Cruz Disrupts Path to Universal Internet Access

The "Internet for All" initiative, backed by a $65 billion investment through the Infrastructure Investment and Jobs Act, aims to provide affordable high-speed internet access across the U.S. However, new political leadership may impact its execution.

Incoming Senate Commerce Committee Chairman Ted Cruz (R-TX) sent letters to the National Telecommunications and Information Administration (NTIA), urging them to halt progress on universal connectivity initiatives. These letters focus on the Broadband Equity, Access, and Deployment (BEAD) Program and the Digital Equity Act.

Sen Cruz to NTIA: Changes Expected for BEAD

The BEAD Program, with $42.45 billion appropriated, prioritizes broadband for unserved and underserved areas. Cruz aims to revise NTIA guidelines, challenging current priorities, including fiber-based networks and DEI labor requirements.

In a letter to Assistant Secretary Alan Davidson, Cruz highlighted plans for regulatory changes under President-elect Donald Trump, advocating for less restrictive and costly solutions like Starlink.

1. Fiber and Alternatives

NTIA supports fiber networks, emphasizing their scalability for evolving connectivity needs. However, alternatives like satellite internet, particularly Starlink, are considered in cost-prohibitive areas.

2. Affordable Internet Options

NTIA requires BEAD-supported providers to offer affordable options for low-income users, with states determining cost thresholds to balance affordability and network quality.

3. Workforce Development

NTIA's BEAD Program encourages fair labor practices, promoting a skilled workforce under "Build America, Buy America" guidelines, with flexibility on implementation to support domestic job creation.

4. Climate Resiliency

Ensuring broadband infrastructure withstands climate impacts is a priority for NTIA, maximizing taxpayer investments and network longevity through strategic climate assessments.

5. High Cost Thresholds

Flexibility in deploying fiber or alternatives is guided by the Extremely High Cost Per Location Threshold, aiming to optimize BEAD funding across diverse geographic areas.

Cruz to NTIA: DEI Concerns in Digital Equity Act

The Digital Equity Act funds digital inclusion efforts but faces criticism from Cruz over its focus on "covered populations" like racial minorities, challenging its constitutionality.

Cruz’s Complaint

Cruz claims the NTIA's emphasis on race-based criteria for the Competitive Grant Program is unconstitutional. However, the Act mandates consideration of demographic disparities in broadband access.

Status of the Competitive Grant Program

With over 700 applications received for nearly $1 billion in funding, NTIA faces challenges finalizing awards before the new administration, which may influence future grant rounds.

The Next Congress and Administration

Under incoming leadership, changes to broadband policies are expected, with potential impacts on diversity initiatives and partnerships with companies like Starlink.