Low-income

On July 24, the U.S.

For as long as the internet has existed, there’s been a gap between those who have access to it—and the means to afford it—and those who don’t. The vast majority of federal broadband spending over the past two decades has gone toward expanding internet access to rural areas. Only $14.2 billion went to making the internet more affordable through the Affordable Connectivity Program.

For several years now, a well-funded litigation group has sought an appellate court decision deeming the current method of funding the Federal Communications Commission's Universal Service Fund unconstitutional. The litigants finally hit paydirt in an enbanc appeal to the Fifth Circuit Court of Appeals that ruled in their favor on a 9-7 vote. The litigants ostensibly expressed concerns about constitutional rights, economic freedom, what constitutes a tax, how specific a congressional delegation of authority has to be, and the extent to which the FCC could lawfully delegate administration of

USTelecom and more than 30 other broadband industry groups sent a letter to Secretary of Commerce Gina Raimondo covering several ideas for how the National Telecommunications and Information Administration (NTIA) can remedy the issues posed by the rates being approved for the low-cost service option requirement in the Broadband Equity, Access, and Deployment (BEAD)Pprogram.

In a ruling that quickly caused shock waves in the U.S. telecommunications industry, the Fifth Circuit Court of Appeals ruled, 9-7, that the Universal Service Fund (USF) is unconstitutional as currently administered. The Court explained its ruling by saying that the USF is a “misbegotten tax” that violates Article I, § 1 of the Constitution, which states that all legislative powers are given to Congress, which is made up of the Senate and the House of Representatives.

After the Fifth Circuit ruled, 9-7, that the Universal Service Fund is unconstitutional as currently administered, we've seen the following responses.

A new survey from the Benton Institute for Broadband & Society focusing on low-income Americans shows that affordability challenges are pervasive for low-income households, a problem the Affordable Connectivity Program (ACP) helped alleviate for those most in need. The survey finds that:

As required by the Digital Equity Act, the $1.25 billion Digital Equity Competitive Grant Program will be established soon, making hundreds of millions of dollars available in the first Notice of Funding Opportunity to implement digital inclusion projects. The Infrastructure Investment and Jobs Act mandates that funding be directed towards programs designed to empower those impacted by the digital divide, known as Covered Populations.

Delaware’s goal for broadband deployment is to be the first state to deliver universal broadband—that is, to ensure an affordable high-speed internet connection to all homes and businesses. Affordability is the second most common reason for nonsubscription cited by Delawarean households who do not purchase home internet service—ranking above a lack of need for or interest in service, and slightly below service not being available. The struggle of some Delaware residents to afford broadband services, devices, and technical support restricts their ability to fully engage in the digital world.

West Virginia's plan for Broadband Equity, Access, and Deployment (BEAD) Program funds aims to ensure that every resident has access to reliable, affordable, and high-speed broadband and the ability to use it effectively. The cost of high-speed broadband internet service in West Virginia remains a significant barrier to adoption.