Posted on 08/11/2022 9:29:45 AM PDT by Red Badger
The Federal Communications Commission (FCC) has rescinded nearly $1 billion in rural broadband subsidies to Space X‘s Starlink satellite service.
In a news release, the agency said that it determined that applications from Space X and another firm, LTD Broadband, failed to meet the requirements for government funding for its Rural Digital Opportunity Fund (RDOF) program.
The FCC previously awarded Space X nearly $886 million in 2020 in an effort to expand high-speed internet access to rural areas through its Starlink satellite service.
The agency also awarded LTD Broadband $1.32 billion for the same purpose, but the Las Vegas-based business struggled to expand its service, failing to receive eligible telecommunications carrier status in seven of fifteen states.
“After careful legal, technical, and policy review, we are rejecting these applications. Consumers deserve reliable and affordable high-speed broadband,” FCC chairwoman Jessica Rosenworcel said in a statement on Wednesday.
“We must put scarce universal service dollars to their best possible use as we move into a digital future that demands ever more powerful and faster networks,” Rosenworcel added. “We cannot afford to subsidize ventures that are not delivering the promised speeds or are not likely to meet program requirements.”
Rosenworcel added that Space X’s Starlink service has real potential, but noted that the agency questioned subsidizing a service that required its customer to purchase a $600 satellite dish for access.
LTD Chief Executive Corey Hauer told the Wall Street Journal his company was disappointed by the decision.
FTC launches effort to review, update data privacy rules Homemade and prepackaged baby foods both contain toxic heavy metals: study “I don’t believe the FCC fully appreciated the benefits LTD Broadband would bring to hundreds of thousands of rural Americans,” he said.
The federal RDOF program has authorized more than $5 billion in funding to deliver better broadband services to over 30,000 locations across 47 U.S. states. Hundreds of carriers have begun the process of deploying the networks to unserved areas.
The Hill has reached out to Space X for comment.
Someone understandable but, maybe what they should do is figure out a way to have like one starlink system and then have it shared by an entire community.
This in no way has anything to do with who runs Starlink.
Absolutely....................😜
Somebody didn’t pay the right kickback to the right people.
They are hitting 2 enemies. Musk and rural voters. They have weaponize the FCC now too.
Just punishing Elon Musk for criticism of the leftist agenda.
100% political retribution against Musk.
I am fine with government subsidies ending for nearly everything in the private market, including this.
That doe snot change my opinion that this is absolutely nothing more than a politically motived hit on Musk and an attempt to do harm to him.
Of course it is...................
Is someone else getting the contract or are rural folks SOL?
so now they don’t want broadband for everyone ?
Never did.....................
Both....................
Zackley!...................
Um ... Starlink will work in rural areas ANYWAYS, so ... this is all about yanking money away?
Useful life of 5 years. $120/yr. $10/mo.
It ain’t REALLY about the money.
Other modes use what is akin to high-powered Wi-Fi, and THAT requires an antenna of some cost.
Musk just raised $7 Billion by selling Tesla stock just last week.
I doubt he is going to lose any sleep over this.
Oh nooooo....Not at all!
One result of satellite internet is that it expands into areas that can be wired once demand reaches a sufficient number of subscribers.
It's the same thing our country did with dams, canals, railroads, the telegraph, highways, telephones, airports, radio, television, cable, and fiber optic.
It's the type of thing the government needs to support as it crosses legal barriers while the companies can handle the technical barriers.
Should rescind the whole stinking program and the FCC. The program is a waste of taxpayer money.
Commercial providers are providing at a competitive cost. We will soon have three in our area in addition to phone based broadband. Two providers are line of sight in a hill area and one is the local coop that is installing fiber direct to the home. The latter is a foolish waste that will be wrecked when the next big ice storm hits.
This whole gooberment rural broad band has been going on since obarky first claimed he was going to make it happen, nothing happened. Since then there have been all sorts of gooberment initiatives to get rural broadband. I have not seen any fruit from any of these as usual.
Gooberment just effs things up and spends more money than God and wastes about all of it.
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