Broadband Equity, Access, and Deployment (BEAD) Program

The National Telecommunications and Information Administration (NTIA) will host a workshop in Gillette, WY, on the $48 billion Broadband Equity, Access and Deployment (BEAD) funding to give everyone in the country internet access. The idea is to give local governments money to expand broadband services in so-called “digital deserts” where high-speed, reliable internet isn’t available. The funding comes from the $1.2 trillion Infrastructure Investment and Jobs Act (IIJA). The workshop is meant to give Wyoming leaders a heads-up on how to prepare for the funding.

Broadband deserts beget population deserts as many in rural areas seek greener, high-speed broadband pastures. Counties with poor broadband are seeing people move away to get better jobs or to get broadband for their kids. Real estate agents are reporting that it’s extremely difficult to sell a home that has no broadband option. Several studies have shown that students that grow up without home broadband don’t perform nearly as well as students with broadband. There are hundreds of rural counties working hard to get fiber broadband with the hope of stemming the population loss.

Rural and Native communities in the US have long had lower rates of cellular and broadband connectivity than urban areas, where four out of every five Americans live. Outside the cities and suburbs, which occupy barely 3% of US land, reliable internet service can still be hard to come by.

The Federal Communications Commission’s existing broadband availability maps have been heavily criticized as inaccurate, especially for the purpose of distributing billions in subsidy dollars to extend broadband networks to unserved areas. In a rush to distribute the National Telecommunication and Information Administration's (NTIA's) Broadband Equity, Access and Deployment (BEAD) subsidy dollars, a few states have initiated their own mapping efforts and some advocates have proposed alternative mapping means using speed-test data to identify areas that lack adequate broadband.

Rep Andy Harris (R-MD) recently sent a letter to US Commerce Secretary Gina Raimondo regarding the National Telecommunications and Information Administration's (NTIA) requirements for its Infrastructure Investment and Jobs Act (IIJA) broadband programs. Specifically, the September 14, 2022 letter expresses concerns about the Letter of Credit (L/C) requirement included in the NTIA's Notices of Funding Opportunity (NOFOs) for the Broadband Equity, Access and Deployment (BEAD) Program and the Enabling Middle Mile (MM) Broadband Infrastructure Program.

Unlike other advertisements for goods and services, there are no federally set standards for measuring broadband service speeds. This means there is no clear way to tell whether customers are getting what they pay for. To protect consumers, the FCC will need to invest in building a set of broadband speed measures, maps, and public data repositories that enables researchers to access and analyze what the public actually experiences when people purchase broadband connectivity.

One of the biggest questions associated with the $42.5 billion Broadband Equity, Access and Deployment (BEAD) grant program is if that is enough money to solve the national rural digital divide. The funding works out to be around $850 million per state, but will vary significantly by state.

The Federal Communications Commission estimates it will take between $397 billion and $478 billion to reach all underserved locations. It’s worth remembering there are only two numbers at play: the number of locations that don’t have access to 100/20 broadband service, and the average cost to bring fiber-to-the-home service to those locations. I estimated 23.1 million un- and underserved locations. The FCC study estimated 45.5 million, or 32% of all United States housing units. The second part of the equation is the cost to serve the average unserved or underserved location.

The Wireless Internet Service Providers Association (WISPA) has been wrestling with a ruling from the National Telecommunications and Information Administration (NTIA) which will effectively allow billions in federal funding to go toward wireline overbuilds of areas already covered by fixed wireless access (FWA) broadband. WISPA CEO David Zumwalt said it’s been unable to get a straight answer from the NTIA about why it decided FWA services based on unlicensed spectrum don’t count as reliable broadband. Zumwalt’s questions specifically relate to the $42.5 billion Broadband Equity, Access, an

Starlink asked the Federal Communications Commission to reconsider a decision to deny it $885.5 million in rural broadband funding.