WASHINGTON — The Federal Communications Commission (FCC) offered an additional $67 million in annual support to certain rural broadband providers that could bring improved service to nearly 110,000 homes and businesses in rural communities across 43 states. Carriers that accept the offer must expand the availability of broadband service delivering at least 25 Mbps downloads/3 Mbps uploads to their rural customers. Carriers have 30 days to decide whether to accept the additional funding.
Closing the digital divide is the FCC’s top priority. The Connect America Fund is key to this effort, providing funding in sparsely populated rural areas where the cost of providing and deploying service can be high.
The FCC’s Wireline Competition Bureau made the offer of additional support to 207 rural rate-of-return carriers that receive funding through the Connect America Fund’s Alternative Connect America Cost Model, or A-CAM. In return for this increased funding, the providers must significantly expand the availability of service delivering at least 25/3 Mbps speeds in locations which otherwise would have received 10/1 Mbps or worse service, thereby better meeting the needs of consumers and businesses in today’s online world.
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