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FCC to spend $115 million on rural broadband subsidies

2012.07.26 08:33 by Daniela
Keywords: FCC, broadband

The Federal Communications Commission (FCC) said on Wednesday that it will spend $115 million over the next three years to expand high-speed Internet service to 400,000 people and businesses in rural areas that currently lack it.

FCC chairman Julius Genachowski announced the first phase kickoff of the Connect America Fund, which has a goal of connecting 7 million unserved rural Americans to the Internet within six years and all 19 million unserved by 2020. Money for the funds comes from charges on consumers' monthly phone bills.

Expanding broadband Internet access has been one of the FCC's top priorities under Chairman Julius Genachowski.

"Today's action is just the beginning of our efforts to unleash the benefits of broadband for millions of homes and small businesses in unserved rural communities across the U.S," Genachowsi said in a statement. "In today's economy, broadband is a vital platform for innovation and opportunity, including jobs, education and healthcare."

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