FOR IMMEDIATE RELEASE NEWS MEDIA CONTACT:

July 7, 2005 Mark Wigfield at (202) 418-0253

Email: mark.wigfield@fcc.gov

**FEDERAL COMMUNICATIONS COMMISSION RELEASES DATA ON**

**HIGH-SPEED SERVICES FOR INTERNET ACCESS**

***High-Speed Connections to the Internet Increased 34% During 2004 for
a Total of 38 Million Lines in Service***

Washington, D.C. -- The Federal Communications Commission (FCC) today
released new data on high-speed connections to the Internet in the
United States. Twice a year, facilities-based broadband providers must
report the number of high-speed connections in service pursuant to the
FCC's local competition and broadband data gathering program (FCC Form
477).

For reporting purposes, ***high-speed lines*** are connections that
deliver services at speeds exceeding 200 kilobits per second (kbps) in
at least one direction, while ***advanced services lines*** are
connections that deliver services at speeds exceeding 200 kbps in both
directions.

For the purposes of this report we collected data from providers with at
least 250 high-speed lines in a state. Statistics released today reflect
data as of December 31, 2004 filed by providers on FCC Form 477 in the
Commission's local competition and broadband data gathering program.

1)  **[High-Speed Lines]{.underline}**

-   During the year 2004, high-speed lines serving residential, small
    business, larger business, and other subscribers increased by 34%,
    to 37.9 million lines. The increase was 17% during the second half
    of 2004, from 32.5 million to 37.9 million lines, compared to a 15%
    increase, from 28.2 million to 32.5 million lines, during the first
    half of the year.

-   High-speed lines serving residential and small business subscribers
    increased by 36% during 2004, to 35.3 million lines. The increase
    was 17% during the second half of the year, from 30.1 million to
    35.3 million lines, compared to a 16% increase, from 26.0 million to
    30.1 million lines, during the first six months.

-   During the year 2004, asymmetric digital subscriber line (ADSL)
    high-speed lines increased by 45%, to 13.8 million lines. They
    increased by 21% during the second half of 2004, from 11.4 million
    to 13.8 million lines, compared to a 20% increase, from 9.5 million
    to 11.4 million lines, during the preceding six months.

-   High-speed coaxial cable connections (cable modem service) increased
    by 30% during 2004, to 21.4 million lines. They increased by 15%
    during the last six months of 2004, from 18.6 million to 21.4
    million lines, compared to a 13% increase in the first half of the
    year, from 16.4 million to 18.6 million lines.

-   The remaining 2.7 million high-speed connections in service at the
    end of 2004 were satellite or terrestrial wireless connections,
    fiber or powerline connections, or wireline connections other than
    ADSL. During 2004, satellite or terrestrial wireless connections
    increased by 50%, to 0.5 million, and fiber or powerline connections
    increased by 16%, to 0.7 million.

2)  **[Advanced Services Lines]{.underline}**

-   Advanced services lines of all technology types increased by 42%, to
    28.9 million lines, during the year 2004. They increased by 23%
    during the second half of 2004, from 23.5 million to 28.9 million
    lines, compared to a 15% increase during the first half of the year,
    from 20.3 million to 23.5 million lines.

-   About 26.4 million of the 28.9 million advanced services lines
    served residential and small business subscribers.

-   ADSL advanced services lines increased by 88% and cable modem
    advanced services lines increased by 36% during 2004. ADSL advanced
    services lines increased by 51% during the last six months of 2004,
    compared to a 19% increase for cable modem advanced services lines.
    During the first half of the year, ADSL advanced services lines
    increased by 24% and cable modem advanced services lines increased
    by 15%.

3)  **[Geographic Coverage]{.underline}**

-   At the end of 2004, the service providers that report to the
    Commission had at least one high-speed service subscriber in 95% of
    the nation's zip codes. Our analysis indicates that 99% of the
    country's population lives in these zip codes.

The summary statistics released today also include state-by-state,
population density, and household income information, ranked by zip
codes. As additional information becomes available, it will be posted on
the Commission's Internet site.

The report is available for reference in the FCC's Reference Information
Center, Courtyard Level, 445 12th Street, SW, Washington, DC. Copies may
be purchased by calling Best Copy and Printing, Inc. at (800) 378-3160.
The report can also be downloaded from the **FCC-State Link** Internet
site at [www.fcc.gov/wcb/stats](http://www.fcc.gov/wcb/stats).

\- FCC -

Wireline Competition Bureau contacts: James Eisner and Suzanne Mendez at
(202) 418-0940, TTY (202) 418-0484.