FFC provides USD $1.488 billion fund to support broadband and bridge the digital divide between rural and urban areas

The Federal Communications Commission (FCC) allocated through Connect America Fund Phase II Auction a total of $1.488 billion to expand broadband to more than 700,000 rural homes and small businesses over the next ten years. In return for the support being provided by the FCC, carriers must maintain, improve and expand broadband throughout their service areas. This included providing service of at least 25 Megabits per second downstream and 3 Mbps upstream to over 363,000 locations, including more than 37,000 locations on Tribal lands. “Our action today will help close the digital divide and is a win-win for rural Americans and taxpayers. Carriers get the predictable support they need to deliver broadband to their customers in these high-cost rural areas. And taxpayers, who fund this support through a fee on their phone bills, are getting more bang for their buck,” said FCC Chairman Ajit Pai.