FCC Reverses Expansion of COVID-Era Wi-Fi Hotspots Program

The Federal Communications Commission granted a petition for reconsideration filed by Maurine and Matthew Molak and found that the best reading of section 254 of the Communications Act of 1934, as amended, (the Communications Act) is that it does not permit funding of off-premises use of Wi-Fi hotspots and the associated wireless Internet services with E-Rate program support. In so finding, the FCC rescinded the rules adopted in July 2024. The FCC also denied the two remaining petitions for reconsideration of the FCC’s Hotspots Order.  Finally, the FCC directed the Universal Service Administrative Company (USAC), the administrator of the Commission’s universal service programs, to deny pending applications for E-Rate support related to the off-premises use of WiFi hotspots and services; and the FCC directed the Wireline Competition Bureau (Bureau) to release a public notice with an amended funding year (FY) 2025 eligible services list that reflects the changes made in this Order on Reconsideration.