Recent Pew Research Center surveys found that while 87% of U.S. adults with annual household incomes of $30,000 or less say they use the internet, just 57% of them have broadband at home, with many citing the high monthly cost of an internet connection as the barrier to this access.
With the end of the Affordable Connectivity Program (ACP) in May, 23 million households who were enrolled in the program lost $30 per month to defray the cost of high-speed home internet. According to a survey conducted by the FCC, 68% of respondents said they had inconsistent or zero connectivity before the ACP, citing affordability as the reason. Over three quarters say losing their ACP benefit will disrupt their service by making them change their plan or drop internet service entirely.
ACP subscribers reported that they use their ACP internet service to:
Municipalities that had a high rate of ACP participation by their residents are concerned about the impact of losing the program from an economic, educational and healthcare perspective.
The cessation of the ACP will undoubtedly lead to a notable economic impact on program recipients who use the internet to conduct online business. According to research by the Chamber of Progress, low-income Americans will lose over $20 billion annually in economic benefits resulting from the loss of their internet subsidy. Without affordable internet access, they struggle to maintain their sales platform and operations, as well as the ability to purchase less expensive goods online.
Approximately 12 million K-12 students don’t have access to reliable, high-speed internet at home - representing 22% of all students. These students face significant challenges in accessing digital resources, conducting research, and completing homework assignments. What’s more, online resources offer students avenues to explore their interests, develop new skills, and connect with peers and mentors. Without these opportunities, students risk falling behind not only academically but also in terms of their personal and social development. The loss of affordable internet access leaves many without the resources needed to succeed academically and professionally, creating long-term implications for the community's overall educational attainment and job readiness.
Telehealth has become an essential component of healthcare for people who rely on online resources for mental health. According to the Substance Abuse and Mental Health Services Administration 2022 National Survey on Drug Use and Health, 31 million adults received mental health treatment online in 2022. The loss of the ACP and internet access comes amid the rising use of online mental health services due to a critical shortage of mental health providers. Mental healthcare professionals are increasingly turning to technology to reach a larger number of patients. The termination of this program will result in reduced access to healthcare for a number of residents, exacerbating health disparities in the community.
A private wireless network is a broadband network that is owned by the community it serves. Unlike government-funded subsidies like ACP that are subject to change, a private network offers a reliable and secure solution that can be offered to all residents in the community. These networks are tailored to meet the specific needs of the group, ensuring high-speed, affordable internet access for all residents. By deploying their own broadband infrastructure, municipalities can eliminate the uncertainty of external funding and create a lasting infrastructure that supports their community now and into the future.
The Broadband Equity, Access, and Deployment (BEAD) Program is administered by the National Telecommunications and Information Administration, and provides $42.45 billion with the goal of reaching 100% broadband coverage throughout the United States. It funds partnerships between states, communities, and stakeholders to build infrastructure and increase adoption. The program is structured in such a way that state, local, and tribal governments, as well as other eligible entities, can apply for funding to support their specific broadband initiatives. Municipalities can also work with their State Broadband office on prospective projects.
Choosing the wrong vendor for a Private Wireless Network project can cause expensive delays, re-work or even worse, a network that doesn’t meet the needs of the community. Here are the top factors to consider when evaluating potential partners:
Although the loss of ACP funding is a set-back for many internet users, government leaders have a unique opportunity to combine BEAD funding with a Private Wireless Network solution that could provide residents with reliable, secure, high-speed internet now and into the future. But it’s important to choose an experienced vendor with the necessary technical expertise, and the commitment to ensure the project is a success.