August 2022

Subsidy blow for Elon Musk raises questions over orbital broadband

The Federal Communications Commission withdrew nearly $900 million in subsidies that had been granted to satellite operator Starlink to bring the internet to 642,000 remote, rural locations. The FCC subsidy was key anchor revenue for a new satellite broadband constellation that has to heavily subsidize customer terminals — priced in most markets at $599 — in order to expand the service. The FCC, in reversing a December 2020 decision, called proposals from Starlink and another subsidy candidate “risky," and questioned Starlink’s ability to deliver a reliable and affordable offer.

The New Open-Access

In the open-access network model, an entity owns a fiber network and allows other broadband providers to use the network to compete for customers.

NTIA Announces All States and Territories Have Submitted Applications for BEAD Program Planning Funds

The National Telecommunications and Information Administration (NTIA) announced that all states and territories have submitted applications for initial planning funds as part of the $42.45 billion Broadband Equity, Access, and Deployment (BEAD) Program, which is part of the Biden-Harris Administration’s Internet for All initiative. The BEAD Program enables states and territories to expand high-speed internet access by funding planning, infrastructure deployment and adoption programs.

How You Can Partner With the FCC to Improve Broadband Adoption

To date, over 12 million low-income households participate in the Affordable Connectivity Program. However, a significant number of qualifying households have not yet enrolled in the Affordable Connectivity Program. The Federal Communications Commission believes that to achieve the program’s full potential and reach as many eligible households as possible, households must be clearly informed of the program’s existence, benefits, and eligibility qualifications, and how to apply.