"Trump's Commerce Department rewrote the rules of the $42 billion Broadband Equity, Access, and Deployment (BEAD) grant program, forcing states to change how they spend money earmarked for expanding broadband access. The overhaul led states to reduce spending on fiber networks and increase spending on satellite-although not to the extent sought by SpaceX CEO Elon Musk, who is demanding more money for his Starlink network."
"The US law that created BEAD is clear that the money can be used for more than sending subsidies to Internet service providers. The "key national priorities" specifically cited in Landry's letter were Trump's "AI Action Plan" along with Trump's "America First" and "Make America Great Again" plans for investing in education, workforce training, and growing US industries."
The Commerce Department changed BEAD rules, prompting states to shift funding away from fiber and toward satellite deployment. The rule overhaul reduced planned fiber investments and increased satellite spending, though not to the level sought by SpaceX. With $42 billion allocated by Congress, significant unspent funds may remain after deployment, raising concerns about returning money to the Treasury. Louisiana’s governor requested that remaining BEAD allocations be invested in state-led initiatives under NTIA review to advance national priorities, including AI initiatives, education, workforce training, and industrial growth. The governor praised the administration’s BEAD overhaul while urging statutory fidelity.
Read at Ars Technica
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