Affordability/Cost/Price

The upcoming Auction 108 of 2.5 GHz spectrum is likely not going to raise a ton of money. But at least it will clean up the spectrum band, closing the many gaps where the spectrum is lying fallow and not being used at all. The auction will begin on July 29, 2022. While some auctions, such as the C-band auction held in 2021, aim to make billions of dollars to fill federal coffers, not all auctions are strictly focused on profit.

In response to the impact of the ongoing COVID-19 pandemic in the United States, the Federal Communications Commission's Wireline Competition Bureau has waived certain Lifeline program rules in ten previous Orders to provide necessary relief for low-income households. The effects of the COVID-19 pandemic continue to be felt by many Americans. The importance of access to affordable communications services for low-income consumers has been underscored by the pandemic and its long-lasting impact.

Deputy Secretary of Commerce Don Graves joined Sen Roger Wicker (R-MS) in Jackson (MS) to announce the details of a $32.7 million broadband infrastructure grant coming to the state to help close the digital divide and expand access to high-speed internet. Deputy Secretary Graves and Sen Wicker shared that these grants, provided by the National Telecommunications and Information Administration (NTIA), will fund 10 projects across rural Mississippi that will serve 12,487 underserved households, 256 businesses, and 26 anchor institutions that include schools and libraries.

The Federal Communications Commission announced that it is ready to authorize more than $313 million through the Rural Digital Opportunity Fund to fund new broadband deployments in 19 states bringing service to over 130,000 locations. This is the eighth round of funding in the program, which to date has provided over $5 billion in funding for new deployments in 47 states to bring broadband to over 2.8 million locations.

On March 15, 2022, President Joe Biden signed the Consolidated Appropriations Act, 2022 which provides funding through September 30, 2022 for projects and activities of the Federal Government. Much of the coverage of the law highlights the $13.6 billion in funding to address Russia’s invasion of Ukraine and the impact on surrounding countries. But there's also more funding for broadband in the new law.

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).

The Federal Communications Commission announced that it is opening a third application filing window to award at least $1 billion in Emergency Connectivity Fund support. The third application filing window will open on April 28, 2022 and close on May 13, 2022. During this third application filing window, eligible schools and libraries can submit requests for funding to purchase eligible equipment and services between July 1, 2022, and December 31, 2023.

The Federal Communications Commission announced that July 29, 2022, will be the start of bidding in Auction 108 for 2.5 GHz licenses. This auction will be for “white-spaces” of the 2.5 GHz band where no one owns the spectrum. T-Mobile is particularly interested in Auction 108 because it already owns or leases much of the 2.5 GHz spectrum across the United States, and it wants to fill in the gaps in its coverage. The auction will offer about 8,000 new county-based overlay licenses.

Windstream announced that it has received authorizations from the Federal Communications Commission to receive a total of $523 million from the Rural Digital Opportunity Fund (RDOF), which the carrier sees as a springboard for growing through public-private partnerships (PPPs). The funding will help Windstream extend broadband to approximately 193 thousand locations across 18 states. RDOF is an FCC program offering funding to help cover the cost of expanding broadband to the unserved, and eventually, the underserved.