Institute for Local Self-Reliance

The big monopoly incumbent providers are aiming their lobbying efforts to influence state lawmakers as states funnel federal funds into state broadband grant programs. In January 2022, Illinois State Senator Patrick Joyce (D-IL) introduced legislation in the Illinois General Assembly known as the Illinois Broadband Deployment, Equity, Access, and Affordability Act of 2022 (SB 3683).

A recent report by BroadbandNow made the rounds in February 2022, with the authors concluding that the average price for broadband access across all major speed tiers for Americans has fallen, by an average of 31 percent or nearly $34/month, since 2016. At a glance, this is great news – perhaps affordable Internet access for all is within reach? Yet the reality is that this report from BroadbandNow, unfortunately, poorly frames the national broadband marketplace.

The Federal Communications Commission’s Rural Digital Opportunity Fund (RDOF) Reverse Auction was completed a little more than a year ago to much fanfare and spilled ink, and though we’ve seen irregular updates over the last twelve months, we thought it worth the time to round up what we know so far in an effort to see where we’re at and determine what is likely to come. The RDOF was built to award up to $20.4 billion in grants over 10 years using competitive reverse auctions generally won by the lowest bidder.