò± Ý±³°«¬»® ±® Ý±³°«¬»® ×²¿¼»¯«¿¬» Ý¿² Ë» ïòïû Ò±¬ ßª¿·´¿¾´» Í±³»©¸»®» Û´» ïçòçû ïòêû The answer category no computer or computer inadequate above groups (Figures 1 3 - 16 ) except the dial - up category . The latter cites lack of availability as much more important, especially in rural areas where it is cited as the most important reason (42.6 percent), followed by cost (32.5 percent) . ïì CONCLUSION The I nternet is integral to the U.S. economy and our standard of living . broadband Internet access adoption rate is at an all - time high , but a number of Americans still do not use the technology . This initial analysis of the 2009 survey results begin s the process of developing a factual basis for sound policymaking to expand the adoption of and access to Internet technology, particularly broadband. This preview report is based on summary Current Population Survey (CPS) data provided to NTIA by the Census Bureau. Later this year, the U.S. Department of Commerce will make the complete data set publicly available, enabling a much more comprehensive ana lysis of Internet usage patterns around the country. We anticipate that a more detailed examination of the CPS data base would offer additional insights for public policy National Telecommunications & Information Administra tion and Economics and S tatistics Administration will undertake such an analysis later this year when the full additional CPS data base becomes available. We will also look forward to the findings that the broader research community will provide based on t his data. While many Americans have come to grasp the importance of broadband as evidenced by increasing use of the technology across virtually all demographic groups and geographic areas, there exist differences in adoption rates across groups and areas that have tended to persist. Non - adoption rates for the Internet and broadband total 30 percent or more . Survey results provide insights as to why this non - technology ranks number one among the major reasons for non - use with respect to broadband at home and Internet anywhere , and for rural and urban areas . Affordability , how e ver, rates highest among the major reasons for eschewing broadband at home among those with ei ther no Internet at home or only dial - up service. Lack of a n adequate or any computer ranks high generally as a rationale for not having broadband at home , as does lack of availability in rural areas. Further probing finds that the most important reasons t hat those with dial - up affordability. These findings provide a better understand ing of the scope and nature of broadband adoption in our nation. Knowing which demographic groups or geographic areas are either leading or lagging and why -- in their use of this high - speed Internet can sharpen the focus of public decision - making that can hel p bridge th is technological divide, boost economic growth and create jobs. The Obama Administration's Open Government initiative is pursuing a wide range of programs making government information and services available online. These efforts, along with inn ovative commercial and non - commercial activities, can bolster demand for broadband Internet access in market segments identified by this report as experiencing weak d emand and high access barriers. This itiative is a high - priority effort to help ensure that Americans can truly enjoy and participate in the Internet economy. ïë 1 2 President Barack Obama, September 21, 2009 , in Troy New York. http://www.whitehouse.gov/the_press_office/Remarks - by - the - President - on - Innovation - and - Sustainable - Growth - at - Hudson - Valley - Community - College/ 3 For household - level estimates based on the total sample, the error attributable to sampling and other random effects at the 90 percent confidence level is no more than plus or minus 0.35 percentage points based on a standard error (SE) of 0.21 percenta ge points. For results based on Internet households, the mar gin of sampling error is no more than plus or minus 0.43 percentage points, based on a SE of 0.26 percentage points. 4 survey instrum ents for CPS Computer and Internet Use Supplements in 1994, 1997, 1998, 2000, 2001, and 2003, and Internet Use Supplements in 2007 and 2009. The data became the basis for the Commerce reports T 5 In a subsequent report, NTIA and ESA will examine in more detail the demographic details available in the October 2009 CPS data base. 6 In this report, we examine broadband from the demand side based on the Census CPS survey of households. Thus, terms such om supp ly - si de (provider) in 7 Data from the October 2009 CPS Internet Use survey can be retrieved at www.ntia.doc.gov/data/index.html. For historical CPS data used in this report, see also "Internet and Computer Use Supplements" at http://www.bls.census.gov/cps_ftp.html#cpssupps . 8 As shown in Figure 1, household adoption of both Internet access overall and computers has been rising significantly since 1997 albeit collection of the latter data by Census ceased in 2003. 9 - - 10 Previous years' data on Internet use have shown consistently that people with higher education levels are more likely to use the Internet . See Jennifer Cheeseman Day, Alex Janus and Jessica Davis "Computer and Internet Use in the United States: 2003" Series P23 - 208, Washington, DC: U.S. Census Bureau. Using a basis of persons who are 16 y ears and older in the October 2009 CPS data collection, the direct relationship between educational level and broadband adoption generally holds. This sample would include current high school students as well as adults who never finished high school, there by introducing distortions into focus on the more meaningful CPS data set that includes only those persons 25 years of age and abov e. 11 Because a household measure is less useful than a person basis in gauging Internet or broadband use outside the home , it is not used in this context in the report. ïê