Importance Score: 65 / 100 🔴
BEAD Program Faces Further Delays Amidst Shifting Priorities
Republicans have consistently criticized the Broadband Equity, Access, and Deployment (BEAD) program, citing its protracted rollout over recent years. Now, these concerns are amplified by an additional 90-day delay. The future of the BEAD program and its focus on fiber networks is being questioned, particularly regarding the potential role of satellite internet providers like Starlink.
NTIA Announces 90-Day Extension for BEAD Proposals
In a recent notification circulated to state broadband offices, the National Telecommunications and Information Administration (NTIA) has granted states a 90-day extension for submitting their final proposals seeking BEAD funding. The stated rationale behind this extension centers on enhancing efficiency, adopting a more technology-neutral strategy, diminishing superfluous bureaucracy, and expediting implementation.
Technology Neutrality Debated: A Shift Towards Satellite Internet?
The phrase “technology-neutral” is crucial. Originally conceived to prioritize fiber optic networks, the BEAD program now appears poised to revise its regulations, potentially favoring satellite internet solutions.
Starlink Positioned to Benefit
Currently, Elon Musk’s Starlink is the sole satellite internet provider that meets the criteria. This has raised concerns about potential favoritism.
- “By all appearances, it is to shift money towards Starlink,” Drew Garner, director of policy at the Benton Institute for Broadband and Society, told FASTNET.
States Await Clarity on BEAD Program Changes
Since the beginning of the year, numerous states have anticipated considerable alterations to the BEAD program, initially established as a component of the 2021 Infrastructure Investment and Jobs Act. A report published in March by The Wall Street Journal, suggests that Starlink might receive as much as $20 billion in funding under these revised regulations—a significant increase from the originally anticipated $4.1 billion.
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Brian Allenby, senior director with the Maine Connectivity Authority, indicated that his office has been in a state of uncertainty ever since changes to the program were signaled.
- “We’re ready to go. The ISPs are clearly ready to go. We’re just kind of waiting for that program guidance,” Allenby told FASTNET.
Fiber vs. Satellite: The Core of the BEAD Debate
Over BEAD’s four-year trajectory, fiber optic technology has remained the benchmark. Despite being the fastest and most future-proof option, its installation cost exceeds that of satellite, especially in remote regions. Technologies like Starlink were intended to serve as an “alternative technology” in areas lacking bids to offer services meeting BEAD’s speed and latency criteria.
However, Starlink’s ability to meet these benchmarks remains uncertain, although forthcoming rule changes within BEAD could alter this situation. Recent data from Ookla indicates Starlink’s speeds hover around 79Mbps, falling short of BEAD’s 100Mbps requirement.
Starlink’s Evolving Stance on BEAD Funding
Until recently, Starlink was not heavily involved in seeking BEAD funding. In June, Elon Musk stated on X that BEAD “is an outrageous waste of taxpayer money and is utterly failing to serve people in need.”
Experts Question the Delay’s Impact
Broadband specialists suggest that the justification for the 90-day delay—to accelerate the process—is paradoxical.
- “I can’t imagine anything less streamlined than a bureaucratic, 90-day delay, in which states essentially have nothing to do except wait to hear about the new rules that they’re going to have to adapt to,” Garner said.