Introduction
Changes to the U.S. Broadband Equity, Access, and Deployment (BEAD) program are set to have a significant impact on Elon Musk’s Starlink. The $42.5 billion program, which was initially designed to increase Wi-Fi networks, promote the installation of fiber-optic cables, and offer free broadband internet access to certain individuals, is being overhauled.
Overhauling the BEAD Program
With the latest changes announced by the U.S. Department of Commerce, the BEAD program will no longer prioritize the use of fiber-optic broadband, which is known for providing the fastest internet speeds.
Going Tech-Neutral
According to U.S. Secretary of Commerce Howard Lutnick, the department is “ripping out the Biden Administration’s pointless requirements” to make the BEAD program tech-neutral. The goal is to enable states to deliver internet access at the lowest possible cost, focusing on outcomes rather than the technology used.
What this Means for Starlink
Starlink, a satellite internet constellation being constructed by Elon Musk’s SpaceX, stands to benefit significantly from these changes. Under the Biden administration in 2023, Starlink was denied nearly $900 million in subsidies from the Federal Communications Commission as part of the Rural Digital Opportunity Fund program. With the changes to the BEAD program, Starlink could potentially be in line for a share of the $42.5 billion funding.
The Controversy
The situation is not without controversy. Critics argue that Musk, as the world’s richest individual and leader of initiatives aiming to reduce government spending, is using his power and influence to secure gains for his business ventures, including Starlink.
Conclusion
The changes to the BEAD program mark a significant shift in the U.S. government’s approach to broadband internet access. While this may open up opportunities for new technologies and providers like Starlink, it also raises questions about the role of private enterprise in public service provision.
