Charter Updates Progress on Rural Digital Opportunity Fund Work

Charter Communications updated investors during its first quarter 2022 earnings call and offered some insight on the impact of the Rural Digital Opportunity Fund (RDOF) program on the operator. Charter was the largest RDOF auction winner,  measured by the number of locations. The cable company won $1.22 billion to bring service to over one million locations in 24 states. Charter sees RDOF activity as one of the main drivers of its broadband strategy. “Our rural construction initiative is also progressing as planned and we’ve started to work in all 24 of the states where we won Rural Digital Opportunity Fund bids,” said Charter CEO Tom Rutledge. “Through RDOF we’ll add over a hundred thousand miles of new network infrastructure to our approximately eight hundred thousand existing miles over the next five or so years.” Rutledge noted that the strategy goes beyond just RDOF funded areas. “Our construction is not limited to RDOF commitments. We continue to build in other rural areas and are pursuing opportunities to receive other broadband stimulus funds,” he said. It’s early in the game for Charter’s RDOF initiative, but the company is beginning to see financial implications. RDOF activity is generating expenses but is not material to rural subscriber growth yet.