6 min readJane Hayden

Why Your 1 Gbps Internet Plan Doesn't Deliver 1 Gbps: Understanding Real vs. Advertised Speeds

Learn why your gigabit internet plan rarely delivers the full promised speed. Understand oversubscription, peak hours, Wi-Fi limitations, and what you can do to optimize your connection.

internet speedgigabit internetISPnetwork performancebandwidthoversubscriptionWi-Fispeed test
Published: September 5, 2025
6 min read
Last Updated: September 7, 2025
Expert Reviewed

Editorial Note: This article has been reviewed for technical accuracy by our network engineering team. All statistics and technical claims are based on real-world testing and professional experience.

Why Your 1 Gbps Internet Plan Doesn't Deliver 1 Gbps: Understanding Real vs. Advertised Speeds

Have you ever wondered why your "1 Gbps" internet plan doesn't always feel as fast as it should? Many users experience speeds that are slower than advertised, and it's important to understand why. Several elements influence your actual internet speed, helping you set proper expectations and troubleshoot your connection issues.

Table of Contents:

What Does "1 Gbps" Really Mean?

First, let's clarify what "1 Gbps" actually indicates. One gigabit per second (Gbps) is the same as 1,000 megabits per second (Mbps). This metric represents how much data your connection can transfer each second in theory.

Gigabit internet plans, most notably those using fiber-optic cables, promise high speeds. They're often symmetrical, indicating your upload speeds are nearly identical to your download speeds.

This is an advancement over DSL or cable connections, which use copper wiring that usually offers slower upload performance. The "up to 1 Gbps" label indicates the highest speed achievable under ideal circumstances, not a consistent speed.

Oversubscription: Why Your ISP Shares Bandwidth

A main reason that your speed may not achieve advertised levels is oversubscription. Internet Service Providers (ISPs) offer more bandwidth to their user base than they are able to deliver at one time. They are betting that not all customers will utilize their internet connection to its maximum at the same time. This business practice is economical for the ISP, but results in slower speed for you during peak hours.

Imagine a highway: a service provider develops a road for a quantity of "cars" (data). They sell tickets to more automobiles than the road supports concurrently. As soon as there are too many automobiles making an attempt to use the road simultaneously, a traffic jam occurs. Speeds decrease.

The FCC states that certain ISPs deliver close to the rate that is advertised (occasionally above) during peak periods. Some ISPs, on the other hand, only provide 86% to 90% of the advertised speeds.

This variation is the effect of how aggressively an ISP oversubscribes the network and its management of congestion.

Peak Hours: When Everyone's Online

Congestion during prime hours affects your speed. The majority of residents are online during these times for working, streaming, as well as gaming. The ISP network requests increases significantly at such hours. Speeds diminish because the network turns oversubscribed.

The sheer volume of users cause bottlenecks. The FCC's Measuring Broadband America report illustrates that ISPs either maintain/exceed advertised speeds. Others do see a drop, which may be irritating to the user expecting consistent performance.

Wi-Fi PHY Speed vs. Actual TCP Throughput

Testing your speed using Wi-Fi may yield lower results relative to the promised "1 Gbps." The Wi-Fi physical layer (PHY) speed (raw data rate that a connection may handle) differs from the TCP throughput (the real-world speed a device utilizes).

Wi-Fi PHY speeds get cited as being quite high. Wi-Fi 5 often goes for 1,200 Mbps and up, whilst Wi-Fi 6 is higher still. These are the maximum theoreticals under the best situations. The actual throughput is less for multiple factors:

  • Protocol overhead - Wi-Fi, TCP/IP protocols increase the extra data with error checking, bandwidth reduction.
  • Interference - Another wireless device, the walls, distance from the router degrades the strength of the signal.
  • Network congestion - Several devices sharing a Wi-Fi channel decrease available bandwidth for each device.

Consider a Wi-Fi 5 router that touts a PHY of 1,200 Mbps. The real-world TCP throughput may be only 500-600 Mbps under excellent situations. This may be much less if you are distant from the router, or there is any interference.

Other Factors That Affect Your Speed

Several variables may influence speeds. Beyond the oversubscription, the prime hours, Wi-Fi restrictions - they are:

  • Modem and router capabilities - The lower-quality equipment that is aging may not support the gigabit speeds.
  • Wired compared to wireless - The Ethernet connections will usually provide more stable but also greater speeds compared to Wi-Fi.
  • Server restrictions - A server utilized for testing, or a site accessed, isn't able to send data at a gigabit.
  • Background apps - The devices in addition to apps that use the network will eat up the bandwidth, or they can slow any testing down.
  • ISP throttling - Some ISPs might intentionally restrict speeds for a certain kind of traffic or when a data limit's been achieved. This occurs as reported by users, such as Comcast, for upload throttling beneath rates that are advertised.

What Can You Do?

These are a few actions to take if your speeds drop consistently:

  1. Test wired speeds in order to eliminate Wi-Fi problems.
  2. Run tests at various times to see if congestion is an issue.
  3. Check router specs to guarantee that they fully support the gigabit speeds.
  4. Contact your ISP if the speeds you are experiencing are significantly lower than their promises. They may be throttling, or a tech issue is the cause.
  5. Consider upgrading devices in addition to switching to fiber when available, because of fiber delivering speeds that are more consistent.

Setting Realistic Expectations

It is vital to not forget that "1 Gbps" indicates the speed at its greatest potential under the best conditions. Your practical experience will depend on the network management, the nearby congestion, the home setup, as well as the tech employed to provide your internet.

The FCC data illustrates that ISPs perform nicely in delivering the speeds that they are advertising. However, it isn't guaranteed for just about any user, or any moment.

FAQ

Why am I not getting the speeds I paid for?

Several factors can affect your internet speed, including oversubscription by your ISP, peak hour congestion, Wi-Fi limitations, as well as the capabilities of your modem and router.

What is oversubscription?

Oversubscription is when an ISP sells more bandwidth than it has available at any one time, assuming that not all customers will use their maximum speed simultaneously. This can lead to slower speeds during busy times.

How can I improve my internet speed?

You can try testing speeds with a wired connection, running speed tests at different times, checking your modem and router specs, and contacting your ISP if speeds are significantly below advertised levels.

Resources & References

About the Author

Jane Hayden

Jane Hayden

Senior Network Engineer & Technology Writer

With over 15 years of experience in network engineering and web performance optimization, Jane specializes in making complex networking concepts accessible to everyone. She has architected networks serving millions of users at Fortune 500 ISPs and cloud providers.

✓ M.S. Computer Science, Network Systems (Stanford)

✓ Cisco Certified Network Professional (CCNP)

✓ 10+ years ISP network architecture experience

✓ Published IEEE researcher on network protocols

Full Bio →|📧 jane.hayden@speedy-tester.com
✓ Fact-checked✓ Expert reviewed✓ Updated regularly
Last reviewed: September 7, 2025

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