Report

Broadband Provisions in the Infrastructure Investment and Jobs Act: A Primer

By John Bailey

American Enterprise Institute

December 03, 2021

Key Points

  • Broadband has become a fundamental enabling technology for nearly every aspect of our lives. It helps support online learning, remote work, telemedicine, and delivery of government services.
  • The Infrastructure Investment and Jobs Act provided more than $65 billion to build out broadband networks, address affordability, and strengthen cybersecurity.
  • The legislation’s ultimate success will depend on implementation at the state and local level, including engaging community stakeholders and anchor institutions.
  • There is an urgent need to improve federal and state capacity with implementing these programs, including collecting data, developing plans, engaging community stakeholders, prioritizing investments, and conducting outreach. Philanthropic support will be essential to ensure states and communities are prepared to take advantage of these funding opportunities.

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Broadband has become a fundamental enabling technology for nearly every aspect of our lives. It helps support online learning, remote work, telemedicine, and delivery of government services. In the same vein, the lack of access to affordable broadband creates enormous challenges for segments of the population that are unable to access crucial services to help them succeed in work and life.

The disruptions caused by COVID-19 have created additional urgency to bridge this “digital divide.” But the challenge has always been the high costs of building out infrastructure to unserved and underserved areas. In 2017, the Federal Communications Commission (FCC) estimated it would cost $40 billion to reach 98 percent of the country with fiber—what is often referred to as a “future-proof” technology.1 So it is significant that the recently passed $1.2 trillion Infrastructure Investment and Jobs Act includes more than $65 billion to expand broadband access and support affordable options for low-income individuals.2 These investments are in addition to the $3 billion provided under the Emergency Broadband Benefit and the $7 billion provided to schools under the Emergency Connectivity Fund.

This infusion of funding is historic in scope and can serve as a catalyst for building out the modern infrastructure that is vital for communities in our modern economy. It is far from perfect, and its ultimate success will depend on implementation at the state and local level. But it represents real progress toward building out broadband networks, addressing affordability, strengthening cybersecurity, and achieving digital equity.

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Notes

  1. Paul de Sa, “Improving the Nation’s Digital Infrastructure,” Federal Communications Commission, January 19, 2017, https://www.fcc.gov/document/improving-nations-digital-infrastructure.
  2. Infrastructure Investment and Jobs Act, H.R. 3684, 117th Cong., https://www.congress.gov/bill/117th-congress/house-bill/3684.