Connected Texas: Business Broadband Increases Revenue and Jobs

AUSTIN, TX — Texas businesses with a broadband connection are likely to generate more revenue and jobs, according to a new study by Connected Texas, a subsidiary of Connected Nation. The group's new Business Technology Assessment reveals how technology is used by businesses and where gaps still remain across the state. The study found that businesses with high-speed Internet connections have median annual revenues $200,000 greater than businesses without broadband. Currently, 73 percent of Texas businesses use broadband, which leaves 140,000 Texas businesses without broadband.

The Business Technology Assessment is the first of its kind and takes an in-depth look at all sectors of the state’s economy. A new interactive application is available where the public, local planners and broadband providers can use it to see the impact on specific sectors of the state’s economy, from health care and manufacturing to tourism and education.

"Broadband connectivity is a job creator, opening the doors to the global economy by allowing communities to attract new businesses,” says Todd Staples, Texas Agriculture Commissioner. "High-speed Internet access improves educational and health care opportunities and allows families and businesses to live and work in rural areas while staying connected to urban populations and the rest of the world. Private investment in broadband connectivity and infrastructure can lead to a more prosperous Texas."

“In the digital economy, businesses must embrace broadband, and other transformative technologies like it, in order to survive,” says Brian Mefford, CEO of Connected Nation, Connected Texas’ parent organization. “The Internet is driving products and services to the marketplace in an environment where creativity and innovation are both reinforced and rewarded.”

Findings from the survey illustrate a significant correlation between high-speed Internet adoption and a business’s bottom line. Examples include:

Businesses with high-speed Internet connections report having median annual revenues $200,000 more than businesses without broadband.

Half of all Texas businesses (approximately 261,000 businesses) have websites. Median annual revenues among broadband-connected businesses with websites are $300,000 higher than those without.

Approximately 95 percent of Texas businesses using broadband today report that they are satisfied with their broadband service, with 64 percent answering that they are very satisfied with their broadband.

Approximately 27 percent of all businesses – and 28 percent of small businesses with fewer than five employees – do not use broadband for their daily business needs.

Roughly one-quarter of state businesses allow employees to telework, allowing workers more flexibility and job opportunities and helping businesses operate more efficiently.