es." A variety of retail outlets, such as Starbucks, have deployed Wi-Fi in their facilities. Several airlines also provide wireless LAN connections in their airport lounges. These short-range services have not been introduced to homes or businesses yet, but they indicate the poten- tial technological dynamism of broadband communications.10 In addition, the commercial wireless carriers, led by Verizon Wireless, are developing their own high-speed services. In 2003 Verizon Wireless launched a service that delivers 300-600 kilobits a second in Washington, D.C., and San Diego. In 2004 it announced that it would deploy this ser- vice in a large number of major metropolitan areas. 11 The Diffusion of Broadband in the United States The United States is in the fortunate position of having a highly developed cable television industry, a variety of (struggling) fixed wireless providers, and two large direct-to-home high-power satellite companies that can offer broadband Internet services to residences and small businesses in competi- tion with its incumbent telephone companies. Indeed, because of the intense competition from the direct broadcast satellites launched by Hughes in 1994 and subsequently by EchoStar, cable television operators were forced to spend billions of dollars to upgrade their networks to deliver more programming options. In the process, these operators have added a two-way capability that allows most of them to offer cable modem service to their subscribers. By the middle of 2004, the United States had 32.5 million "high-speed" lines in service, of which 30.1 million were provided to residences and small businesses (table 8-1). 12 Cable television systems accounted for 57 percent of these lines, and DSL continued to lag behind at 35 percent of the total. Cable modems have retained their lead despite an aggressive U.S. policy of promoting competition from new entrants offering DSL. Ironically, this policy is often blamed for the slow deployment of DSL because of the con- troversies it has spawned and it