Affordability/Cost/Price

Three years ago, President Biden signed the Bipartisan Infrastructure Law—a once-in-a-generation investment in America’s infrastructure to reverse this trend, strengthen communities, and transform the U.S. economy.

The internet plays an essential, everyday role in the lives of Americans. Internet access—both fixed and mobile—is a critical resource that allows individuals and families to participate in work and education opportunities, receive telehealth services, access public benefits and services, communicate with loved ones, and more.  Yet affordability remains one of the primary barriers to reliable broadband access.

On October 25, the National Telecommunications and Information Administration (NTIA) awarded over $70 million in funding to California through the Digital Equity Act's Capacity Grant Program.

The Universal Service Fund (USF) has been stuck in legislative limbo as the government wrestles with how to improve the subsidy program. Experts think USF reform could see momentum in Trump’s second term, but how that will pan out is a trickier question to answer. The USF, which supports broadband access and affordability in rural and low-income communities, is made up of four [sic] smaller programs: Connect America Fund, Lifeline, E-Rate and Rural Health Care. One glaring problem with the current USF framework is the shrinking contribution base.

A key challenge to achieving universal broadband adoption in Alabama is that low-income households struggle to afford broadband services and devices with adequate technical support. Among Alabama residents who do not have internet service at home, 42.6 percent report that a primary reason they do not pay for broadband at home is an inability to afford service.

The Infrastructure Investment and Jobs Act identifies Veterans as one of eight “covered populations” and encourages states to research and address the barriers Veterans face in accessing, adopting, and benefiting from internet access and other digital technologies. States’ digital equity plans acknowledge the common challenges facing Veterans and other covered populations while also developing strategies to address the unique needs of Veterans.

Comcast's broadband business showed some surprising strength as the operator said it would've gained broadband subscribers in Q3 2024 if not for the demise of the Affordable Connectivity Program (ACP). Comcast lost 87,000 broadband subs in the third quarter, comprised of a loss of 79,000 residential customers and 8,000 business customers, lowering its grand total to 31.98 million.

A bipartisan group of senators is looking into Universal Service Fund (USF) reform and, even better, there are solutions on which both parties can agree.

Comcast Corporation reported results for the quarter ended September 30, 2024. Connectivity & Platforms Customer Relationships Decreased by 29,000 to 51.7 Million and Domestic Broadband Customers Decreased by 87,000 to 32.0 Million, Including the Impact From the End of Affordable Connectivity Program (ACP).

When millions of Americans cast their ballots on Election Day, the Affordable Connectivity Program won't be up for a vote, but the results could dictate whether we see an internet subsidy of its size again. The ACP was passed in 2021 as part of the Infrastructure Investment and Jobs Act, when Congress dedicated $14.2 billion to making the internet more affordable to low-income users.