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Redirecting BEAD Funds to Support Satellite and Fixed Wireless Broadband

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A newly introduced House bill seeks to amend the $42.45 billion Broadband Equity, Access, and Deployment (BEAD) Program, allowing states to allocate funds toward satellite and fixed wireless broadband solutions. This legislative move aims to expedite internet access in underserved rural areas, offering a stopgap measure while fiber infrastructure continues to expand.

Representative Dave Taylor (R-OH) has introduced the “Bridging the Broadband Gap Act,” a bill designed to modify the allocation of funds within the Broadband Equity, Access, and Deployment (BEAD) Program. The proposed amendment would permit states to utilize BEAD funds to subsidize satellite and fixed wireless broadband services, targeting immediate connectivity solutions for rural communities awaiting fiber deployment.​

Addressing Immediate Connectivity Needs

Initially, the BEAD Program was primarily focused on expanding fiber-optic broadband infrastructure across the United States. Representative Taylor’s bill aims to bridge this gap by allowing some BEAD funds to support alternative technologies that deliver faster interim solutions. The bill is designed to overcome the inherent logistical and financial challenges, especially in remote and low-income regions, that lead to delays in providing high-speed internet access.

Along with proposing a $30 monthly subsidy during the first year, the bill would allow BEAD funds to cover up to 50% of the initial cost for households receiving Fixed Wireless or satellite service. Subsidies would be given priority to counties ranking in the bottom 50% of a state’s per capita income, ensuring that the support reaches the most economically disadvantaged areas.​

Legislative Intent and Broader Implications

Representative Taylor has realized and is emphasizing the urgency of addressing rural America’s needs. He comments that while fiber remains the gold standard for broadband, its widespread implementation will take time. The bill also aligns with broader discussions at the federal level regarding the flexibility of BEAD fund usage. Recent guidance from the National Telecommunications and Information Administration (NTIA) has acknowledged the role of alternative technologies, such as low-earth orbit (LEO) satellite services and fixed wireless access (FWA), in achieving universal broadband coverage, particularly in areas where fiber deployment is not feasible in the short term.​

Industry and Policy Perspectives

Stakeholders in the broadband industry have grown supportive of the bill. Advocates have also expressed support for the bill’s intent to provide immediate relief to underserved areas. Opponents caution against moving funds away from long-term broadband projects. They also emphasize the importance of maintaining momentum in fiber deployment to ensure sustainable and high-quality internet access.​ The bill’s introduction also reflects a growing recognition that multiple technologies are required to reach every household.

The legislation acknowledges the need for a pragmatic and inclusive approach to bridging the digital divide by incorporating satellite and fixed wireless options into the funding framework.​ The “Bridging the Broadband Gap Act” represents a strategic effort to enhance broadband accessibility in rural and economically disadvantaged communities by leveraging existing BEAD funds for alternative technologies.

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AGL Staff Writer

AGL’s dedicated Staff Writers are experts in the digital ecosystem, focusing on developments across broadband, infrastructure, federal programs, technology, AI, and machine learning. They provide in-depth analysis and timely coverage on topics impacting connectivity and innovation, especially in underserved areas. With a commitment to factual reporting and clarity, AGL Staff Writers offer readers valuable insights on industry trends, policy changes, and technological advancements that shape the future of telecommunications and digital equity. Their work is essential for professionals seeking to understand the evolving landscape of broadband and technology in the U.S. and beyond.

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