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Worries Mount Rural Digital Opportunity Fund Default Money Will Be Wasted

Concerns are mounting that over $2.8 billion in potential broadband grants doled out by the Federal Communications Commission’s (FCC) Rural Digital Opportunity Fund (RDOF) could be wasted, further eroding the already well-criticized program’s disjointed effort to expand broadband access across rural America.

In 2019, the Ajit Pai FCC created the $20.4 billion RDOF with an eye on shoring up affordable broadband access in traditionally unserved rural U.S. markets. The money was to be doled out via reverse auction in several phases, with winners often declared based on having the maximum impact for minimum projected cost.

During phase one of the program, the FCC stated that 180 bidders won $9.2 billion over 10 years to provide broadband to 5.2 million locations across 49 states and the Commonwealth of the Northern Mariana Islands. But of the $9.2 billion in winners, over $2.8 billion has gone into default, meaning the bidder couldn’t actually deliver on promised projects. 

We've tracked the RDOF awards since the auction concluded, including for the providers that defaulted on their wins.

These issues have not only imperiled RDOF program funding, but have thrown a wrench in the works of numerous additional government efforts to shore up broadband access, from the FCC’s long-criticized quest to accurately map U.S. broadband access, to the implementation of newer grant programs overseen by other agencies.

Worries Mount Rural Digital Opportunity Fund Default Money Will Be Wasted

Concerns are mounting that over $2.8 billion in potential broadband grants doled out by the Federal Communications Commission’s (FCC) Rural Digital Opportunity Fund (RDOF) could be wasted, further eroding the already well-criticized program’s disjointed effort to expand broadband access across rural America.

In 2019, the Ajit Pai FCC created the $20.4 billion RDOF with an eye on shoring up affordable broadband access in traditionally unserved rural U.S. markets. The money was to be doled out via reverse auction in several phases, with winners often declared based on having the maximum impact for minimum projected cost.

During phase one of the program, the FCC stated that 180 bidders won $9.2 billion over 10 years to provide broadband to 5.2 million locations across 49 states and the Commonwealth of the Northern Mariana Islands. But of the $9.2 billion in winners, over $2.8 billion has gone into default, meaning the bidder couldn’t actually deliver on promised projects. 

We've tracked the RDOF awards since the auction concluded, including for the providers that defaulted on their wins.

These issues have not only imperiled RDOF program funding, but have thrown a wrench in the works of numerous additional government efforts to shore up broadband access, from the FCC’s long-criticized quest to accurately map U.S. broadband access, to the implementation of newer grant programs overseen by other agencies.

Worries Mount Rural Digital Opportunity Fund Default Money Will Be Wasted

Concerns are mounting that over $2.8 billion in potential broadband grants doled out by the Federal Communications Commission’s (FCC) Rural Digital Opportunity Fund (RDOF) could be wasted, further eroding the already well-criticized program’s disjointed effort to expand broadband access across rural America.

In 2019, the Ajit Pai FCC created the $20.4 billion RDOF with an eye on shoring up affordable broadband access in traditionally unserved rural U.S. markets. The money was to be doled out via reverse auction in several phases, with winners often declared based on having the maximum impact for minimum projected cost.

During phase one of the program, the FCC stated that 180 bidders won $9.2 billion over 10 years to provide broadband to 5.2 million locations across 49 states and the Commonwealth of the Northern Mariana Islands. But of the $9.2 billion in winners, over $2.8 billion has gone into default, meaning the bidder couldn’t actually deliver on promised projects. 

We've tracked the RDOF awards since the auction concluded, including for the providers that defaulted on their wins.

These issues have not only imperiled RDOF program funding, but have thrown a wrench in the works of numerous additional government efforts to shore up broadband access, from the FCC’s long-criticized quest to accurately map U.S. broadband access, to the implementation of newer grant programs overseen by other agencies.

Worries Mount Rural Digital Opportunity Fund Default Money Will Be Wasted

Concerns are mounting that over $2.8 billion in potential broadband grants doled out by the Federal Communications Commission’s (FCC) Rural Digital Opportunity Fund (RDOF) could be wasted, further eroding the already well-criticized program’s disjointed effort to expand broadband access across rural America.

In 2019, the Ajit Pai FCC created the $20.4 billion RDOF with an eye on shoring up affordable broadband access in traditionally unserved rural U.S. markets. The money was to be doled out via reverse auction in several phases, with winners often declared based on having the maximum impact for minimum projected cost.

