{"id":5175,"date":"2025-05-30T18:27:47","date_gmt":"2025-05-30T18:27:47","guid":{"rendered":"https:\/\/lynxplanning.com\/us\/?p=5175"},"modified":"2025-06-02T15:09:21","modified_gmt":"2025-06-02T15:09:21","slug":"bead-funding-news-trump","status":"publish","type":"post","link":"https:\/\/lynxplanning.com\/us\/bead-funding-news-trump\/","title":{"rendered":"BEAD Funding: What to Expect Under the Trump Administration in 2025"},"content":{"rendered":"\t\t
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The Broadband Equity, Access, and Deployment (BEAD) program is a major U.S. effort to get everyone online. It has a $42.45 billion budget. Now, in 2025, with a new Trump administration, the program faces big questions. Many people involved in bringing internet to more places want to know what happens next. This article looks at the BEAD program, the changes we might see, and what it means for getting broadband to all Americans, especially in rural areas.<\/span><\/p>

What BEAD Was Meant To Do<\/b><\/h2>

Congress passed the <\/span>Infrastructure Investment and Jobs Act in 2021<\/span><\/a>, and BEAD was a big part of that law. The main goal was to connect all Americans to high-speed internet. The act focused on places that were “unserved” (without 25\/3 Mbps internet) and “underserved” (with less than 100\/20 Mbps).<\/span><\/p>

Beyond just connections, BEAD aimed to help schools and libraries get gigabit speeds. It also wanted to make internet access fair (digital equity), keep services affordable, and create telecom jobs.\u00a0<\/span><\/p>

The National Telecommunications and Information Administration (NTIA)<\/span><\/a>, part of the Commerce Department, runs the program. States lead the actual work. Each state had to make a plan, check which locations needed service, and then pick providers. Local input was important.<\/span><\/p>

Where Things Stood in Early to Mid-2025<\/b><\/h2>

By early 2025, states had made headway. <\/span>All 56 states and territories got their first plans (Initial Proposals) approved<\/span><\/a>. By April 2025, NTIA data showed most states (51 of 56) had finished their “challenge processes” \u2013 the step where they double-check maps of areas needing internet. About three-quarters (43 of 56) had started picking service providers.<\/span><\/p>

An interesting thing happened too. A May 2025 report found that the number of <\/span>places eligible for BEAD money had dropped by an average of 57% in 46 states<\/span><\/a>. This happened because internet companies built out to some areas on their own. Other government funding programs also helped connect people. This meant BEAD funds could focus on the hardest-to-reach, most expensive places.<\/span><\/p>

What Might Change<\/b><\/h2>

The new Trump administration signals a different approach to BEAD. The talk is about “technology neutrality,” looking closely at the Digital Equity Act, and cutting rules and costs.<\/span><\/p>

“Technology Neutrality”: A Push for Lower Costs\u00a0<\/b><\/h3>

In March 2025, Commerce Secretary Howard Lutnick said he wanted to change BEAD<\/span><\/a>. He mentioned a “<\/span>tech-neutral approach that is rigorously driven by outcomes, so states can provide internet access for the lowest cost.<\/span><\/i>” Many think this means the program will be more open to using satellite internet (like Starlink) or fixed wireless services for BEAD projects. The earlier approach often favored fiber-optic cables where possible.<\/span>
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<\/span>People who like this idea say it could lower costs and connect more people faster. They argue it gives states more options for difficult areas. Some companies, like AT&T, support this. The Information Technology and Innovation Foundation (ITIF) argued that BEAD\u2019s earlier fiber preference was too expensive.<\/span>
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<\/span>Others worry. They say moving away from fiber might mean lower quality, less reliable, or less future-proof internet, especially for rural communities. Fiber usually offers faster speeds and lasts longer than other technologies.\u00a0<\/span><\/p>

There are also concerns that some other technologies have higher monthly user costs. <\/span>A bill in Congress, the “SPEED for BEAD Act,”<\/span><\/a> supports this tech-neutral idea and aims to cut some BEAD rules.<\/span>

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The Digital Equity Act\u00a0<\/b><\/h3>

The Digital Equity Act (DEA) is a $2.75 billion part of the 2021 infrastructure law<\/span><\/a>. It’s meant to help people learn digital skills, get affordable computers, and find tech support. In May 2025, <\/span>President Trump called the DEA “unconstitutional, racist, and illegal”<\/span><\/a> and said he would end its funding.<\/span>
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<\/span>This could stop many community programs. People who support the DEA say these programs are key. They help older Americans, veterans, people in rural areas, and others actually use the internet once it\u2019s available. Ending the DEA could mean new networks get built, but many people still can’t benefit.<\/span><\/p>

Less Red Tape \u2013 More Deregulation\u00a0<\/b><\/h3>

The Commerce Department, under <\/span>Secretary Lutnick, is reviewing BEAD to cut “red tape” and “woke mandates.”<\/span><\/a> This fits a broader goal of deregulation.\u00a0<\/span><\/p>

The SPEED for BEAD Act again shows this direction. It suggests removing rules about prevailing wages, project labor agreements, local hiring, climate change, and open access networks.\u00a0<\/span><\/p>

There\u2019s also talk of <\/span>stopping new broadband funding through the Department of Agriculture (USDA)<\/span><\/a>. The idea is that private companies and new technologies can handle future needs.<\/span><\/p>

What This Means for Timelines<\/b><\/h2>

These kinds of big changes in the middle of a program usually cause delays. State broadband offices had plans based on the old rules. They might have to redo a lot of work, including redoing their maps, changing their proposals, or picking new service providers.<\/span><\/p>

The Illinois Office of Broadband estimated such changes could push deployment back by up to two years<\/span><\/a>. In April 2025, <\/span>the NTIA gave states an extra 90 days to submit their Final Proposals<\/span><\/a>. This was to give Secretary Lutnick’s office time for its review.<\/span><\/p>

These delays cost money.<\/b> Internet service providers (ISPs) have already spent time and money planning, and they face additional costs if they have to change plans.<\/span><\/p>

Inflation could also make materials and labor more expensive during any delay, making communities wait longer for the internet. <\/span>West Virginia, for example, was reportedly on track to connect all its BEAD-eligible spots with fiber but paused its work<\/span><\/a>.<\/span><\/p>

How These Changes Affect Broadband Projects<\/b><\/h2>

Rural Areas: Different Technologies, Different Outcomes?<\/b><\/h3>

If BEAD shifts to “lowest upfront cost,” rural areas might see more satellite or fixed wireless internet instead of fiber. Supporters say this connects more people faster and cheaper. They argue some internet is better than none.<\/span>
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<\/span>Critics worry this could create a “second-class internet” for rural America. Fiber offers benefits like high speeds (both download and upload), low lag, and reliability that other technologies often don’t match. Fiber networks also last for decades. Some other technologies, like LEO satellites, have much shorter lifespans (around five years), raising questions about future upgrade costs.<\/span><\/p>

Digital Equity: A Step Back?\u00a0<\/b><\/h3>

If the Digital Equity Act loses funding, efforts to help people use the internet will suffer. This includes training, getting devices, and tech support. These programs are important for older people, veterans, rural residents, and low-income families. Without them, new internet infrastructure might not help everyone it reaches.<\/span><\/p>

Who Thinks What?<\/b><\/h2>