Digital Equity for All – Analyzing the $42 Billion Investment

In an era where the United States is recognized as a global powerhouse in technological innovation, the existence of a persistent digital divide serves as a sobering reality check. Despite the remarkable strides made in technology, a significant portion of the American population remains excluded from the benefits of the digital age. This glaring disparity highlights the urgent need to ensure digital equity for all citizens. For low-income communities, rural areas, and marginalized populations, the digital divide acts as a formidable barrier, limiting access to essential resources and restricting education, employment, and healthcare opportunities.

Funding: Where it comes from, where it’s going 

In November 2021, President Joe Biden signed the $1.2 trillion Infrastructure Investment and Jobs Act into law. The Act included $42 billion for Broadband Equity Access and Deployment (BEAD), money intended to ensure everyone in the country had access to reliable, affordable, high-speed internet by 2030.

“Because for today’s economy to work for everyone, internet access is just as important as electricity, water, or other basic services.” President Biden said.

It fell to The National Telecommunications and Information Administration (NTIA) to determine how to allocate the money. The NTIA used guidelines that defined areas as served, underserved, or unserved with respect to broadband access and determined that underserved areas had speeds lower than 100/20 Mbps and unserved areas less than 25/3 Mbps. The latter is the primary target for BEAD funding.

The Federal Communications Commission (FCC) recently developed new maps to determine broadband accessibility. It determined that 7% of businesses and households, representing 8.5 million locations and tens of millions of individuals, qualify as unserved. The new maps are much more accurate than previous versions, which looked at access at a census-block level.

With the new data in hand, the $42 billion will be divided up between the fifty states, the District of Columbia, and five territories: American Samoa, Guam, Northern Mariana Islands, Puerto Rico, and the U.S. Virgin Islands. Texas and California will receive the most funding, with approximately $3.3 billion and $1.8 billion, respectively, down to the U.S. Virgin Islands, in line to receive roughly $27 million. The complete list can be seen below. Texas is in line to receive the largest share, as approximately 11% of the population is unconnected, representing 436,800 unserved and 290,000 underserved locations.

The funding will provide and improve connectivity for recipients via fiber, cable, 5G Fixed Wireless Access (FWA), and satellite, and with public and private LTE and 5G networks.

The Infrastructure Act also provides $14.2 billion in funds for a $30 per month subsidy, part of the Affordable Connectivity Program, intended to make high-speed internet access affordable for low-income people who live in areas where broadband service is already available. The Act also provides funding to raise the connectivity levels on tribal lands.

“Put simply, high-speed internet is a necessity in today’s society,” said Mitch Landrieu, the White House infrastructure coordinator and senior adviser to the president. 

Will $42 billion be enough to close the digital divide? Not if you believe a report from Tulsa University last year, which estimated it would take roughly $240 billion to bridge the gap.

The next step in the allocation process is for the 56 fund recipients to submit their plans to the NTIA with details within the next 180 days on how they will use the funds to provide high-speed internet access in their respective geographies.

Conclusion

Addressing and closing the digital divide in the United States extends far beyond convenience – it is essential for achieving societal progress and fostering equity. By ensuring digital equity, we have the power to empower individuals, uplift communities, and forge a society that is more inclusive and resilient. The impact of closing the digital divide extends beyond bridging the gap – it sets the stage for fostering innovative entrepreneurship, driving economic growth, and propelling technological advancements that benefit society as a whole. In a nation that prides itself on its technical leadership, it becomes increasingly crucial that decisive action is taken to bridge this divide and shape a future where digital equity is not merely a luxury but an inherent and fundamental right for all.

1. Texas: $3,312,616,455.45
2. California: $1,864,136,508.93
3. Missouri: $1,736,302,708.39
4. Michigan: $1,559,362,479.29
5. North Carolina: $1,532,999,481.15
6. Virginia: $1,481,489,572.87
7. Alabama: $1,401,221,901.77
8. Louisiana: $1,355,554,552.94
9. Georgia: $1,307,214,371.30
10. Washington: $1,227,742,066.30
11. West Virginia: $1,210,800,969.85
12. Mississippi: $1,203,561,563.05
13. Florida: $1,169,947,392.70
14. Pennsylvania: $1,161,778,272.41
15. Kentucky: $1,086,172,536.86
16. Wisconsin: $1,055,823,573.71
17. Illinois: $1,040,420,751.50
18. Arkansas: $1,024,303,993.86
19. Alaska: $1,017,139,672.42
20. Arizona: $993,112,231.37
21. Indiana: $868,109,929.79
22. Colorado: $826,522,650.41
23. Tennessee: $813,319,680.22
24. Oklahoma: $797,435,691.25
25. Ohio: $793,688,107.63
26. Oregon: $688,914,932.17
27. New Mexico: $675,372,311.86
28. New York: $664,618,251.49
29. Minnesota: $651,839,368.20
30. Montana: $628,973,798.59
31. Idaho: $583,256,249.88
32. South Carolina: $551,535,983.05
33. Kansas: $451,725,998.15
34. Nevada: $416,666,229.74
35. Iowa: $415,331,313.00
36. Nebraska: $405,281,070.41
37. Wyoming: $347,877,921.27
38. Puerto Rico: $334,614,151.70
39. Utah: $317,399,741.54
40. Maine: $271,977,723.07
41. Maryland: $267,738,400.71
42. New Jersey: $263,689,548.65
43. Vermont: $228,913,019.08
44. South Dakota: $207,227,523.92
45. New Hampshire: $196,560,278.97
46. Guam: $156,831,733.59
47. Hawaii: $149,484,493.57
48. Massachusetts: $147,422,464.39
49. Connecticut: $144,180,792.71
50. North Dakota: $130,162,815.12
51. Rhode Island: $108,718,820.75
52. Delaware: $107,748,384.66
53. District of Columbia: $100,694,786.93
54. Northern Mariana Islands: $80,796,709.02
55. American Samoa: $37,564,827.53
56. U.S. Virgin Islands: $27,103,240.86