Regulations being introduced for broadband providers could result in hundreds of thousands of jobs in the states, as well as reducing the US GDP by tens of billions of dollars a year, warns research from The New York Law School and Entropy Economics.
According to the report, large investments and huge uptake across the broadband egosystem in the States are thanks to the FCC taking a step back on regulation over the last few years. The new proposed net neutrality rules, says the report, will “reverse organic gains realised under the current regulatory framework – one that has allowed the broadband sector to flourish”. Jobs will be lost and the regulations would hinder advances and fresh takes on broadband-enabled services.
“At a time when policymakers should be doing everything they can to spur job creation, these rules just do not make sense,” said co-author of the paper Charles M. Davidson, of the New York Law School. “On the other hand, many experts foresee continued investment and job growth across the industry in the absence of such regulatory constraints.”
The paper speculates on the outcomes of declining investments in this table:
It’s thought by the researchers that the internet in the states is one of the country’s healthiest industries, and that without strict regulation but with further investment, particularly into wireless and fibre-optic lines, by 2015 it could create an additional 500,000 jobs.