Since digital technologies first emerged about 30 years ago, Black Americans have trailed in terms of access. This “digital divide” is real, it’s important and we can do better.
According to our analysis of data from the American Community Survey, 40 percent of Black Americans do not have high-speed, fixed broadband at home, compared to 28 percent of whites. In rural areas of the south with significant Black populations, white households are more than half as likely to have broadband, and in some cities, such as Baltimore and Chicago, the disparity is even greater.
The digital divide has real-life consequences. Take education.
During the pandemic, students in majority-Black schools suffered more learning loss than those in majority-white ones. In the workforce, the digital divide means that Black Americans are less likely to have the skills needed to excel in the modern and emerging economy. Black Americans accounted for less than 8 percent of digital workers in 2020, much less than their representation in the workforce (13 percent). Given that tech jobs are higher-paying and growing faster, narrowing the digital divide is a critical strategy to improve job quality, close income gaps and broaden opportunities.
And that matters: Black families have one-eighth of the wealth of white ones, and the median annual wage of Black workers is about 30 percent less. The racial wealth gap is not going to diminish, or racial equity to advance, without narrowing the digital divide.
There is reason for optimism: There has already been progress and the resources are available. The 2021 Bipartisan Infrastructure Law allocated $65 billion to improve broadband access and digital equity.
But while money is necessary, it is not enough: It needs to be spent with purpose and precision. Five principles can help:
- Know where the gaps are. Solving a problem starts with defining it. Governments, therefore, need to count all unserved broadband-serviceable locations. Indeed, federal funding is based on information contained in the Deployment Accuracy and Technological Availability (DATA) maps. Black households will not get their fair share if they are not counted. Making these maps as accurate as possible may require a mix of strategies, such as door-knocking, outreach and engineering assessments.
- Make an explicit commitment. What gets measured gets managed: If narrowing the digital divide is a stated goal, it is more likely to be met. Some states are taking action along these lines. The Illinois Department of Commerce and Economic Opportunity and the Illinois Innovation Network have launched the Broadband Regional Engagement for Adoption + Digital Equity (READY) grant program to identify digital inequities in broadband access, adoption and utilization, and then develop ways to address them.
- Listen to a wide range of stakeholders. The problem of uneven access is simple to state but complicated to solve. Talking to residents, local government officials, non-profit leaders, utilities and internet service providers (ISPs) can provide a deeper, more nuanced understanding of the barriers, and thus provide helpful guidelines on how to overcome them.
- Improve access to subsidies. Just because money is available does not mean it will get to those who qualify for it. The Federal Communication Commission’s Affordable Connectivity Program (ACP) provides subsidies for internet service and devices; many states are rolling out supplementary programs. This could be particularly helpful for Black Americans. Most Black households without high-speed broadband live in areas that have it, but simply cannot afford it: more than a third of Black Americans are economically insecure. One possible approach is to coordinate with other government programs, such as income, food and medical assistance, to improve outreach.
- Work with partners. Closing the digital divide is not one thing: It comprises information, access and skills. So it makes sense to bring in a diverse network of partners, with a wide range of expertise. For example, in Detroit, a consortium of public, private and social sector organizations, Connect 313, is creating tech hubs in every district, and providing skills development and job assistance. Historically Black colleges and universities are highly trusted and could be an excellent resource to promote initiatives for Black Americans. The Black Tech Futures Research Institute at Alabama’s Stillman College, for example, is cultivating a community-centered Black tech ecosystem. In addition, workforce development programs, whether public or private, are a natural place to promote digital skills-building. And the private sector has also taken an interest that can be both encouraged and built on. Microsoft’s Accelerate program links learners with the digital skills training needed in the local job market; nudged by the federal government, a number of ISPs have also committed to offering lower-cost access to ACP recipients.
That past does not have to be the future. Closing the digital divide is possible — and necessary — to build sustainable and inclusive growth that can benefit all Americans.
Danielle Hinton is an associate partner in McKinsey & Company’s Washington, D.C. office. John B. Horrigan is a senior adviser to McKinsey, also based in Washington.