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New Broadband Coalition Calls for Shifting Rural Subsidies From Carriers

Government should directly fund "infrastructure needs," not last-mile carriers, to promote rural broadband and close the digital divide, said Public Knowledge Thursday. It cited a new Broadband Connects America coalition of 18 groups that also include the Benton Foundation, Institute…

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for Local Self-Reliance, National Hispanic Media Coalition and X Lab. "Rather than repeat the design" of the FCC high-cost USF program, "new funding should take advantage of the ability to divide the supply chain into different components such as towers, fiber, conduit, as well as services such as 911 and packet routing," said the coalition's principles. "Directing funding to shared infrastructure instead of particular carriers would allow federal and state governments to target dollars where needed to ensure efficient deployment of infrastructure that could serve multiple carriers -- rather than limiting funding to one carrier per community." It said the shift in focus "would reduce the cost of providing service to rural areas" for carriers and "is not meant to include funds that are directed towards specific users such as Lifeline, E-rate, or the Rural Health program." Other principles include "a combination of approaches that reflects the complexity" of rural broadband challenges and "restoring net neutrality."