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Connect America Fund Provides $485 M to Expand Rural Broadband

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Released: May 22, 2013

NEWS
Federal Communications Commission

News Media Information 202 / 418-0500

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TTY: 1-888-835-5322

This is an unofficial announcement of Commission action. Release of the full text of a Commission order constitutes official action.
See MCI v. FCC. 515 F 2d 385 (D.C. Circ 1974).

FOR IMMEDIATE RELEASE:
NEWS MEDIA CONTACT:
May 22, 2013
Mark Wigfield, 202-418-0253
E-mail: mark.wigfield@fcc.gov

FCC ACTING CHAIRWOMAN MIGNON CLYBURN ANNOUNCES UP TO $485 MILLION IN

NEW CONNECT AMERICA FUND INVESTMENTS TO EXPAND RURAL BROADBAND

Hundreds of thousands of Americans could gain access to high-speed broadband for first time through


second round of Phase I support
Washington, D.C. – Today, FCC Acting Chairwoman Mignon Clyburn announced a significant public-
private effort to connect hundreds of thousands of Americans to high-speed broadband as a result of the
second release of Phase I funds of the Connect America Fund. The fund will offer up to $485 million to
expand fixed broadband in rural America. The additional investment will leverage millions in additional
private investment to quickly serve rural areas currently lacking access to high-speed broadband.
Approximately 15 million Americans, most of them living in rural areas, lack broadband and the access it
provides to jobs, education, and opportunities. Without broadband, consumers and small businesses are
cut off from the $8 trillion global Internet economy, severely limiting opportunities for jobs and economic
prosperity. Today’s announcement marks the second tranche of Phase I funds to ensure that every
American has access to broadband by the end of the decade.
This additional investment comes as the FCC moves into Phase II of the Connect America Fund, created
in the historic overhaul and reform of the FCC’s traditional universal service program for rural voice
service. Phase II will provide ongoing annual support of $1.8 billion for both voice and broadband
service, all without increasing growth in the fund. Any funding not accepted in Phase 1 will be used to
connect unserved communities in Phase II. Total FCC investment in expansion and support of rural fixed
and mobile broadband and voice through universal service is budgeted at $4.5 billion.
Today’s Report and Order is available at http://hraunfoss.fcc.gov/edocs_public/attachmatch/FCC-13-
73A1.pdf.
Action by the Commission, May 21, 2013, by Report and Order (FCC 13-73). Chairwoman
Clyburn, Commissioners Rosenworcel and Pai, with separate statements issued by Chairwoman Clyburn
and Commissioner Pai.
Docket No.: 10-90
Wireline Competition Bureau Staff Contact: Ryan Yates at 202-418-0886
-FCC-

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