Infrastructure Bill News: Republican FCC Commissioner Opposes Subsidies For Expanding High Speed Internet

As politicians on Capitol Hill debate what should be in a potential infrastructure bill, Republican Federal Communications Commission member Michael O’Rielly is advising against federal spending on broadband subsidies to expand high speed internet.

In a blog post published Wednesday, commissioner O’Rielly argued broadband deployment in the United States is already adequate and there is no need to incentivize further expansion through government subsidies.

O’Rielly cited the FCC’s reporting from 2015 that shows 90 percent of Americans have broadband access at speeds of 25 Mbps or better. “That doesn’t mean we should rest on our laurels, but it does mean that we should salute the work already done by private broadband companies and address any barriers preventing more extensive deployments, including reducing regulatory burdens,” he wrote.

The FCC’s 2016 Broadband Progress Report confirms that the majority of people have access to broadband connections, though it notes there are some specific areas that have been left in the dust when it comes to high speed internet. Thirty-nine percent of rural communities, 41 percent of Tribal lands and 66 percent of U.S. territories are without options for broadband internet. A total of 34 million people still are without access to high speed connections.

It’s also worth noting that in many areas where broadband connections are available, there is little by way of competition. A 2014 study from the FCC found that less than 15 percent of households in the United States had more than two broadband providers to choose from, and nearly one in four had only one option.

Commissioner O’Rielly notes in his writing that the population density in the United States makes it difficult to reach 100 percent deployment, and comparisons to nations with a more condensed population—such as South Korea, which has achieved are unfair.

He also critiqued the “contrived FCC definitions and unproductive thresholds” for broadband that require speeds of 25 Mbps or better. “Focusing on artificial speeds diverts attention and resources from establishing service to those lacking any broadband service,” he said.

O’Rielly called for Congress to avoid granting subsidies for broadband—Senate Democrats have proposed up to $20 billion in broadband infrastructure spending—but noted that if lawmakers decide to up spending on high speed internet, they should do so by funding the FCC’s Connect America Fund, which adds surcharges to phone bills that is used to subsidize the cost of expanding internet in underserved areas.