Telecommunications companies come out on top in $65 billion broadband upgrade

The White House-backed infrastructure bill moving toward Senate approval divvies up $65 billion in broadband funding in ways that largely please the big cable and telecommunications companies. President Biden's spending blueprints and talking points stoked alarm in the industry over the prospect of price regulation or government-backed networks, but the legislation that's moving forward is much more to its liking. Because it will prioritize funding broadband in areas that lack high-speed service, existing providers will largely avoid the threat of a government-backed competitor and the money will be available to a larger pool of providers than just those who offer fiber service. While municipal broadband projects could still receive funding, those networks will not be prioritized when the money is allocated, as Biden's plan originally proposed, and the bill will not eliminate state laws that restrict municipal broadband projects. "We are encouraged that the bipartisan infrastructure deal directly addresses two critical elements of reaching universal connectivity — dedicating funding first and foremost to those regions without any broadband service, and providing financial assistance to help low-income Americans subscribe to this critical service," said cable trade group NCTA.