Fact Sheets on the Impact of the Universal Service Fund

The Universal Service Fund is a $8 billion decades-old mechanism created by Congress in 1996 to support vital communications investments where the marketplace falls short: connecting schools and libraries to high-speed internet; helping rural hospitals adopt telemedicine; ensuring low-income households have basic communications services; and investing in broadband in communities that need it most. The Fifth Circuit Court of Appeals recently held that the current administration of the Universal Service Fund is unconstitutional. Why is the Universal Service Fund so important?

  • Connecting Schools and Libraries (E-Rate Program): From 2022-2024, 106,000 schools and 12,597 libraries received $7,020,502,347 for broadband connectivity and internal connections.
  • Broadband for Health Care Providers (Rural Health Care Program): From 2021-2023, 16,080 health care providers received $1,621,136,341 for connections.
  • Basic Phone and Internet for Low-Income Households (Lifeline Program): In March 2024, 7,596,720 subscribers received discounted phone and/or internet service. 
  • High-Speed Internet in Hard-to-Connect Communities (High-Cost Program): In 2023, carriers nationwide received $4,263,186,064 to connect households in the most rural communities. 

Fact Sheet on the Impact of the Universal Service Fund Fact Sheet on State-by-State Impacts of the Universal Service Fund