During phase one of the program, the FCC stated that 180 bidders won $9.2 billion over 10 years to provide broadband to 5.2 million locations across 49 states and the Commonwealth of the Northern Mariana Islands. But of the $9.2 billion in winners, over $2.8 billion has gone into default, meaning the bidder couldn’t actually deliver on promised projects. 

We've tracked the RDOF awards since the auction concluded, including for the providers that defaulted on their wins.

These issues have not only imperiled RDOF program funding, but have thrown a wrench in the works of numerous additional government efforts to shore up broadband access, from the FCC’s long-criticized quest to accurately map U.S. broadband access, to the implementation of newer grant programs overseen by other agencies.

Eagle, Idaho Poised to Build Open Access Fiber Network as Nearby Communities Forge Ahead on Similar Projects

Inspired by Ammon, Idaho’s heralded open-access fiber network, the city of Eagle, located in the southwestern part of the state and home to 32,000 residents, is now soaring ahead with building its own open-access fiber network to connect city facilities and bring quality broadband to residents and businesses.

Eagle’s low density makes it expensive to connect, and as a result, the city has suffered from a lack of investment from private broadband providers. This has left residents – many of whom work from home or homeschool their children – with limited and antiquated options. But Eagle Mayor Jason Pierce wasn’t ready to hand over the city’s connectivity future to the big incumbents.

He explained to ILSR how Ammon’s “successful model” was the inspiration for Eagle and other cities across the Gem State to embark on a mission to provide city-wide connectivity and competition in areas underserved by the big incumbents.

“Cities were using [American Rescue Plan Act] ARPA dollars to help supplement […] private companies. We didn’t think that was the proper way to [go]. Federal dollars are the people’s money, they should own whatever we use it for. We need to be going after [public funding] to get [our residents’] tax dollars back into our communities.”

The open access network will give small local providers a chance to go into areas that it would not have previously made financial sense for them to serve. With the infrastructure already in place though, these companies will be able to enter the market and offer competition.

Eagle, Idaho Poised to Build Open Access Fiber Network as Nearby Communities Forge Ahead on Similar Projects

Inspired by Ammon, Idaho’s heralded open-access fiber network, the city of Eagle, located in the southwestern part of the state and home to 32,000 residents, is now soaring ahead with building its own open-access fiber network to connect city facilities and bring quality broadband to residents and businesses.

Eagle’s low density makes it expensive to connect, and as a result, the city has suffered from a lack of investment from private broadband providers. This has left residents – many of whom work from home or homeschool their children – with limited and antiquated options. But Eagle Mayor Jason Pierce wasn’t ready to hand over the city’s connectivity future to the big incumbents.

He explained to ILSR how Ammon’s “successful model” was the inspiration for Eagle and other cities across the Gem State to embark on a mission to provide city-wide connectivity and competition in areas underserved by the big incumbents.

“Cities were using [American Rescue Plan Act] ARPA dollars to help supplement […] private companies. We didn’t think that was the proper way to [go]. Federal dollars are the people’s money, they should own whatever we use it for. We need to be going after [public funding] to get [our residents’] tax dollars back into our communities.”

The open access network will give small local providers a chance to go into areas that it would not have previously made financial sense for them to serve. With the infrastructure already in place though, these companies will be able to enter the market and offer competition.

Eagle, Idaho Poised to Build Open Access Fiber Network as Nearby Communities Forge Ahead on Similar Projects

Inspired by Ammon, Idaho’s heralded open-access fiber network, the city of Eagle, located in the southwestern part of the state and home to 32,000 residents, is now soaring ahead with building its own open-access fiber network to connect city facilities and bring quality broadband to residents and businesses.

Eagle’s low density makes it expensive to connect, and as a result, the city has suffered from a lack of investment from private broadband providers. This has left residents – many of whom work from home or homeschool their children – with limited and antiquated options. But Eagle Mayor Jason Pierce wasn’t ready to hand over the city’s connectivity future to the big incumbents.

He explained to ILSR how Ammon’s “successful model” was the inspiration for Eagle and other cities across the Gem State to embark on a mission to provide city-wide connectivity and competition in areas underserved by the big incumbents.

