Americans spend $164 billion a year on cable, internet services, study finds

If your monthly internet and cable bill feels high, you’re not alone. A new report from doxoINSIGHTS shows that American households are spending a combined $164 billion a year on these services—about 4% of all household bill payments.

The analysis, based on real payment data from 97% of U.S. ZIP codes, estimates that 73% of U.S. households pay for cable or internet, with a national median monthly bill of $121. That adds up to an average of $1,063 per household annually.

Where are cable and internet costs the highest?

By the numbers:

The report highlights sharp regional differences in what Americans are paying. Among the five most expensive states were South Dakota ($1,315/year), Tennessee ($1,310), Alaska ($1,211), Delaware ($1,313), and Rhode Island ($1,091).

At the city level, costs spike even more:

  • Milwaukee: $1,913 per year
  • Charlotte: $1,599
  • Pittsburgh: $1,508
  • Denver: $1,492
  • Portland: $1,463

These numbers reflect only the median for those paying the bill—so households with premium services or bundled plans may pay significantly more.

What’s driving the high cost?

The backstory:

As more Americans depend on high-speed internet for work, entertainment, and smart home technology, reliable connectivity has become a core utility. But it’s also getting more expensive.

A person uses a computer mouse and keyboard in a dark room lit by neon lights. U.S. households are spending more than $1,000 a year on cable and internet services, according to a 2025 report.  (Getty Images)

"High-speed connectivity is more essential than ever," said Steve Shivers, co-founder and CEO of doxo, in a press release. "We anticipate potential pricing increases due to tariffs on broadband equipment, although rising competition from wireless broadband options could offer some relief."

Big picture view:

With remote work, streaming, and always-connected homes becoming the norm, rising connectivity costs could hit lower-income families especially hard. Experts say greater transparency in billing and broader access to wireless alternatives may help households manage costs in the long term.

The full Cable & Internet Market Size and Household Spend Report is available at doxo.com/w/insights, where users can explore spending trends by state and city.

The Source: This report is based on findings from the 2025 Cable & Internet Market Size and Household Spend Report, published by doxoINSIGHTS on June 12, 2025. The analysis is derived from anonymized consumer bill payments tracked across 97% of U.S. ZIP codes. Direct quotes and figures are attributed to doxo’s published release and statements from CEO Steve Shivers.

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