Stimulus to increase rural broadband may not be enough

Vermont's rugged terrain and low population density leave an estimated 15-20 percent of the population without access to high-speed Internet. Last month, the Obama administration promised $795 million in stimulus money to increase rural broadband access. But some tech experts and rural residents aren't sure that's enough -- and some wonder if broadband development will slow down once stimulus money dries up.

"Broadband is capital-intensive, and the level of available funding in the future will influence the ability to achieve big leaps in the level of broadband availability and the rate of upgrades," said Chris Campbell, director of the Vermont Telecommunications Authority, which won $33 million in Commerce Department grants this month. Vermont received $47 million from the Commerce Department in the latest round of broadband stimulus funding. The state will use the money to build a 770-mile fiber optic network that will extend affordable high-speed Internet to rural "anchors," such as libraries, schools, and hospitals. Now, Vermont Telephone Company, the East Central Vermont Community Fiber Network and other Vermont businesses are waiting to hear if they've been awarded Agriculture Department grants-also funded with stimulus dollars-to extend service from these anchors to homes and small businesses. The department says it expects to announce recipients soon. The decision will help determine which rural Vermonters get broadband access at their homes and businesses, and how quickly.