“Cities were using [American Rescue Plan Act] ARPA dollars to help supplement […] private companies. We didn’t think that was the proper way to [go]. Federal dollars are the people’s money, they should own whatever we use it for. We need to be going after [public funding] to get [our residents’] tax dollars back into our communities.”

The open access network will give small local providers a chance to go into areas that it would not have previously made financial sense for them to serve. With the infrastructure already in place though, these companies will be able to enter the market and offer competition.

Eagle, Idaho Poised to Build Open Access Fiber Network as Nearby Communities Forge Ahead on Similar Projects

Inspired by Ammon, Idaho’s heralded open-access fiber network, the city of Eagle, located in the southwestern part of the state and home to 32,000 residents, is now soaring ahead with building its own open-access fiber network to connect city facilities and bring quality broadband to residents and businesses.

Eagle’s low density makes it expensive to connect, and as a result, the city has suffered from a lack of investment from private broadband providers. This has left residents – many of whom work from home or homeschool their children – with limited and antiquated options. But Eagle Mayor Jason Pierce wasn’t ready to hand over the city’s connectivity future to the big incumbents.

He explained to ILSR how Ammon’s “successful model” was the inspiration for Eagle and other cities across the Gem State to embark on a mission to provide city-wide connectivity and competition in areas underserved by the big incumbents.

“Cities were using [American Rescue Plan Act] ARPA dollars to help supplement […] private companies. We didn’t think that was the proper way to [go]. Federal dollars are the people’s money, they should own whatever we use it for. We need to be going after [public funding] to get [our residents’] tax dollars back into our communities.”

The open access network will give small local providers a chance to go into areas that it would not have previously made financial sense for them to serve. With the infrastructure already in place though, these companies will be able to enter the market and offer competition.

Eagle, Idaho Poised to Build Open Access Fiber Network as Nearby Communities Forge Ahead on Similar Projects

Inspired by Ammon, Idaho’s heralded open-access fiber network, the city of Eagle, located in the southwestern part of the state and home to 32,000 residents, is now soaring ahead with building its own open-access fiber network to connect city facilities and bring quality broadband to residents and businesses.

Eagle’s low density makes it expensive to connect, and as a result, the city has suffered from a lack of investment from private broadband providers. This has left residents – many of whom work from home or homeschool their children – with limited and antiquated options. But Eagle Mayor Jason Pierce wasn’t ready to hand over the city’s connectivity future to the big incumbents.

He explained to ILSR how Ammon’s “successful model” was the inspiration for Eagle and other cities across the Gem State to embark on a mission to provide city-wide connectivity and competition in areas underserved by the big incumbents.

“Cities were using [American Rescue Plan Act] ARPA dollars to help supplement […] private companies. We didn’t think that was the proper way to [go]. Federal dollars are the people’s money, they should own whatever we use it for. We need to be going after [public funding] to get [our residents’] tax dollars back into our communities.”

The open access network will give small local providers a chance to go into areas that it would not have previously made financial sense for them to serve. With the infrastructure already in place though, these companies will be able to enter the market and offer competition.

Eagle, Idaho Poised to Build Open Access Fiber Network as Nearby Communities Forge Ahead on Similar Projects

Inspired by Ammon, Idaho’s heralded open-access fiber network, the city of Eagle, located in the southwestern part of the state and home to 32,000 residents, is now soaring ahead with building its own open-access fiber network to connect city facilities and bring quality broadband to residents and businesses.

Eagle’s low density makes it expensive to connect, and as a result, the city has suffered from a lack of investment from private broadband providers. This has left residents – many of whom work from home or homeschool their children – with limited and antiquated options. But Eagle Mayor Jason Pierce wasn’t ready to hand over the city’s connectivity future to the big incumbents.

He explained to ILSR how Ammon’s “successful model” was the inspiration for Eagle and other cities across the Gem State to embark on a mission to provide city-wide connectivity and competition in areas underserved by the big incumbents.

“Cities were using [American Rescue Plan Act] ARPA dollars to help supplement […] private companies. We didn’t think that was the proper way to [go]. Federal dollars are the people’s money, they should own whatever we use it for. We need to be going after [public funding] to get [our residents’] tax dollars back into our communities.”

The open access network will give small local providers a chance to go into areas that it would not have previously made financial sense for them to serve. With the infrastructure already in place though, these companies will be able to enter the market and offer competition.